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A group photo of participants at the Blended Finance Match-making event in Freetwown
Freetown, 27 February 2025 – The Blended Finance Match-Making Event brought together seventy-four (74) stakeholders including government officials, providers of funds, financial institutions, development partners, the media and informal sector businesses to discuss ways to improve financial access for small businesses.
The event is part of the informal Economy Project that is funded by European Union (EU) and Organisation of African Caribbean Pacific (OACP) jointly implemented by UNDP and the International Labour Organization (ILO) in collaboration with the Ministry of Trade and Industry (MTI). The project aims to support informal enterprises in their transition toward sustainable growth and formalization.
During the event, participants discussed how blended finance - an approach that combines public and private funds - can help small businesses to access capital by using innovative financing solutions. The use of digital technology and building stronger synergies among formal and informal financial institutions,and small businesses were among the main topics.
The event provided a platform to discuss the potential of blended finance and its potential to unlock economic opportunities for micro and small enterprises which in Sierra Leone are mostly informal. The informal sector is the backbone of Sierra Leone’s economy, employing 92% of the workforce. However, many small businesses are not growing and experiencing low productivity due to limited access to finance and lack of technological support.
Speaking at the event, Dr. Ibrahim Stevens, Governor of the Bank of Sierra Leone, emphasized the importance of financial inclusion, stating: "It is important to bridge the gap between informal enterprises and the formal economy for enhanced financial stability and growth for making the informal enterprise into formal."
UNDP Resident Representative , Fredrick Ampiah, reiterated UNDP’s commitment to financial inclusion and innovation, stating: "We are dedicated to supporting the aspirations of the government and the people of Sierra Leone for sustainable peace and development. Let us actively engage, share insights, and explore collaborative efforts to enhance financial inclusion and facilitate the transition of informal enterprises. Together, we can make a lasting impact."
Emmanuel Konjoh, Chief Director and Professional Head at the Ministry of Trade and Industry, highlighted the need for women’s economic empowerment, noting: "Only 20% of our businesses are owned by females, whereas they make up 50% of the population. We now have the Gender Equality and Women’s Empowerment (GEWE) Act and will also focus on women and women's businesses." He also remarked on the power of digital technology in modern trade: "In today's age, we only need a mobile phone and a calculator to do trade, and language is not a barrier." This provides opportunities that need to be exploited to growth business in Sierra Leone.
The EU and UNDP remain committed to support financial inclusion through various initiatives that drive economic growth and empowerment. UNDP implemented Growth Accelerator Programme, which has played a crucial role in strengthening MSMEs, creating 177 new permanent jobs, 3,928 temporary jobs, and opening 125 new markets over the past year. Additionally, the UNDP has initiated the Timbuktoo-UniPod Pan-African initiative to support up to 1,000 African tech startups across the continent over the next decade, with Sierra Leone’s hub established at Fourah Bay College to foster innovation and entrepreneurship.
Furthermore, financial literacy projects are being implemented to empower youth and informal sector workers, equipping them with essential skills to navigate financial systems and expand their businesses. The EU has several programmes in the areas of agricultural value chains development, access to finance, trade competitiveness and TVET. Fining synergies between these interventions is crucial to support in the most efficient way the implementation of the national development plans of the Government of Sierra Leone.
UNDP Sierra Leone and its partners commitment to support the development of inclusive financial system that empowers women, youth, and informal businesses is unquestionable.
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