Welcome to CENFACS’ Online Diary!
31 May 2023
Post No. 302
The Week’s Contents
• Africa Not-for-profit Investment Outlook 2023 (Part II): Organisations and Causes to Not-for-profit Invest for Impact in Africa
• Africa’s Food Crises Impacted Poor Need Your Influence
• Support Children in the Horn of Africa to Avoid Famine
… And much more!
Key Messages
• Africa Not-for-profit Investment Outlook 2023 (Part II): Organisations and Causes to Not-for-profit Invest for Impact in Africa
The second release of the Africa Not-for-profit Investment Outlook 2023, which takes stock of the first one, provides our view to those who would like to not-for-profit invest for impact in organisations and charitable causes in Africa. The second release is indeed about impact investing in Africa’s not-for-profit organisations and charitable causes. These organisations and causes are those ones CENFACS is dealing with and or dealt with in the past. In this respect, the Outlook 2023 does not represent or speak about all the organisations operating in Africa. Despite that, what we are saying about the future of not-for-profit investments and organisations making this Outlook 2023 and linked to CENFACS can be applied to other not-for-profit entities in Africa.
The new release explains the type of organisations we are talking about and their legal or juridical status (or organisation type) as well as their fields of activity or main areas of intervention. The new release has to be placed in the context of CENFACS’ Guidance Programme for those who would like to not-for-profit invest in Africa for impact. In this release, we have included Africa-based Sister Organisations that can potentially welcome both foreign and non foreign direct investment. What else is this new release about?
Part II of Africa Not-for-profit Investment Outlook 2023 is a glimpse of charitable organisations and causes linked to CENFACS that can welcome not-for-profit investment. Part II does provide what any prospective not-for-profit investors need to know; but it does not give contact details of organisations. It is handy tool to guide prospective not-for-profit investors to find what they need to know in organisations to invest in. In this respect, it gives essential not-for-profit investment knowledge and information about organisations and causes they may think of investing in whether they are new to not-for-profit investing for impact in Africa or regular investor.
More highlights about Part II of Africa Not-for-profit Investment Outlook 2023 can be found under the Main Development section of this post.
• Africa’s Food Crises Impacted Poor Need Your Influence
Food crises continue to be an issue that can threaten and take lives in many African countries. For example, ‘fsinplatform.org’ (1) found that
“Between December 2022 and February 2023, there were food-crises countries with the largest local currency depreciation relative to the US dollar in countries such as Egypt, Ethiopia, South Sudan, Democratic Republic of Congo, Sierra Leone and Ghana”.
Likewise, the World Bank Group (2) states that
“It is projected that up to 68 million people in East Africa will be food insecure (Crisis, Emergency, and Famine; Integrated Food Security Phases Classification 3-5) by October 2023. The projected hotspots are in Ethiopia (14 million), Democratic Republic of Congo (10 million), Sudan (10 million), South Sudan (10 million), and Kenya (7 million), Somalia and South Sudan continue to be at risk of famine”. (p. 10)
Additionally, the ‘redcross.org.uk’ (3) declares that
“Communities in Africa face a race against the clock”.
However, food crises have causes and consequences.
• • Drivers and Impacts of Food Crises
Without going into a lengthy analysis of the drivers of food crises in Africa, most experts on this matter agree that a global economic slowdown, monetary tightening, weather extremes (such as drought, rainfall deficits, and high temperatures) and conflicts (like war in Ukraine) are part of the causes of food crises in Africa.
For example, ‘fsinplatform.org’ (op. cit.) argues that
“Conflict/insecurity was the main driver of acute food insecurity in four countries with 32.27 million people facing high levels of acute food insecurity in the Central Africa Republic, the Democratic Republic of Congo and Mozambique and for refugee populations in the Congo in 2022” (p. 37)
The impact of conflict and/or insecurity on food crises can also be looked at the level of agricultural activity which was hampered by insecurity and population displacements in countries like the Democratic Republic of Congo and Central African Republic. Likewise, the consequences of food crises have been deaths among children under 5 years old in countries such as Somalia in 2022. Yet, it is possible to reduce the impact of food crises in Africa.
