A new partnership is binding between USAID and the African Guarantee Fund. As part of its ongoing efforts to support high-potential SMEs in the region during this crisis and the companies that finance them, the USAID-funded West Africa Trade & Investment Hub on Monday (January 24th) awarded a co-grant - $2.5 million investment in the African Guarante Fund for Small and Medium Enterprises (AGF).

During the three-year partnership between AGF and Trade Hub, the COVID-19 Guarantee Facility is expected to help SMEs create 15,000 new jobs, maintain 20,000 existing jobs, and collectively generate $100 million in sales and $8 million dollars of exports. Through the COVID-19 Guarantee Facility, AGF plans to issue loan guarantees to 30 Partner Financial Institutions, enabling them to unlock up to $160 million in financing for approximately 3,000 SMEs based in West Africa affected by the pandemic. In addition, it will provide technical assistance to PFIs and SMEs benefiting from the COVID-19 Guarantee Facility to accelerate their post-pandemic recovery.