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https://docs.wfp.org/api/documents/WFP-0000174649/download/
Unlocking investment capital for food systems in frontier markets

World Food Invest is a WFP-sponsored initiative that connects small and medium enterprises (SMEs) contributing to improved food security with investment capital.
By unlocking investment, it enables local agri-food businesses to grow while strengthening food access for vulnerable communities.
 

Systems approach to unlocking investment capital for food security

Across many of the world’s most food-insecure regions, local agri-food SMEs play a critical role in processing, storing, transporting and distributing food. Yet they struggle to access required capital due to limited investment readiness and insufficient access to relevant support.

The challenge is not capital availability, but investors’ ability to deploy it, due to limited access to local investable opportunities, high transaction costs, and elevated perceived risk driven by information gaps.

Addressing these constraints requires a systemic approach.

World Food Invest builds on WFP’s food systems expertise, operational presence, and strong track record working with private sector enterprises, to address these constraints at three levels:

  • Systems level: Identifying investment opportunities with strong potential to improve food security and food systems’ resilience, based on investment readiness and expected impact.
  • Enterprise level: Strengthening selected enterprises through capacity building, market linkages, and appropriate investment structures to de-risk opportunities for investors.
  • Individual level: Ensuring the focus stays on target communities and the impact is both quantitative and qualitative.

Key figures

US$75B

estimated financing gap for agri-SMEs in Africa alone

only 19%

of Africa-focused agri-food investment funds include food security as a core strategy

400+

pipeline companies identified with over US$ 1.0B in initial investment needs

10× on average

value of investments attracted by supported businesses

How World Food Invest works

World Food Invest applies a systems approach to supporting SMEs, combining the impact investment and tailored value creation expertise of established fund managers with WFP’s pre- and post-investment support to strengthen market linkages and deliver catalytic impact.

To enable investment in frontier markets, the model brings together three complementary components:

  • Pre-investment support
    World Food Invest draws on WFP's system assessments and value chain analyses to identify investments with strong potential for impact. Through its local ecosystem networks, WFP works with agri-food SMEs in frontier markets to enhance investment readiness, build a pipeline of opportunities, and reduce risk for investors. 
  • Impact investment
    World Food Invest partners with established impact investment fund managers who bring investment expertise and ensure independent decision making. Close collaboration between WFP, fund managers, and investors helps align financial and impact objectives into investment solutions that support businesses, reduce risk, and drive food security.
  • Post-investment support
    Targeted and tailored support is provided to World Food Invest portfolio companies to strengthen organizational capacity, expand market linkages, and improve long-term performance and impact.

 

Building on WFP’s operational experience

WFP-supported nutrition company in Burkina Faso

WFP brings a distinctive comparative advantage rooted in decades of 

operational engagement in complex environments.

In 2024, 59 percent of food used in WFP operations was procured locally, reflecting daily interactions with producers, processors, transporters, and traders across food systems.

Beyond procurement, WFP also engages markets through cash-based transfers, school meals, logistics, and investments in infrastructure and supply chains, working closely with local retailers and financial service providers. 

Over the past four years, WFP’s Pre-investment Support team has worked with more than 130 agri-food SMEs across Sub-Saharan Africa. With catalytic funding and technical assistance, these businesses have attracted, on average, 10 times more private investment within 12 to 18 months.

This combination of operational reach, market insight, and hands-on experience provides a strong foundation for building investment pipelines in frontier markets.

A woman carrying a hoe stands in front of a field of tall green crops, with trees in the background. Photo: WFP/Arete/Mussa Uwitonze Samuel

Looking ahead

World Food Invest reflects a long-term ambition to connect WFP operations with private capital in support of more resilient food systems and supply chains. It aims to demonstrate that, with the right structures and support in place, investment capital can reach agri-food SMEs in frontier markets. By unlocking investment for local agri-food actors, World Food Invest helps businesses grow and serve their communities, while ensuring food continues to reach populations most at risk of hunger.

Stronger local food systems mean greater community resilience to shocks and reduced reliance on humanitarian assistance over time.

Seeking partnerships

Impact investors

Funds and investors seeking measurable social and environmental returns alongside financial performance in frontier food systems.

Development finance institutions (DFIs)

DFIs seeking to catalyze private capital in markets where conventional investment would not otherwise reach.

Donors and philanthropic partners

Public and philanthropic donors and foundations providing catalytic, non-commercial capital to strengthen market conditions.

Private sector actors across food systems

Companies across food systems – including processors, retailers, and logistics providers – contributing to food security and seeking investment capital.