• • Using Your Influence to Mitigate the Impact of Food Crises
As we are in CENFACS’ Year of Influence, we are asking to those who can to use their influential resources to affect the drivers of food crises, to alter man-made weather extremes and the causes of soaring food prices that drove and are driven high levels of acute food insecurity in Africa. They can as well exert their power to drive food prices down for parts of Africa that have no choice but to rely on food imports. In Africa, the domestic food price inflation (measured as year-on-year change in the food component of a country’s consumer price index) is high, according to various studies and evidences on the ground.
Your influence could protect and save threatening lives and possibly avert food crises.
You can donate your Influence to reduce or end food poverty in Africa.
To donate, please contact influential persons (or those having the keys) to reduce or solve the detrimental effects on poor people from the food crises in Africa.
You can as well influence the things or factors that determine these crises in order to create lasting favourable conditions towards an end to food crises; factors like the conflicts that have negatively impacted the supplies and prices of foods or monetary policies that have tightened the availability of finance for the poor.
Please also let CENFACS know about your influencing work or contribution you are or will be making and its outcome on behalf of the food poor in Africa.
To let us know, you can contact CENFACS as follows:
*over phone
*via email
*through text
*by filling the contact form on this site.
On receipt of your message or influencing donation, CENFACS will contact you for record and thank you for any influencing donation made. However, should you wish your influencing support to remain anonymous; we will respect your wish.
Thank you in anticipation for your willingness to give your Positive Influence and help save the lives of the Food Crises Impacted and Food Poor in Africa.
• Support Children in the Horn of Africa to Avoid Famine
Children victims of prolong drought and conflict in the Horn of Africa (that is, Ethiopia, Kenya and Somalia) are still undergoing through a life-threatening and -destroying situation. Their stories, infographics and statistics throughout the news and social media around the world speak enough themselves about the terrible conditions in which these children are living. There is no need to replay their images and restate statistics relating to them. What is needed actions, not words only to help these children.
According to the United Nations Children’s Fund (4),
“Children in the Horn of Africa are living through an unprecedented large-scale crisis of hunger, displacement, water scarcity, and insecurity”.
Yet, it is possible to prevent famine in the Horn of Africa. These children need your life-saving support to meet their life-surviving need. There are local communities, humanitarian organisations and local authorities that are working on the ground. Last week, there was a donor conference during which aid agencies appealed to end food crisis for the region and managed to secure some funding. But, the scale of the problems that these children are facing needs further and better support. Also, some of the funds pledged have not been materialised.
These children need your support to avert humanitarian catastrophe and famine.
They need food or income to buy food, life-saving and sustaining services.
You can help the Children in Need in the Horn of Africa.
Would you consider making a gift of any amount to help the Children in Need in the Horn of Africa to navigate their way out of large-scale crisis?
You can donate, gift aid and or support differently by
phoning, e-mailing, texting CENFACS and filling the contact form on this website.
Please support TODAY so that we can help the Children in the Horn of Africa who Need Your Support at this Moment.
To discuss and get further details about this appeal, please contact CENFACS at http://cenfacs.org.uk/contact-us/
Thank you for considering delivering on this appeal.
Extra Messages
• End-of-May Stories: Impact Story
• End-of-May Reminder: Spring Project of Building Forward Better from Reinforcing Shocks in Africa (SPBFBRSA)
• Options for Financing Summer Holidays
• End-of-May Stories: Impact Story
On the last day of the Month of Stories, people and ourselves will ask this: what is the impact your story leaves to us? In other words, what is the force or effect or even impression your story will leave after telling and sharing it?
• • What is the Impact of My Storytelling?
One can answer the above question by referring to the impact story model of Laura Meagher and David Edwards (5) who used building blocks to tell their impact story. According to them, there are five types of impact that could be the legacy of your story; types which are:
1) instrumental 2) conceptual 3) capacity building 4) enduring connectivity 5) culture/attitudes towards knowledge exchange, and research impact itself.
Depending on the type of impact your story will generate, your story could be on the Top Three Stories of the May 2023 Stories Challenge organised by CENFACS. It is also a way to evaluate your story.
• • Evaluating Your Impact Story
On the site ‘linkedin.com’ (6), it is stated that
“Storytelling is a powerful tool for engaging your audience, conveying your message, and inspiring action”.
