For additional per country information, please click on one of the shaded countries above.
In the majority of African countries high interest rates and prohibitive collateral requirements prevent most micro, small and medium enterprises from securing the necessary credit to acquire expensive machinery, equipment, or vehicles. Traditional banking and commercial credit are, therefore, often only available to the top end of the market.
Leasing is particularly useful as a financial instrument for small businesses in Africa because these businesses often lack the credit history or sufficient collateral to access traditional forms of financing. Leasing also reduces the initial capital requirements for acquiring equipment.
Rue Aimé Césaire x Impasse FN 18 Prolongé
BP 3296 Dakar, Senegal
Tel: +221 33 859 7100
Launched in 2008, the IFC Africa Leasing Facility is a five-year, multi-country advisory services program aimed at introducing leasing as an innovative financial instrument across Sub-Saharan Africa. The facility’s goal is to increase access to finance for micro, small and medium enterprises (SMEs) in a number of important sectors, including agriculture, transportation, construction, and manufacturing. Leasing delivers strong developmental impact in Africa by playing a critical role helping SMEs access finance, and promoting financial sector development.
The Facility builds upon IFC’s 35 years of global experience in leasing advisory and investment activities.
The main objectives of the facility are:
Enhancing the legal, tax, regulatory and accounting environment for leasing
Raising awareness about leasing
Building capacity of lessees, lessors and regulators
Mobilizing investment capital
Strengthening and creating local and regional leasing associations
The African Leasing Facility, run from Senegal, is being implemented by IFC Advisory Services in Africa and is funded through IFC’s Private Enterprise Partnership for Africa (PEP Africa) in partnership with the African Development Bank, Denmark, Ireland, Japan, Luxemburg, The Netherlands, Norway and Switzerland.
The facility is currently managing programs in 14 countries: Burkina Faso, Cameroon, Cape Verde, Democratic Republic of Congo, Ethiopia, Ghana, Liberia, Madagascar, Mali, Mauritania, Rwanda, Senegal, Sierra Leone and Tanzania.