Financing energy SMEs in Ghana and Senegal: Outcomes, barriers and prospects

The article presents the findings of primary research carried out in Ghana and Senegal, which revisited the main assumptions behind the African Rural Energy Enterprise Development (AREED) initiative (2002–2012), and other donor-backed programmes, designed to promote small and medium-sized energy enterprises (energy SMEs). These assumptions were (1) that the lack of affordable local financing presented the most significant barrier to setting up and expanding energy SMEs, and (2) that these barriers would be overcome by a ‘demonstration effect’ whereby successful businesses, supported by donor-backed programmes, could in turn influence the commercial financial sector to invest in energy SMEs, thus triggering a virtuous circle of growth and profitability.

Authors:Denis DR Desgain, Gordon A. Mackenzie, James Arthur Haselip
Status:Published
Published year:2014
Content type:Journal article
DOI:Visit
Orbit ID:41aa2ec1-52b6-4668-95b9-58c7352d9622
Is current:Current