Growth, enterprise, employment & livelihoods (geel) & investment

GEEL Investment Facilitation Support Growth, Enterprise, Employment & Livelihoods (GEEL) is a five-year United States Agency for International Development (USAID)-funded program designed to accelerate Somalia’s reintegration into the global economy by prioritizing opportunities that stimulate investments, strengthen economic sectors, improve economic infrastructure, develop the business enabling environment, and increase employment, including jobs likely to attract women and youth.

Acknowledging the country’s need for investment in the agriculture, fisheries and energy sectors to catalyze economic growth, the number of existing enterprises that are seeking debt and equity investment to achieve business expansion, growth and diversification, and the interest shown by potential investors within Somali regions, within the Diaspora and regionally, GEEL provides a range of technical services to support investment facilitation.

Support for Potential Investees GEEL supports potential investees to secure investment by helping them define, improve and present their investment cases. We support: • Investment preparation – support in developing business plans, financial statements, financial models and forecasts • Investment planning - technical advice from industry experts on proposed business expansion plans, including review of business plans and financial forecasts, input on factory designs and processes, review of proposed technologies and equipment specifications guidance on environmental considerations and the adoption of international food safety/hygiene standards • Industry & market research – either identification of existing industry/market research to support the investment, or support in undertaking primary research, where warranted • Investment appraisal – assessment of the expected returns earned for an anticipated investment and estimates of future costs and benefits over the life of the project • Investment promotion – development of investment marketing materials and presentations • Investor matchmaking – identification of potential investors and supporting initial introductions • Co-investment funding – providing partial funding (up to 33% of total funding required) to support the investment Top: Somalia country booth at the Gulfood Fair in Dubai in 2017.

Manufacturing plant in Somalia.

Investee Candidates • New and existing businesses in the agriculture, fisheries, livestock, and renewable energy sectors.

• Producers – commercial farms, fishing enterprises, cooperatives and energy enterprises.

• Processors – agribusinesses and fish processors producing for the domestic or export market.

• Supporting businesses – input suppliers, equipment providers, financial institutions, technology providers, warehousing, cold storage, packing, transportation and other infrastructure providers.

Support for Potential Investors GEEL supports potential investors by showcasing investment opportunities that are higher quality, require less support and are better positioned for success. We provide: • High quality investment opportunities - GEEL identifies, screens, prioritizes, supports, and monitors high quality investment opportunities and works with potential investors to understand and quantify the overall risk, and identify associated mitigating factors.

• Investment funding - In a higher-risk environment like Somalia, additional funding sources that are well integrated into investment support activities can help to substantially lower the risk profile and increase the attractiveness of a given transaction, even at relatively low ratios of 10-20% of overall investment. GEEL anticipates providing grant funding of up to 33% of total investment required.

• Technical expertise - To support deal implementation, GEEL can provide industry/sector expertise to assess the potential and viability of business opportunities.

• Investee due diligence – GEEL supports investors in undertaking due diligence of potential investees and their investment proposals, providing information gathered during engagement.

• Identification of co-investors – Through our investment outreach efforts, GEEL will seek to identify investors that may wish to share or partner with other investors.

Investor Candidates • Investors that have already identified businesses or projects that they are interested in investing in.

• Investors that are seeking new investment opportunities in Somalia in the agriculture, fisheries and energy sector, potentially businesses already in the GEEL investment pipeline.

Investment Pipeline Opportunities GEEL currently has more than 20 Somali agribusiness and fisheries projects seeking investment. These include: • A soft drinks company diversifying into the fruit juice, reconstituted milk and ready-to-drink beverage market.

• A fisheries enterprise intending to establish a processing facility, introduce certification, and increase exports to new markets.

• A dairy planning to expand its camel milk production and processing capacity to supply the underserved domestic market.

• An existing cold chain company interested in constructing a new 1000t cold store for fruit, vegetable and fish exports.

• A fodder and feed producer planning to construct a large-scale greenhouse, and expand their existing hydroponics system to support the significant livestock sector.

• Two sesame processors/exporters seeking to expand processing capacity with color sorting and de-hulling equipment, to meet export demand.

• A startup fruit and vegetable wholesale/distribution business sourcing quality produce from collection centers, and adding value through washing, and packing, prior to distribution to hotels and restaurants.

• An entrepreneur seeking to establish Mogadishu’s first animal feed production facility, procuring raw materials and reconstituting as animal feed products.

For further information on these services, to receive information on investment leads, or to discuss your investment or business expansion interests, please contact the GEEL Investment Team at investment@sogeel.org.