During this month of May, we have tried as much as we could to engage with our audiences, users and supporters through this tool. Now, it is the time to evaluate the impact of our and your stories.
To measure or evaluate your storytelling impact, the same ‘linkedin.com’ suggests the following steps:
σ define your communication goals
σ collect feedback about your communication
σ analyse results or indicators that show how well you have achieved your communication goals.
Evaluating Your Impact Story ends our notes on May 2023 Stories. Those who have not yet donated their stories, we would like to remind them today is the last day. They can still submit it by midnight today. For those who have donated their stories, CENFACS thanks them for their storying gift.
For those who would like to know more about or to catch up with any of the series of our All in Development Storytelling Programme for this year or month, they are welcome to contact CENFACS.
• End-of-May Reminder: Spring Project of Building Forward Better from Reinforcing Shocks in Africa (SPBFBRSA)
SPBFBRSA is a way of working with the victims of a series of severe and mutually reinforcing shocks (like the lingering effects of the coronavirus disaster, the cost-of-living crisis, debt tightening, natural disasters, etc.) in Africa so that they can navigate their way towards the reduction or possibly end of the effects of these shocks on them. It is also about Saving, Rebuilding and Sustaining Lives of the victims from these shocks, disasters and destructions in Africa.
SPBFBRSA is after all about adding value to other similar works and efforts which have been already undertaken so that the poorest people and victims of these overlapping shocks can start or continue the process of building forward and reclaiming their lives while Africa is still embattled against these shocks.
You can find more details about the Spring Project of Building Forward Better from the Reinforcing Shocks in Africa under the page support causes at http://cenfacs.org.uk/supporting-us/
To support and get further information about this project, please contact CENFACS.
• Options for Financing Summer Holidays
As Summer is approaching, many families and people have started to plan their Summer holiday. In this plan, financing is part of it. Financing any holiday for those on low income can be nightmare and sometimes unachievable dream. However, for those of them who may have the right information and knowledge to finance their holiday according to their means and conditions of life, this dream can come true. The right information and knowledge can stem from ways of financing holiday.
Here are the ways of financing your holiday:
√ Setting money aside (Putting savings towards your holiday goals)
(It is about knowing how much money you need to put aside to cover your next holiday. The problem with this option is that poor people and families do not have money to set aside for holiday)
√ Finding extra money in your budget (for instance, by trimming expenses)
(Again, those who are on low incomes and live on tight budget may find it extremely challenging to cut basic life-sustaining expenses or needs)
√ Employers’ holiday pay schemes
(For example, in the UK employment rules state that when an employee or worker takes holiday, they should get the same pay when they are on holiday as when they are at work – whichever their working pattern)
√ Finding cheapest holiday deals can help you save money
√ Crowdfunding by raising money from friends and family members
√ Applying for free school meals to fund your children’s food need during holiday
√ Attending free activities organised by local charities during holiday
√ Free trips for families funded by charities, local groups and churches
√ Free family day trips to a variety of destinations like zoos, farm parks, theme parks, the seaside or the theatre
√ Holiday loans which we will not advise, especially for income poor people and families as holiday loans may not be positive coping strategies for them to deal with holiday income poverty particularly in the context of soaring interest rates like now
√ Funding holiday as identified need by your local authority
√ A need for a holiday arising from disabilities under the provision of holidays
(i.e., local authorities can be under a duty to meet the need of a holiday by funding the cost of the holiday)
√ Holiday funding for disabled adults and their carers
(For example, there are organisations like Revitalise.co.uk that offer disability holiday funding support for respite and accessible holidays)
Etc.
The above-mentioned options to fund your holiday can be used by those who need them. The best thing to do is to check their eligibility and suitability criteria. For those members of our community who may experience some difficulties in dealing with these ways of financing their holiday, CENFACS can work with them to identify the option that is the most suitable for them. In this identification, we shall make sure that they find positive coping mechanisms to fund their holiday.
This work with them is part of the advice service we provide. For those who need advice about financing their Summer holiday, they are welcome to contact CENFACS.
