Pan-African Fund Managers’ Association (PAFMA) Launched to Foster Alternative Investments in Africa
The Pan-African Fund Managers’ Association (PAFMA) was inaugurated in Nairobi, Kenya during the Africa Climate Summit 2023. PAFMA is a new trade association established by five founding members, including national associations from Nigeria, Kenya, Botswana, Ghana, and Uganda. These associations collectively oversee assets under management (AUM) exceeding $70 billion. PAFMA’s primary goal is to promote alternative investments, with a special emphasis on green finance to drive economic growth, job creation, and income generation in Africa. The association also aims to facilitate knowledge-sharing, capacity building, and policy advocacy for its members.
Key Points:
- PAFMA, a newly established trade association, was launched in Nairobi, Kenya during the Africa Climate Summit 2023.
- The association is founded by five national associations from Nigeria, Kenya, Botswana, Ghana, and Uganda, which together manage assets exceeding $70 billion.
- PAFMA’s primary objective is to encourage the adoption of alternative investments, with a particular focus on green finance to drive economic growth and job creation in Africa.
- The association plans to conduct localized research efforts, facilitate knowledge-sharing, and offer capacity-building initiatives to enable fund managers to evaluate and invest in regions and countries where they lacked previous presence.
- PAFMA will serve as an advocate for its members, providing policy insights and representing their interests in both regional and international forums.
- The association will also organize regular gatherings of fund managers from across Africa to promote collaboration and exchange of ideas.
Analysis: The establishment of the Pan-African Fund Managers’ Association (PAFMA) marks a significant milestone in the financial landscape of Africa. By bringing together national associations with substantial assets under management, PAFMA has the potential to drive positive economic impact across the continent. The association’s focus on alternative investments, particularly in green finance, aligns with global efforts to combat climate change and promote sustainable development.
PAFMA’s emphasis on localized research, knowledge-sharing, and capacity-building initiatives reflects a proactive approach to equipping fund managers with the necessary tools and information to make informed investment decisions in diverse regions. This initiative is poised to foster collaboration among fund managers, enabling them to explore opportunities in previously untapped markets.
As an advocate for its members, PAFMA will play a crucial role in representing their interests and contributing to policy discussions at both regional and international levels. The association’s commitment to promoting economic growth and job creation in Africa underscores its potential to be a driving force for positive change in the continent’s financial sector.