Oikocredit renews support to Leasafric Ghana with funding of GHS 10 million

Oikocredit renews support to Leasafric Ghana with funding of GHS 10 million

LEASAFRIC logo25 March 2024

Oikocredit’s new term loan will boost Leasafric’s work with farmers in northern Ghana and its support for ride-hailing enterprise partners.

Amersfoort, the Netherlands – Worldwide cooperative and social impact investor has extended a GHS 10 million (approx. € 0.7 million) loan to Leasafric Ghana, a premier non-bank financial institution, to increase its farmer financing and to procure additional vehicles for small and medium ride-hailing partner enterprises.

This new credit facility aligns with Oikocredit’s mission of empowering people living on low incomes to improve their livelihoods. Leasafric will use part of the loan to develop an agri-leasing product providing agricultural equipment to smallholder farmers in northern Ghana, enabling them to raise their productivity and incomes. This follows capacity building, supported by Oikocredit, that helped Leasafric diversify into the agriculture sector.

An Oikocredit partner since 2009, Leasafric will invest the balance of the loan in its vehicle leasing business. Its small and medium enterprise partners in the transportation sector will benefit by developing their ride hailing businesses, thereby enabling an increase in the employment of young adults.

Ikechukwu Chiobi, Managing Director of Leasafric Ghana, said: “We are delighted to work with Oikocredit in providing more financing for our country’s farmers and to enable our transport partners to develop their businesses and create jobs, including for youths. In both sectors, we are committed to empowerment and to helping people on low incomes improve their lives and livelihoods.”

Ufuoma Eghwerehe, Oikocredit Investment Manager for Nigeria and Ghana, said: “Our support to Leasafric will benefit smallholder farmers in northern Ghana, reduce rural unemployment and poverty, and contribute to food security. And it will create jobs in small and medium enterprises. We are proud to continue scaling up our social impact in Ghana by supporting the economy at community level.”

About Leasafric

Leasafric Ghana is a leasing and logistics company that provides turnkey vehicle and asset and finance leasing services to small and medium enterprise partners, corporate institutions and smallholder farmers in Ghana. Leasafric, a subsidiary of C&I Leasing Plc in Nigeria, the largest leasing firm in West Africa, has a fleet of several hundred vehicles under its lease and car rentals business and also offers services such as fleet management, fleet tracking and staff bussing.

Founded in the 1990s with its head office in Accra, Leasafric is regulated by the Bank of Ghana.

For more information visit leasafric.com.gh.

About Oikocredit

Social impact investor and worldwide cooperative Oikocredit has nearly five decades of experience funding organisations active in financial inclusion, agriculture and renewable energy.

Oikocredit's loans, equity investments and capacity building aim to enable people on low incomes in Africa, Asia and Latin America to improve their living standards sustainably.

Oikocredit finances more than 500 partners, with total development financing capital outstanding of € 1,037.2 million (at September 2023).

For more information, visit www.oikocredit.coop.


Note for editors

For more information about Oikocredit or to request an interview, please contact: Viviana Cordero, Communications Business Partner, Oikocredit International, telephone: +31 33 422 4040, email: vcordero@oikocredit.org.

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