As global development funding shrinks, Africa is being called to rethink how it builds a sustainable future. The once-reliable flow of international aid is slowing dramatically. With USAID programs winding down and European development assistance facing cuts of up to 40 percent, traditional donor funding is no longer guaranteed. Yet millions across the continent still depend on these resources for essential services like healthcare, education, food security and access to clean energy. The question is no longer if change is needed but how to act swiftly and smartly.
On July 30, 2025, Africa Enterprise Challenge Fund (AECF), in partnership with KfW, will host a high-level roundtable in Nairobi that aims to tackle this challenge head-on. The event brings together a powerful mix of voices including investors, policymakers, DFIs, African implementers and private sector leaders, all committed to finding practical, scalable solutions that unlock private capital for the sectors that matter most. These include green energy, digital services, light manufacturing and more.
At the heart of the conversation will be how to do more with less. The roundtable is expected to focus on four critical areas: realigning aid to deliver measurable returns, promoting private-sector-led solutions, scaling African-led implementation models and ensuring that reduced development resources still achieve strong, lasting impact.
This new direction also opens significant opportunities for micro, small and medium-sized enterprises (MSMEs), which are the backbone of Africa’s economy. With more emphasis on private-sector-driven development, MSMEs stand to benefit from increased access to catalytic funding, business support and market linkages. AECF’s model, which prioritizes support for high-potential businesses in underserved and fragile markets, gives MSMEs the resources they need to innovate, grow and create local jobs. By connecting these enterprises to investors and policy stakeholders, the roundtable sets the stage for a more inclusive and resilient economic environment where smaller businesses can thrive and scale their impact.
The roundtable is not just a discussion. It is a response to a clear need. Across Africa, the development sector has long known that international aid would not last forever but few anticipated such a sharp and sudden drop. Now, the continent must shift toward a model that prioritizes self-reliance, innovation and inclusive economic growth. That is where AECF’s mission becomes even more relevant.
AECF is a leading non-profit development organization working at the intersection of innovation, enterprise and impact. Its core focus is supporting businesses in agribusiness and renewable energy, sectors that are vital to rural communities and the broader economy. By financing high-risk, early-stage companies that typically lack access to commercial capital, AECF helps transform ideas into sustainable businesses that reduce poverty, create jobs and improve resilience to climate change.
AECF is no stranger to tough environments. It operates in frontier markets, fragile settings and high-risk economies, places where traditional financial institutions often hesitate to go. But it is precisely in these areas that support is most needed. Through its work, AECF catalyzes private sector-led development by enabling enterprises to scale technologies and business models that improve agricultural productivity, expand access to clean energy, reduce emissions and boost incomes for smallholder farmers.
The numbers tell a powerful story. Since its founding, AECF has supported 510 businesses across 26 countries in Sub-Saharan Africa. Its work has impacted more than 33 million lives and created over 35,000 direct jobs. These are not just statistics. They represent a shift in how development can and should be done in the future: locally led, market-driven and deeply impactful.
The Nairobi roundtable signals a new chapter for development across Africa. By bringing together key stakeholders around a shared goal to unlock private capital for sustainable growth, it lays the groundwork for a future where Africa does not wait for aid but leads its own development journey. It is an invitation to rethink partnerships, prioritize innovation and ensure every dollar spent delivers lasting value. In a world of fewer resources, this model of doing more with less might be exactly what Africa and the world needs.
