Impact investor and private credit provider Norsad Capital on April 26 launched its '2022 Capital Impact Report', the sixth iteration of these reports, with CEO Kenny Nwosu indicating that last year was an “exciting year of growth and expansion” as the company set about achieving its strategic goals.

Norsad has $235-million in assets under management. Nwosu informs that the company disbursed $56.5-million across 13 companies in 2022.

“In doing so, we have expanded our footprint, with new investments in Ghana and Uganda. We also made new investments in healthcare and by investing in these high impact sectors, we continue to work towards our goal of impacting 100-million lives by 2030,” he acclaims.

As of December 2021, Norsad says it has impacted 35.5-million lives, 35.5% of its 2030 target.

Based on its current trajectory and growth strategy, the investor is cautiously optimistic that its target of 100-million lives by 2030 can be achieved.

Thirteen transactions were made in 2022, with 100% of investments being in developing markets.

Norsad’s partner portfolio companies supported 15 142 jobs in 2022, with 43% of these held by women and 20% by the youth.

“In line with our impact framework, supporting financial inclusion, climate and clean energy, gender and sustainable livelihoods remains the core focus for our team.

“Through our new investments, we are proud of the continued efforts to create employment opportunities and support sustainable livelihoods, which aligns closely with our support of the United Nations Sustainable Development Goals (SDGs),” Nwosu highlights.

Norsad’s commitment to impact environmental, social and governance (ESG) was recognised by the investor winning a global award, the ESG Investment– Social Leadership of the Year Award at the Reuters Events: Responsible Business Awards 2022.

In 2022, Norsad strengthened its ESG and impact approach by appointing Kuda Mukova as its sustainability head. He will, among others, focus on refining Norsad’s climate strategy which includes a commitment to transition to innovative solutions that will help to tackle the climate crisis and promote a green economy in Africa.

Norsad says that, importantly, in 2022, it expanded its footprint by investing in Ghana and Uganda for the first time. This is aligned to its strategy of expanding its footprint outside of Southern African Development Community (SADC) by investing in new geographies in sub-Saharan Africa.

Additional investments in existing geographies (South Africa and Mozambique) solidified the investor’s presence in the SADC market.

Norsad’s strategic pillars are broken down into four thematic areas to express more specifically how it will achieve the strategic goals. The investor focuses on investment opportunities that further contribute to improved livelihoods.

For the supporting sustainable livelihoods area, highlights in 2022 include 1 737 new jobs being created, and $1.78-million in corporate social investment spend across the portfolio.

For the investing in gender equality area, 2022 achievements include, as alluded to, 43% of employment going to women, and 32% of companies with at least 1% women ownership.

With regard to the driving financial inclusion in Africa pillar, $30.41-million in small and medium-enterprise (SME) credit/loans were issued, with 4 735 SME credit/loans given out.

Lastly, in the climate and clean energy in Africa pillar, 18.75 GWh of total energy was generated through the renewable energy portfolio in 2022.

Looking ahead, Norsad’s strategy from this year for the next eight years entails further growth into the SADC market; deepening into niche areas in the South African market; diversifying into sub-Saharan Africa (East and West); and expanding into sustainable infrastructure finance.

Nwosu indicates that Norsad not only expects its partner companies to adhere to standards, but also holds itself to these. For example, he outlines that 52% of Norsad employees are women, and 43% of Norsad board members are women.