Investment Facilitation The E A Trade Investment Hub

Investment Facilitation: The E. A. Trade & Investment Hub experience Kanini Mutooni, Director Investments and Techology, East Africa Trade & Investment Hub

Presentation overview § Barriers to attracting investments in the EAC region. § Investment facilitation as a model for removing barriers. § The Hub investment facilitation model. § Results to date. § Next steps and opportunities. 1

2

Neutral facilitation as a model to attract investment Investment barrier Solution • High transaction costs Neutral facilitation model • Information asymmetry Deal sourcing and matching opportunities • Low IPA capacity Focus on transaction experience • Lack of information on successes Impact case studies

The EATIH Transaction Team (implemented by Cross. Boundary) serves as a neutral intermediary to investment stakeholders… …enabling transactions in focus industries and sub-sectors, including: Flexibility is core to the model’s success. The Team works with all stakeholders in a transaction in a diverse array of sectors

In just 9 months, transaction team facilitated $20 M of investments that have reached financial close. Investment Engagement Mobile money enterprise ($1 m-$2 m) Investment Facilitation Mandate Sector Market analysis, post investment planning Financial Services/ICT Country Uganda Consumer goods distributor ($3 m-$5 m) Due diligence, post investment planning Development Impact themes • Financial inclusion and access • Regional trade + jobs Agribusiness Enabling Uganda Dairy distributor ($3 m$5 m) Market analysis, financial analysis Agribusiness Ethiopia Logistics firm ($7 m-$9 m) Market analysis, due diligence • Trade facilitation Agribusiness Enabling Kenya Total Value of Facilitated Closed Transactions $19. 3 M • Technology transfer (ESL) • Increased milk production by 60, 000 litres

Next steps… § DCAs: Explore underutilized facilities and build a potential pipeline. § Replication of our model: SATIH § Sustainability: Beyond Hub’s life cycle.