Message in French (Message en français)
• Moyens de financer vos vacances d’été
À l’approche de l’été, de nombreuses familles et personnes ont commencé à planifier leurs vacances d’été. Dans ce plan, le financement en fait partie. Financer des vacances pour les personnes à faible revenu peut être un cauchemar et parfois un rêve irréalisable. Cependant, pour ceux/celles d’entre eux/elles qui peuvent avoir les bonnes informations et connaissances pour financer leurs vacances en fonction de leurs moyens et conditions de vie, ce rêve peut devenir une réalité. Les bonnes informations et connaissances peuvent provenir des moyens de financer les vacances.
Voici les moyens de financer vos vacances:
√ Mettre de l’argent de côté (Investir dans vos objectifs de vacances)
(Il s’agit de savoir combien d’argent vous devez mettre de côté pour couvrir vos prochaines vacances. Le problème avec cette option est que les pauvres et les familles nécessiteuses n’ont pas d’argent à mettre de côté pour les vacances)
√ Trouver de l’argent supplémentaire dans votre budget (par exemple, en réduisant les dépenses)
(Encore une fois, ceux/celles qui ont de faibles revenus et qui vivent avec un budget serré peuvent trouver extrêmement difficile de réduire les dépenses ou les besoins de base pour le maintien de la vie)
√ Régimes de congés payés des employeurs
(Par exemple, dans le Royaume-Uni, les règles d’emploi stipulent que lorsqu’un(e) employé(e) ou un(e) travailleur(se) prend des vacances, il/elle doit recevoir le même salaire lorsqu’il/elle est en vacances que lorsqu’il/elle est au travail – quel que soit son mode de travail)
√ Trouver les offres de vacances les moins chères peut vous aider à économiser de l’argent
√ Financement participatif en recueillant des fonds auprès d’amis et de membres de la famille
√ Demander des repas scolaires gratuits pour financer les besoins alimentaires de vos enfants pendant les vacances
√ Assister à des activités gratuites organisées par des associations caritatives locales pendant les vacances
√ Voyages gratuits pour les familles, voyages financés par des organismes de bienfaisance, des groupes locaux et des églises
√ Excursions gratuites d’une journée en famille vers une variété de destinations comme les jardins zologiques, les parcs agricoles, les parcs à thème, le bord de mer ou le théâtre
√ Les prêts de vacances que nous ne conseilleront pas en particulier pour les personnes et les familles à faible revenu, car les prêts de vacances peuvent ne pas être des stratégies d’adaptation positives pour faire face à la pauvreté des revenus de vacances
√ Congé de financement selon les besoins identifiés par votre autorité locale
√ Nécessité d’un congé découlant d’un handicap dans le cadre de l’offre de congés
(c’est-à-dire que les autorités locales peuvent être tenues de répondre aux besoins d’un jour férié en finançant le coût du jour férié)
√ Financement des vacances pour les adultes handicapés et leurs aidants
(Par exemple, il existe des organisations comme Revitalise.co.uk qui offrent un soutien financier pour les vacances pour les personnes handicapées pour les services de répit et les vacances accessibles)
Etc.
Les options mentionnées ci-dessus pour financer vos vacances peuvent être utilisées par ceux ou celles qui en ont besoin. La meilleure chose à faire est de vérifier leurs critères d’éligibilité et d’adéquation.
Pour les membres de notre communauté qui pourraient éprouver des difficultés à gérer ces moyens de financer leurs vacances, le CENFACS peut travailler avec eux pour identifier l’option qui leur convient le mieux. Dans cette identification, nous veillerons à ce qu’ils trouvent des stratégies d’adaptation positives pour financer leurs vacances.
Ce travail avec eux fait partie du service de conseil que nous fournissons. Pour ceux de nos membres qui ont besoin de conseils sur le financement de leurs vacances d’été, ils sont invités à contacter le CENFACS.
Main Development
• Africa Not-for-profit Investment Outlook 2023 (Part II): Organisations and Causes to Not-for-profit Invest for Impact in Africa
Our coverage of this second part of Africa Not-for-profit Investment Outlook 2023 includes three items:
σ What is Not-for-profit Impact Investing?
