Japan’s JICA has invested $40 million in Aavishkaar Capital’s Global Supply Chain Support Fund to promote sustainable and inclusive growth for businesses in Asia and Africa.
The investment, announced by Japanese Prime Minister Shigeru Ishiba at the Economic Partnership in the Indian Ocean – Africa Forum, will be managed by Aavishkaar Capital, a leading impact investment firm.
With this funding, Aavishkaar Capital will offer loans to private companies in Africa, India, and other Asian markets. These businesses, working in sectors like agriculture, food processing and manufacturing aim to strengthen supply chains while creating positive social and environmental impact.
JICA’s investment in the Global Supply Chain Support Fund will help Aavishkaar Capital grow beyond India and expand into emerging markets in Africa and Asia. This move supports the growth of the Indian Ocean region and strengthens global supply chains.
The fund focuses on businesses in global supply chains that create a positive social and climate impact. So far, it has already made 8 investments across Asia and Africa.
“By investing in the fund and entering a new chapter of collaboration with the Aavishkaar Group, we hope to elevate the well-established India-Japan partnership and further strengthen our commitment to impact investment in Africa and Asia,” said Mikio Hataeda, Senior Vice President, JICA.
“We welcome JICA’s strategic investment in our Global Supply Chain Support Fund targeting the global south. This collaboration builds upon a decade of our relationship and reflects the long-standing tradition of Indo-Japan economic cooperation…,” said Vineet Rai, Founder, Aavishkaar Group and Managing Partner, Aavishkaar Capital.
“With JICA’s catalytic support, we aim to scale the Global Supply Chain Support Fund’s reach across Asia and Africa, empowering SMEs with growth capital to build resilient-, climate & social Impact aligned – supply chains that can thrive in global markets,” said Monu Jain, Partner, Aavishkaar Capital.
Aavishkaar Capital is an impact investment firm that focuses on the Global South. It invests in areas like sustainable farming, financial inclusion, and essential services across India, Emerging Asia and Sub-Saharan Africa. So far, the company has raised eight funds and manages around $550 million in assets, while also delivering good returns.
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