Impact-Linked Fund for Eastern and Southern Africa (ILF ESA)

The Impact-Linked Fund for Eastern and Southern Africa (ILF ESA) was established to address the USD 331 billion SME finance gap in Sub-Saharan Africa, where 40% of SMEs cite lack of access to finance as their primary growth constraint.

By pooling public and philanthropic grants, ILF ESA catalyzes private investments, enabling high potential SMEs to scale up while delivering measurable social and environmental outcomes. At its core, ILF ESA is a catalytic tool for blended finance: it directly links financial terms (such as interest rates or incentive payments) to the achievement of independently verified impact results. While its current portfolio focuses on climate adaptation, resilience, healthcare, and access to essential products and services, ILF ESA is intentionally designed to operate flexibly across multiple sectors and impact themes, including agriculture and food systems, climate smart technologies, gender inclusion, education, waste management, and health. This cross-sectoral flexibility enhances its relevance and appeal to philanthropic and catalytic funders seeking replicable, outcome-based models across diverse geographies.

Sectors: Agriculture, Climate, Healthcare
Countries: Kenya, Tanzania, Uganda
Published by: AVPA

Other Publications

CEI Africa Case Study

The goal of the Fund is to scale green mini-grids and other off-grid solutions, with a particular focus on productive