MOGADISHU (Halbeeg News) – Premier Bank has announced a $1-million fund aimed at backing the country’s startups.
Speaking at the closing ceremony of Mogadishu Technolgy Summit, Premier Bank chairman Jibril Mohamed said a US$1 million fund for supporting small and medium sized companies in Somalia.
“We are happy to announce a one million Dollar fund for financing the startups in #Somalia in collaboration with IrisehubMTS2018. Our Chairman, Jibril Mohamed has announced this at the Mogadishu Tech Summit closing ceremony,” reads a post on the Bank’s Twitter Account.
According to iRise which organised Mogadishu Tech Summits, the Banks aims to help Somali entrepreneurs build sustainable businesses, contribute to their country’s economy and tax base, and create a significant number of jobs
The launch of the latest fund follows the launch in August by Norwegian investment firm Norfund and others of a $10-million fund, the Nordic Horn of Africa Opportunities Fund, to support small businesses in Somalia.
Norfund, the initiator and anchor investor has committed up to US$3 million, while IFU and the Arsenault Family Foundation have each committed US$2 million.
The Norwegian Ministry of Foreign Affairs has supported a first loss component of US$3 million.
The fund was planned to fill a gap by funding SMEs that have no other sources of capital.
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