σ Types of Organisations to Not-for-profit Invest for Impact in Africa
σ Guidance for Not-for-profit Investors about Organisations to Not-for-profit Invest for Impact in Africa.
Let us highlight each of these items.
• • What is Not-for-profit Impact Investing?
There are many definitions within the literature about impact investing. For the purpose of this outlook, we have selected the definition provided by ‘evpa.ngo’ (7) which states that
“Investing for impact is an impact strategy followed by investors that adopt the venture philanthropy approach to support social purpose organisations maximising their social impact. Investors for impact support innovative solutions to pressing societal issues, providing in-depth non-financial support and taking on risks that most of other actors in the market cannot – or are not willing to take”.
Working on a similar line of reasoning, ‘impactinvest.org.uk’ (8) provides four defining characteristics of impact investing which are:
a) Intentionality b) Evidence and impact data in investment design c) Manage impact performance and d) contribute to the growth of the industry.
These definitions of impact investing will help to engage or boost engagement with those who would like to not-for-profit invest in any of Africa-based organisations linked to CENFACS. To not-for-profit invest in any organisation, one may need to know the types of organisations to invest in, the size of investment they need to provide, the types of investments, the time to invest, etc.
Many of these questions or issues are part of the guidance programme we provide to potential not-for-profit investors. In the context of the highlights of Part II of Africa Not-for-profit Investment Outlook 2023, we are going to limit ourselves to the types of organisations to not-for-profit invest.
• • Types of Organisations to Not-for-profit Invest for Impact in Africa
As we argued in the page 3 of FACS No. 72 of Summer 2021 (9), African Sister Organisations (ASOs) can be an alternative route for investing in the African Continental Free Trade Area (AfCFTA) for those investors having other motives than only making profit. Investing in this sort of organisations is a way of thinking differently and approaching poverty from a different and new perspective.
Indeed, there is a difference between investing in organisations that consider poverty reduction as a residual or appended or negligible aspect of their main trading activity compared to those organisations that take poverty reduction as their main or core mission or activity. So, if one wants to see real improvements in reduction of poverty in quality and quantity; then putting their money and assets into ASOs that take poverty reduction as their core mission could be a viable option. However, one needs also to know these organisations in which they want to invest.
• • • Classes of Organisations to not-for-profit Invest for Impact
Not-for-profit investors can invest in any of the organisations CENFACS has links with. Generally, these organisations tend to be non-governmental ones.
• • • • What is a Non-governmental Organisation (NGO)?
According to ‘ngos.org’ (10),
“A non-governmental organisation generally refers to an organisation that operates independently from any government – though it may receive funding from a government but operates without oversight or representation from that government”.
Most of organisations that are based in Africa and linked to CENFACS tend to fall under the category of non-governmental and charitable organisations. These organisations can be operational and /or advocacy NGOs. They take charitable orientation and/or are community-based in terms of the level of operation, impact and cooperation. The table no. 1 below gives a summary of these organisations and their fields of activity. As we have said it the table is a summary. Therefore, it does not contain all the organisations that have links with CENFACS.
CENFACS‘ NGOs can be international or multinational, pan-African, environmental, civil society organisations, women organisations, etc. The classes of investment that a potential not-for-profit investor can provide to them could be in the form of grants, loans and private donations. In their portfolios, these organisations can accept carbon-related or emissions trading assets and green funding as well as environmentally friendly holdings. They can also accommodate investors who help keep net-zero objective in their portfolio and accelerate climate action for the poor. These investors could be corporate, institutional and individual.
They can welcome both foreign direct and non-foreign direct not-for-profit investments. What do we mean by foreign direct investment?
According to the ‘oecd-ilibrary.org’ (11),
“A foreign direct investment is a category of cross-border investment in which an investor resident in one economy establishes a lasting interest in and a significant degree of influence over an enterprise resident in mother economy. Ownership of 10 percent or more of the voting power in an enterprise in one economy by an investor in another economy is evidence of such a relationship”.
This definition can apply to any of these organisations that have projects or undertakings. Depending on these organisations’ areas of speciality, they deal with issues or causes such as the following:
Environmental education, natural resource conservation, sustainable forestry, gender equality, reforestation, soil conservation, water, democracy, human rights, rural farming, agroforestry, desertification, health, education, community development, sustainable development, infrastructures (e.g., school buildings, drinking water points and health centres), disaster relief, women, children, climate, urbanisation, etc.
