The European Bank for Reconstruction and Development (EBRD) is strengthening its commitment to North Africa’s economic future with a US $80 million anchor investment in the North Africa Fund III. The move aims to unlock growth for mid‑sized companies in Egypt, Morocco and Tunisia while driving inclusion and sustainable development in the region’s most vital sectors.
NAF III, managed by RMBV, represents the firm’s first independent fund as manager since gaining independence in 2019. The fund aims to raise as much as US $300 million, with a clear focus on Egypt, Morocco and Tunisia. Its investment strategy zeroes in on four sectors that directly touch the lives of millions: healthcare, education, financial services and consumer goods. By targeting companies that provide essential goods and services, RMBV is aligning its mission with the fast‑growing consumer markets of North Africa, ensuring that its investments not only deliver financial returns but also meet pressing community needs.
For the EBRD, this move is strategic. As Anne Fossemalle, Director for Private Equity Funds, has emphasized, anchoring NAF III is about more than deploying capital. It is about strengthening the region’s private equity sector and attracting both public and private investors to support sustainable business growth. Mid‑cap companies often form the backbone of North Africa’s economies. They generate significant employment opportunities, adapt quickly to market changes and play a key role in building economic resilience. Yet, they often face funding gaps that prevent them from scaling. NAF III is positioned to bridge that gap.
RMBV’s leadership, under Managing Partner Ahmed Badreldin, brings deep experience in identifying and nurturing high‑potential companies. Formerly part of the Abraaj Group, the RMBV team has a track record of backing impactful regional enterprises, including MaxAB, a digital supply chain platform transforming Egypt’s retail sector, Taaleem, a major player in private education and Cepro, a manufacturer driving local industrial growth. With NAF III, they are aiming to replicate and expand on these successes, fostering businesses that are resilient, well‑governed and committed to the region’s long‑term prosperity.
The fund’s first close has already secured approximately US $186 million, according to industry reports, a strong signal of investor confidence. RMBV is targeting its full US $300 million close by the end of next year, a goal that seems increasingly within reach given the momentum it has built.
Beyond financial investment, the EBRD is also providing technical support to help RMBV implement a gender action plan. This step is significant as it embeds inclusive growth practices into the core of the fund’s operations. The plan aims to create greater opportunities for women within portfolio companies, whether through leadership roles, workforce participation or improved workplace policies. By integrating gender considerations into its investment strategy, NAF III is not only addressing economic development but also advancing social equity in a region where inclusive growth remains a critical priority.
The importance of this initiative extends beyond the individual businesses it will back. By focusing on sectors that directly improve quality of life such as healthcare that reaches underserved communities, education that builds future talent and financial services that broaden access to capital, the fund has the potential to drive structural change. Consumer goods investments will strengthen local supply chains and create new market opportunities, further embedding these companies into the region’s economic fabric.
This approach reflects a growing recognition that private equity in emerging markets is not just about chasing high returns but about building ecosystems where businesses and communities grow together. The EBRD’s involvement brings credibility, expertise and an ability to attract additional investors who may otherwise hesitate to enter the market. For North Africa, which continues to navigate global economic headwinds, initiatives like NAF III represent both stability and opportunity.
As RMBV works toward its fundraising target, the real measure of success will be in the impact these investments have on the ground, from new jobs created to services expanded and barriers to inclusion dismantled. With the EBRD’s anchor investment, a strong management team and a focus on sectors that matter most to people’s daily lives, NAF III is positioned to become a powerful driver of growth in Egypt, Morocco and Tunisia.
The fund’s vision is clear: support companies that deliver essential products and services, ensure they are resilient and well‑governed, and help them scale in a way that benefits not just shareholders but society as a whole. In doing so, it could set a new benchmark for how private equity can align profitability with positive social impact in North Africa.
