Global Association of Billionaires and Millionaires (GABM) announces that it is about to commence with a $125-million US Dollar entrepreneurial development program on the African continent, which represents the largest single project it has ever undertook.
To that effect, GABM has established the African Entrepreneurial Development Fund (AEDF) that is financed from grants made by the 1231 funding syndicates associated to the International Venture Capital Association (IVCA). The services of the specialist corporate advisory firm, Oakwell Corporate, had been retained by GABM to manage AEDF on its behalf as well as to secure its success and sustainability.
According to Mark Paulsmeier, President of GABM, AEDF’s mandate will be to provide unsecured loans to the African poor on the emulated micro financing concept that had been developed and popularized by Professor Muhammad Yunus. The World Bank estimates that currently up to 7 000 similar micro financing institutions are serving approximately 16 million poor people in developing countries, which makes GABM’s contribution significant in respect of the global fight on poverty.
“Through our meaningful and constructive efforts, AEDF constitutes an investment in the future of the African continent and its people.” Paulsmeier said. He further elaborated by saying that the AEDF project aims to initially provide micro finance to between 50 000 – 60 000 would be entrepreneurs on the African continent over the next 5 years.
The focus of the fund is to provide small loans typically ranging from $500 - $5 000 US Dollar to those who normally do not qualify for traditional banking credit facilities.
Although it is not perceived that the AEDF project will necessarily reduce the developing gap, GABM’s objective rather emphasizes the importance of creating a sustained income source for rural people as well as to promote the principle of taking responsibility for their own future and individual growth.
Naturally, GABM now also endeavors to expand its African infrastructure by appointing more GABM Ambassador Representatives, in order to accelerate its commitment in completing this exciting and challenging project that was proposed and initiated by Ascot Venture Capital Limited.