Nordic Horn of Africa Opportunities Fund

Norfund Aid for Somalia

The Nordic Horn of Africa Opportunities Fund (or “Nordic Fund”) is uniquely designed to advance development effects while generating a positive return on capital. By adding risk capital to the Somali region, fostering entrepreneurship, and creating jobs, the Nordic Fund is supporting a responsible private sector, creating a sustainable business environment, and fostering prosperity and stability in the region.

This innovative impact fund - $24.0 million at second close - is deploying risk capital to finance small and medium sized enterprises (“SMEs”) located in the Somali region (including Somaliland, Puntland and South Central Somalia) with Sharia compliant loans and other self-liquidating structures with a focus on job creation and empowerment of female and youth entrepreneurs.

Shuraako, a flagship program of the One Earth Future Foundation, facilitates investments into a variety of sectors across the Somali region through the Nordic Fund, created in 2018 through a Limited Partnership Agreement signed by the Arsenault Family Foundation, Norwegian Investment Fund for Developing Countries (Norfund), and the Investment Fund for Developing Countries (IFU). Today additional donors of the Fund include the Norwegian Ministry of Foreign Affairs, Ministry of Foreign Affairs of Denmark (DANIDA), and the European Union (EU)

With the combined contributions of these visionary investment partners, Shuraako is building dynamic markets in the region.

Nordic Fund Stats and Impact as of September 2021 

Total funds under management: US$24.3 M 
Total invested: 62 Loans totaling US$14,774,406.41 
Total invested in Women-owned companies: US$848,749
Ten Sectors invested: Manufacturing, Renewable Energy, Agribusiness making up the largest 3 sectors 
Total jobs created: 440


Client entrepreneurs and companies must have at least a one year operating track record and be involved in a business sector that is not under embargo as published and amended from time to time by the United Nations or European Union.

Applicants may apply for loans ranging from USD $50,000 to USD $750,000 and must contribute a minimum of 30% of the total project value. Applicants approved for financing will be issued funds under a sharia compliant debt finance agreement. Successful applicants will receive a financing term for up to five years (60 months). Applicants are required to pledge collateral (a minimum of 1.5-2.5x extended capital, depending on the application).

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