Promoting a new generation of African entrepreneurs is at the heart of I&P's mandate. We have developed a rigorous methodology to measure and monitor the impacts of our partner companies. We are also committed to promote African entrepreneurship and we regularly develop advocacy projects to amplify our impact.
Our impact objectives
I&P supports initiatives with a strong social impact on the real economy, mainly in poor and fragile countries on the African continent, and partners with responsible companies that promote inclusive growth and have a strong potential for impact on their local stakeholders: employees, customers, suppliers and distributors, the State…
Promoting the emergence of a new generation of African entrepreneurs is at the heart of I&P's impact mandate. Beyond this core mission, our impact strategy is based on four key pillars: employment, local populations, climate and gender:
Impact Pillar #1
DEVELOPING AFRICAN ENTREPRENEURSHIP
Promoting a new generation of African entrepreneurs is at the heart of I&P's mandate. 80% of portfolio companies are managed by African entrepreneurs.
I&P mainly focuses on French-speaking sub-Saharan Africa (West Africa, Indian Ocean, Central Africa) where financing solutions for small and medium-sized enterprises are much less developed than in English-speaking Africa.
Impact Pillar #2
CREATING DECENT JOBS
Formal small and medium-sized enterprises are pillars of job creation, but are too few on the African continent. However, the stakes are high: 450 million Africans will enter the labour market by 2050. Each year only 3 million formal jobs are created despite the arrival of 10 to 12 million young people on the labour market. A large majority (nearly 90%) of employment in Africa is provided by an informal sector with low productivity and insufficiently structured to absorb new entrants to the labour market.
I&P supports these companies and amplifies their impact in terms of the creation of formal and decent jobs: jobs that pay higher wages than the informal sector but which are also more secure, providing access to training, social security, social rights and the payment of a regular salary. In partnership with health insurance experts, I&P has, for example, set up a tailor-made assistance program to support its partner companies in setting up or improving their health insurance policies.
To go further
• Report « Formalizing SMEs in Sub-Saharan Africa »
• Impact Assessment of Formal Employment in Madagascar and Senegal
Impact Pillar #3
PROVIDING SDG-ALIGNED GOODS AND SERVICES
Addressing the main development challenges in Sub-Saharan Africa is at the heart of I&P’s mission. The vast majority of our investees improve local access to essential goods or services, in close alignment with the UN Sustainable Development Goals.
Impact Pillar #4
PROMOTING WOMEN'S EMPOWERMENT
I&P’s overall objective is to promote gender equality within formal SMEs in Sub-Saharan Africa. We seek to proactively develop a pipeline of SMEs that address the specific needs of women, focus on women’s inclusion, empower women in decision-making processes, and provide them access to decent jobs and training opportunities.
I&P formally announced its gender strategy in the document “Opportunities to bridge the gender gap in African SMEs”, published in 2018. Anchored in I&P’s mission, the gender strategy seeks to promote gender equality among its portfolio companies in Africa, as well as to lead by example, demonstrating a gender-diverse governance and promoting mixed teams and women’s equal access to senior leadership and investment positions.
Impact Pillar #5
STRENGHTENING THE LOCAL ECONOMIC FABRIC
The companies supported by I&P contribute to strengthening important local networks, thereby generating new opportunities for small suppliers and distributors in the countries where they operate.
Impact Pillar #6
FOSTERING ENVIRONMENTALLY-FRIENDLY DEVELOPMENT
I&P is promoting sustainable growth through investment in resource-efficient companies with limited carbon footprints. We believe that our partner companies can play an active role in experiencing and sharing replicable, efficient and renewable energy solutions.
I&P seeks to partner with companies that provide services that improve environmental impact (green technology, energy efficiency, waste management…) and that promote sustainable use of natural resources (fishing, forestry and agriculture).
We help companies mitigate potential negative impacts by implementing sound environmental management systems.
I&P calculates the carbon footprint of IPAE’s portfolio annually to identify the main sources of emissions. In 2019, its footprint amounted to 14,796 tCO2eq.
Measuring and monitoring impact
I&P has implemented a rigorous methodology to measure and monitor the impacts of its partner companies.
I&P publishes since 2020 an annual impact report, that presents an aggregate picture of the collective results of our mission across the entire organization and team.
The report presents an overview of I&P's activities and impact methodology and goes through our six impact pillars.
In addition, I&P releases annually the ESG & Impact reports of its funds under management.
Our advocacy mission
I&P has adopted a proactive advocacy policy to promote the recognition of SMEs as vectors of change and the implementation of appropriate financing solutions in Africa.
Stimulating entrepreneurial spirit in Africa and promote a new generation of men and women entrepreneurs on the continent
Fostering the growth of private equity in Africa, a relevant financing solution for SMEs
Mobilizing financial resources and contributing to the development of impact investing in Africa and the world
I&P regularly publishes studies and reports addressing concrete issues related to its expertise: impact investing, SME mentoring, private equity....
ARTICLES & BLOG
The team of I&P regularly shares its experience and best practices in the areas of impact investing and African entrepreneurship with specialized media and blogs.
Zoom: our blog Entreprenante Afrique
I&P launched with the Foundation for Studies and Research on International Development (FERDI).the blog "Enterprenante Afrique", to promote entrepreneurial dynamism in sub-Saharan Africa and better understand the context in which African entrepreneurs are working.
The blog gathers research articles, experience sharing and field testimonies on African businesses.