Fonsis: the Islamic Recovery Fund injects 600 million FCFA into four companies
The Islamic Recovery Fund (FIR), a subsidiary of the Sovereign Fund for Strategic Investments (Fonsis), continues its support for Senegalese companies. On Tuesday, September 22, he formalized a global investment of 600 million FCFA for the benefit of four companies operating in the agri-food, agro-industry and scientific education sectors.
The beneficiaries are Agro Industries du Nord (AIN), Mintou Rassoul, Bassari Baobab and the International Scientific School of Excellence (ESIEX). Distributed between Saint-Louis, Tambacounda, Dakar and Keur Massar, these structures will benefit from equity financing intended in particular to modernize their production tools, strengthen their storage and supply capacities and develop new educational infrastructures.
Strengthening the rice sector
In the Senegal River valley, the FIR supports two companies involved in the rice sector. Located in Ross-Béthio, Agro Industries du Nord processes paddy rice in a unit with a hulling capacity of three tonnes per hour. Its investment will be devoted to the installation of solar equipment and the increase of its storage capacities, with the objective of better securing its supply.
For its part, Mintou Rassoul, based in the Saint-Louis region, produces, processes and markets white rice and parboiled rice as well as various processing by-products. The modernization of its unit should make it possible to improve the quality of its products and increase production volumes.
Through these two operations, the FIR intends to contribute to the development of local rice production and processing, while supporting employment in the Senegal River valley and strengthening the national supply in the face of imports.
The bet on agroforestry products
In Tambacounda, the investment concerns Bassari Baobab, a company specializing in the valorization of local agroforestry products, notably baobab, bissap and ginger. Marketed under the Zahra and Mouna brands, these products will benefit from strengthening the company’s capabilities through the modernization of its equipment and the upgrading of its production and storage spaces.
The company currently has 60 employees, the majority of whom are women. For the FIR, this operation also illustrates its desire to broaden access to its financing solutions for small and medium-sized businesses throughout the national territory.
An investment in scientific training
The fourth beneficiary is the International Scientific School of Excellence (ESIEX), created in 2019 within the Supdeco Group. The establishment, located in Dakar, provides training from secondary to preparatory classes and prepares its students for competitive examinations for major engineering schools.
Funding from the FIR should make it possible to equip its future Keur Massar campus, develop its laboratories and acquire equipment intended for scientific teaching. For Abdoul Aziz Sy, CEO of the Supdeco Group, this support responds to a strategic challenge for Senegal: strengthening the training of scientists and preparing the skills that the country will need in the coming years.
7.5 billion FCFA in cumulative investments
With this new operation, the FIR reaches a new level. According to Babacar Gning, general director of Fonsis, the cumulative amount of investments made by the fund, in the form of equity and Moudharaba loans, now reaches 7.5 billion FCFA.
For Adramé Ndione, director of the FIR, the objective is to offer financing solutions to companies from different sectors and profiles, by making them accessible to SMEs throughout Senegal, as close as possible to their activities and their needs.
A subsidiary of Fonsis resulting from a partnership between Fonsis, the Islamic Development Bank and the State of Senegal, the Islamic Recovery Fund has a budget of 20 billion FCFA. It offers SMEs financing solutions based on Islamic finance instruments in order to support the recovery and development of their activities.
