The SANAD Fund for MSME

Investing in financial inclusion in the Middle East and North Africa

Impact contribution
>297,957 indirect jobs supported by MSMEs receiving finance through partner institutions

Impact strategy
Social impact

Investment strategy
Private debt and private equity

Assets under management
Debt Sub-Fund
USD 427.1 mn
Equity Sub-Fund I
USD 23.6 mn
Equity Sub-Fund II
USD 34.2 mn


Initiated in

Initiated by
KfW Development Bank, with Finance in Motion as fund advisor and risk capital from the German Federal Ministry for Economic Cooperation and Development (BMZ) and the European Commission

Target regions
Middle East, North and sub-Saharan Africa

SFDR classification
Article 9 fund 

The SANAD Fund for MSME (SANAD) provides private debt and private equity financing to eligible partner institutions in the Middle East, North and sub-Saharan Africa to support growth and employment creation in the region’s micro, small, and medium enterprise (MSME) sector. In addition, SANAD’s Equity Sub-Funds also actively support the formation of greenfield ventures for addressing underserved segments and geographic areas. Its unique financing offer is complemented by a Technical Assistance Facility that delivers tailored non-financial support to embed and amplify the fund’s impact.  

Funding is provided by private and public investors and can be channeled into either the debt or equity sub-funds, depending on investor’s preferences and risk profiles. Both financial vehicles aim to increase employment and income generation through broader access to finance. Financing is extended to qualified and eligible financial institutions which then on-lend to MSMEs. SANAD’s two equity sub-funds acquire minority stakes in impact-driven financial intermediaries in the region.  



SANAD improves financial access to the “missing middle”

Contributing to economic growth and job creation by financing micro, small and medium enterprises

SANAD aims to foster economic development and employment creation in the Middle East and North Africa (MENA), especially among youth, by financing micro, small, and medium enterprises (MSMEs) and low-income households via qualified local lenders. 

By improving financial access to the underbanked “missing middle”, the fund aims to lay the foundation for systemic, long-lasting economic growth and job creation in these regions. 

The financing efforts contribute to the following Sustainable Development Goals (SDGs): No Poverty (SDG 1), Zero Hunger (SDG 2), Decent Work and Economic Growth (SDG 8), Industry, Innovation and Infrastructure (SDG 9), Reduced Inequalities (SDG 10), and Partnership for the Goals (SDG 17). 

Invest in economic development 

SANAD’s impact

Subloans facilitated to MSMEs and households (1)


Average amount of subloans (1)

USD 3,316

Share of subloans disbursed to rural and semi-urban end-borrowers


Indirect jobs supported by MSMEs receiving financing through partner institutions (1,2)


Direct jobs contributed to within SANAD ESF I partner institutions (1)


Partners served by SANAD with individual capacity building (1)


People trained (1)


Volume of subloans enabled for SANAD’s target group (1)

USD 1578 mn

Active borrowers


Subloans contributed to by building up SANAD ESF partner institutions (1)


SANAD partner institutions (1)


Share of outstanding portfolio in local currencies


Share of outstanding subloans in local currencies


Women-owned enterprises reached through MSME finance (1,2)


Share of female participants in capacity building projects (1)


Committed capital debt sub-fund

USD 465 mn

Committed capital equity sub-fund I & II

USD 56.9 mn

Volume of technical assistance projects (1)

USD 24.3 mn


(1) Cumulative figure since inception.
(2) Figures are modeled by Finance in Motion based on primary reporting and third-party data.


Fostering economic development and employment creation in MENA

SANAD combines market-based returns with the opportunity to foster employment creation and extend financial inclusion in the MENA region and sub-Saharan Africa.

The fund, advised by Finance in Motion’s highly experienced investment team with regional expertise, has a successful track record and a measurable impact in its efforts to support job creation, enhance youth employment, develop agricultural production, and expand access to affordable housing. 

Investors in the fund can manage their risk exposure through its tranched capital structure, which offers a risk cushion for noteholders provided by subordinated share classes. Private investors have many opportunities to invest, including in notes.

Participate in Middle Eastern and African investment opportunities

Fund details  

How the fund invests

How to invest

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