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Covid-19: MSMEs in Africa to Benefit from Financial Support in AFD & Société Générale Deal

MSMEs in Africa

The continent has seen MSMEs in Africa affected badly by the COVID-19 crisis, and for that reason Proparco annouces it has has set up a fund to cover part of the financing that will make financial institutions be able to meet the needs of these enterprises.

Société Générale, which is a long-standing partner of the AFD Group and a key player in private sector financing in Africa, is the first financial institution to partner with Proparco to deploy this mechanism.

The financial guarantee which has been made made possible due to the support of the French government, enables Société Générale’s subsidiaries on the African continent, amplify their efforts for entrepreneurs.

Business owners in Côte d’Ivoire, Madagascar, Cameroon and Senegal will be the first among African countries to benefit from this loan offer which has been 80% guaranteed by the AFD Group.

This severe economic challenge caused by the covid-19 global pandemic is adversely affecting msmes in Africa, it is affecting their ability to innovate, create jobs as well as providing essential goods and services to consumers.

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In line with the French government’s State Guaranteed Loan, purposely set up in to aid businesses overcome this crisis, the government has provided AFD Group with a 160 million euro funding for MSMEs in Africa. The partnership signed with Société Générale is focusing on the deployment of this guarantee in several African countries.

After reviews of numerous requests for financial assistance by companies with less than 200 employees, especially battered by the crisis may be able to receive loans ranging between 12 to 48 months. The loans will represent up to 3 months of their 2019 revenues.

MSMEs in Africa

This financial assistance has been allocated by the French State for MSMEs in Africa. It is a key tool in the Resilience component of the French Choose Africa initiative dedicated to supporting startups and MSMEs in Africa.

The gesture was announced in November 30th, 2020, in response to the covid crisis and it’s a resilience component bringing France’s commitment to entrepreneurs on the continent to €3.5 billion over the 2018-2022 period. Choose Africa mobilizes a wide range of tools: loans, guarantees, equity investments, technical support, etc.

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According to the CEO of Proparco, Gregory Clemente,

“The quality of the partnership between AFD Group and Société Générale, as well as the experience acquired by our two institutions in the financing and support of small and medium-sized African companies, are key assets in the current context.”

He further stressed that, this support by the French government will enable Proparco and Société Générale accelerate their joint commitment to entrepreneurs and to provide a response tailored to the needs expressed by the MSMEs in Africa.

Laurent Goutard, the Head of the Africa, Mediterranean & Overseas Region, International Retail Banking at Societe Generale, commented that,

“For many years, Société Générale has made multi-dimensional support for SMEs one of the key aspects of its strategy in Africa, with the aim of contributing to African development in a responsible and sustainable manner.”

African SMEs, for Laurent, are at the moment weakened by the economic impact of the crisis, but he believes they remain the future of Africa. This is because they meet several of the continent’s long-term challenges, particularly job creation and innovation.

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It is therefore natural for Societe Generale, according to him, to be one of the first players to deploy this new system for SMEs.

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Publiseer Partners Flamingo Fiction, Having So Far Generated $240K in Revenue

publiseer

The digital content distribution company, Publiseer, has now secured new distribution partners for its ebooks and audiobooks. From next week, the digital aggregator will start distributing its ebooks and audiobooks on Flamingo Fiction.

Flamingo Fiction, a Media365 platform, is a new mobile reading app that is specifically is targeted at readers of serialized romantic fiction stories. It consists of a website, an Android app, and an iOS app, for reading e-books and listening to audiobooks.

Publiseer

Authors will now have their e-books and audiobooks placed on Flamingo Fiction and take advantage of reaching a wider target audience. Flamingo Fiction joins a list of over 400 partner stores Publiseer works with, to generate revenue for African creatives.

Publiseer is a digital content distribution platform, founded in August 2017, by identical twin brothers, Chidi Nwaogu and Chika Nwaogu. The platform distributes ebooks, audiobooks, digital music, music videos, short films, feature movies, and video games across hundreds of well-established partner platforms.

Publiseer

So far, Publiseer has distributed over 10,000 digital content belonging to 6,000+ creatives from Nigeria, Kenya, Ghana, South Africa, and Egypt. With 56 million downloads and streams, the platform has been able to generate $240,000 in revenue

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