Kroner to Africa

Mon, 14 Mar 2011 17:13

MYC4, a 2010 World Challenge finalist, strikes a breakthrough link with Denmark's biggest retail society.

MYC4, the Danish company that matches investors through the Internet directly with small-scale businesses seeking finance in Africa, has entered into a link up with FDB, the Danish Co-operative Retail and Wholesale Society.

The scheme labels goods sold in Danish supermarkets with pictures and links to the actual farmers and farm co-operatives that grow the produce - similar to fair-trade certification but with the added premium being invested directly into the African supply chain.

"Just by buying the produce you're supporting the farmers", says Tim Vang, MYC4's co-founder. "The interest on the investment then goes into supporting other schemes and investments."

FBD has 1.6 million members in a country of 5.5 million people and their monthly magazine Samvirke has over 1 million readers, making it the most popular magazine in the country. They're following up the project with a series of articles featuring African entrepreneurs.

By opening up the opportunity for shoppers themselves to add to these investments, there is the potential for ethical consumers to take a direct stake in the farmers who grow their food. And because the investments take the form of loans with interest, there is also the opportunity to make profit as well - profit for a purpose.