US development financing freeze puts private investments in Africa in peril

It’s not just USAID.

The Trump administration has frozen investments and grants approved by the US International Development Finance Corp., which helps secure private sector investments in emerging markets. Africa-based fund managers have been told by the DFC that their commitments are on hold pending a review of their projects, ImpactAlpha has learned. Local small business lenders have had to drastically slow loan disbursements because pledged capital from the DFC for on-lending will not arrive on time – if at all.

• Immediate impact. “What was small money for the DFC was enormous for us and the companies we would have funded,” the general partner of one small business fund tells ImpactAlpha, one of more than a dozen people who shared the status of their projects on the condition of anonymity.
  
  
• Keep reading, "US development financing freeze puts private investments in Africa in peril" by Jessica Pothering on ImpactAlpha.