Enko Capital, a pan-African investment firm specializing in frontier and emerging markets, has secured a major commitment from the International Finance Corporation (IFC) for its newly launched Enko Impact Credit Fund (EICF)—the firm’s first private credit vehicle.
The IFC, a member of the World Bank Group, has pledged to invest up to $25 million, or 20% of the fund’s total commitments, whichever is lower. This anchor investment underscores the IFC’s confidence in Enko’s strategy and its commitment to expanding access to capital for mid-sized businesses across sub-Saharan Africa.
The EICF is targeting a total fund size of $150 million, with a first close of $80 million expected in Q3 2025. The fund will provide U.S. dollar-denominated senior secured and unsecured debt to mid-market companies operating in sub-Saharan Africa, excluding South Africa.
The fund’s investment strategy is aligned with the United Nations Sustainable Development Goals (SDGs), with a strong emphasis on environmental, social, and governance (ESG) principles. It will also prioritize gender-inclusive enterprises, reflecting Enko’s broader commitment to inclusive and sustainable development.
To mitigate risk and enhance credit quality, the fund will employ a range of financial instruments, including:
- Guarantees
- Insurance wraps
- Collateral-backed structures
The EICF is targeting gross returns of 14% to 16%, with cash coupons ranging from 9% to 11%, and the remainder derived from performance-based upside mechanisms.
Alain Nkontchou, Managing Partner at Enko Capital, welcomed the IFC’s support, stating:
This fund will provide essential growth capital to mid-sized enterprises across Africa—businesses that are often underserved by traditional financing channels. By addressing this funding gap, we aim to unlock economic potential and contribute meaningfully to the continent’s sustainable development.
Founded in 2008 by Alain and Cyrille Nkontchou, Enko Capital manages over $1 billion in assets across a diversified portfolio that includes debt, private credit, public equity, and private equity investments throughout Africa.
The launch of the EICF marks a strategic expansion of Enko’s platform into the private credit space, a segment gaining traction as African businesses seek flexible, non-dilutive financing to scale operations, create jobs, and drive inclusive growth.
