ZAO: African Diaspora Impact Investment Platform
- Vincent Alcouffe
- Jul 15, 2019
- 3 min read
Looking into the future
Impact investing is something that is becoming more known on the global stage and is booming . Governments, investors, public organizations, and private organizations alike are realizing the importance of the social impact of their initiatives.
As the world becomes more and more interconnected , technology will enable us to drive impact in regions that before were left behind.
At ZAO, we are utilizing deep technology on our on-line platform and future digital products, to enable us to be at the forefront of African development and on the way tackle poverty.
We envision to get out of financial exclusion no less than 1 million people by 2027.
Why invest in Africa ?
In energy, agriculture, supply chain and other areas, Africa has the ability to look at what works elsewhere then fashion its own answers. It can openly embrace new technologies and ideas, with no historical imprint from which to break free.
Africa can develop flexible fuel grids that generate power with a mix of abundant wind, solar, hydro and bio energy, alongside conventional fuels such as oil and gas, which are also abundant.
Nowhere on Earth is there as much untouched arable land.
As such, ZAO is offering investment opportunities in the broader Agriculture/Agtech as well as renewable energies industries verticals.
What is Impact Investing ?
The term “Impact Investing” can be defined as “investments made in companies, organizations, and funds with the intention to generate a measurable, beneficial social impact alongside a financial return.”
Different impact investing platforms focus on different sectors for their investments, such as developing countries that usually don’t have the same access to financing as companies in mature economies, like Europe and North America.
At ZAO, we’re all about Africa.
Impact investors not only want to generate a return on their investments but they also want their money to do some good in the world. This creates a more sustainable approach to the development of emerging economies.
By investing in Africa, the Diaspora can help to create jobs, and also provide these companies with the resources to improve their communities access to basic needs.
Impact investing allows people who want to make a difference the opportunity to help others while still earning money themselves.
It creates a true “win-win” scenario and provides a sustainable model that can last well into the future.
So why the focus on the African diaspora ?
The African continent is seeing a socially conscious Diaspora that recognizes the potential and opportunities in their own countries . This population supports local economic growth with their skills and talent, by acting as “first movers”, investing back in their communities.
New research from the Commonwealth Secretariat highlights the potential role that diaspora communities in the United Kingdom can play in promoting the development of their countries of origin
This enormous Diaspora community pledges over £40 Billion in remittance flows to the African continent and has made considerable contributions towards the development of the recipient countries.
As the largest economic force in Africa, Small to Medium Enterprises (SMEs) are packaging themselves to appeal to a broader set of investors. Recognizing they can no longer count on growing investment from China or foreign aid these SMEs need investment from a special type of investors. The Diaspora.
ZAO as a platform is targeting the African diaspora as the early adopters and the first initial investors on the platform.
The proposition is simple: the opportunity of financing development on the continent as well as receiving a return on investment.
ZAO is building a growing community of socially engaged Diaspora. The investment potential is there and so is the desire to invest.
The challenge lies in creating a secure, credible and reliable platform that taps into this.
We believe that the considerable potential for diaspora investment is yet to be realized.
How do I invest ?
So you’ve thought about it and decided that you want to make a difference in Africa by becoming an impact investor. What’s next?
First, You need to decide what is important to you. What are your goals when it comes to impact investing? Decide what you want to do and then choose a platform that fits your needs.
The first and most obvious place for us to recommend you to invest through is via our platform ZAO. Our investment projects are impact and Africa focused. We will guide you step-by-step to making your first investment.
The size and scope of investment opportunities offered vary platform by platform. Some platforms will specialize in large, equity-based investments such as the Lelapa fund . Some will be donation focused such as Kiva .
Alternatively you can choose to place your money at an African focused Impact fund, like ZAO.
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