• • Guidance for Not-for-profit Investors about Organisations to Not-for-profit Invest for Impact in Africa
Those potential not-for-profit investors who need customised guidance about how to not-for-profit invest in Africa, they can contact us so that they can conduct needs assessment with them and search their ideal Africa-based organisation to invest in. We run an International Advice Service to that effect.
Under our International Advice Service, we can work with them so that they can find the direction they need for their not-for-profit investment plan or journey in Africa. This service is designed to support Africa-based Sister Organisations on the following matters:
Capacity building and development, Project planning and development, Poverty reduction within the context of Africa Continental Free Trade Area, Not-for-profit investment and development, Absorption capacity development, Fundraising and grant-seeking leads, Income generation and streams, Sustainable development, and Monitoring and evaluation.
Not-for-profit investors can benefit from some aspects of our International Advice Service, which will help them to protect their not-for-profit investments while providing them peace of mind. Likewise, it will ensure that they receive the return to their investment in the form of the quantity and quality of poverty reduction to be generated. Where it is appropriate, we would conduct the following tasks:
√ trend analysis of poverty reduction achievements from the target organisations
√ finding out the level of inward foreign direct investment of these organisations
√ provide financial histories and health check of these organisations
√ finding information on investments made in carbon-credit-related organisations, organisations with operations at low impact on the environment, organisations making voluntary greenhouse gas emissions reductions or net-zero pledges
√ undertaking forecasting and advising about the level and direction of poverty reduction to be achieved as well as other synergic impacts on the community/area to be invested in.
Those who have any queries and/or enquiries about Part II of Africa Not-for-profit Investment Outlook 2023 (that is, Organisations and Causes to Not-for-profit Invest for Impact in Africa), they can communicate with CENFACS.
_________
• References
(1) https://www.fsinplatform.org/sites/default/files/resources/files/GRFC2023-hi-res.pdf (accessed in May 2023)
(2) World Bank Group (2023), Food Security Update, World Bank Publications, Washington
(3) https://www.redcross.org.uk/stories/disaster-and-emergencies/world/africa-hunger-crisis-100-million-struggling-to-eat (accessed in May 2023)
(4) https://news.un.org/en/story/2023/05/1136927 (accessed in May 2023)
(5) https://blogs.lse.ac.uk/impactofsocialscience/2020/09/18/how-to-to-tell-an-impact-story-the-building-blocks-you-need/ (accessed in May 2023)
(6) https://www.linkedin.com/advice/o/how-do-you-measure-impact-storytelling (accessed in May 2023)
(7) https://www.evpa.ngo/impact-glossary (Accessed in March 2023)
(8) https://www.impactinvest.org.uk/modules/introduction-to-impact-investing/#resource-section-4 (Accessed in March 2023)
(9) cenfacs.org.uk/2021/08/11/investing-in-the-not-for-profit-african-organisations (accessed in May 2023)
(10) ngos.org/what-is-an-ngo/ (accessed in May 2023)
(11) https://www.oecd-ilibrary.org/finance-and-investment/foreign-direct-investment-fdi/indicator-group/english_9a523b18-en (accessed in May 2023)
_________
• Help CENFACS keep the Poverty Relief work going this year
We do our work on a very small budget and on a voluntary basis. Making a donation will show us you value our work and support CENFACS’ work, which is currently offered as a free service.
One could also consider a recurring donation to CENFACS in the future.
Additionally, we would like to inform you that planned gifting is always an option for giving at CENFACS. Likewise, CENFACS accepts matching gifts from companies running a gift-matching programme.
Donate to support CENFACS!
FOR ONLY £1, YOU CAN SUPPORT CENFACS AND CENFACS’ NOBLE CAUSES OF POVERTY REDUCTION.
JUST GO TO: Support Causes – (cenfacs.org.uk)
Thank you for visiting CENFACS website and reading this post.
Thank you as well to those who made or make comments about our weekly posts.
We look forward to receiving your regular visits and continuing support throughout 2023 and beyond.
With many thanks.
