Press release -
Swedfund invests to strengthen resilient and sustainable food systems across Africa
Swedfund is investing USD 15 million in Phatisa Food Fund 3, which focuses on established companies across the food value chain in multiple African markets. The investment aims to improve food security, support decent job creation, and contribute to more resilient and sustainable food systems.
Africa’s food systems are under increasing pressure from population growth, climate impacts, and fragmented value chains. Enhancing production, processing, and distribution is essential to ensure food becomes more accessible and affordable, while strengthening livelihoods.
Phatisa Food Fund 3 will invest in companies seeking to grow or transition ownership. Building on Phatisa’s long track record in the sector, the investment is expected to support companies that can expand production capacity, enhance efficiency and create more stable employment in local and regional markets.
“Strengthening food systems is essential for inclusive and resilient growth across African markets. Through this investment, we help channel long-term capital to companies that can expand production, support decent jobs, and improve access to affordable and nutritious food. The investment also contributes to deeper value chain integration, supporting more stable and sustainable livelihoods over time,” says Sebastian Süllmann, Investment Manager for Food Systems at Swedfund.
Swedfund’s investment is part of an USD 86 million first close, together with development finance institutions BII, Norfund, IFC, and FinDev Canada.
About Phatisa Food Fund 3
Phatisa Food Fund 3 is managed by Phatisa Group Limited, a pan-African fund manager with offices in Kenya and South Africa. The fund targets investments across East, Southern, West and North Africa, supporting established companies throughout the food value chain.
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About Swedfund
Swedfund is Sweden’s development finance institution with the mission to reduce poverty through sustainable investments in developing countries. Swedfund plays an important role in the implementation of the 2030 Agenda and the Paris Agreement on climate. Swedfund shares the same goal as development cooperation in general, but the tools Swedfund uses are different. Swedfund has two instruments to fulfil its mission: sustainable investments in the private sector and technical feasibility studies through the Project Accelerator targeting the public sector.
Swedfund's investments contribute to the creation of decent jobs and increased access to essential products and services such as electricity and food. Swedfund is a long-term investor and is additional and catalytic through its investments and by mobilising private capital. Swedfund's feasibility studies support sustainable public infrastructure development, trade, and export opportunities for Swedish solutions.
We are part of Swedish development cooperation, and we measure and report all our results. As a state-owned company, Swedfund is managed by the Ministry of Finance and financed through portfolio reflows and annual capital injections for which the Swedish Ministry for Foreign Affairs is responsible.
For more information: please visit www.swedfund.se/en
