By Sunru Yong & Anne Chen
Nairobi, the capital of Kenya, is the center of social enterprise and impact investing in East Africa. It has become the regional hub for up-and-coming business leaders who recognize the significant needs, but seek new ways to renew this city. For many people, this means shifting away from reliance on NGOs and charity towards innovative business models that can combine social impact with commercial sustainability. Social enterprises have positive impact by providing critical goods and services to the underserved. There are many possibilities: the manufacture of clean cookstoves that reduce hazardous smoke and environmental impact, providing clean public toilet services for the slums, developing a network of affordable maternity clinics, or using mobile technology to link farmers to buyers. This is not to say that every impactful business needs a catchy “story” or innovation; even conventional businesses can have tremendous impact. Indeed, in a city plagued by unemployment and corruption – any business that creates jobs and is led with integrity can be said to have positive social impact.
The Nairobi entrepreneurial ecosystem also includes “impact” investors, who deploy seed, early-stage, and venture capital while applying a social impact lens to potential investments. Often, the investment funds are provided on more patient, less onerous terms than conventional venture capital; this gives entrepreneurs more space and time to refine their business models, and – hopefully – achieve profitability and scale. In a business environment like Kenya, such investor flexibility is essential. Would-be marketplace leaders do not have an easy road. High costs, poor infrastructure, and corruption all conspire against the entrepreneur. Furthermore, any business trying to introduce an innovation must convince a skeptical market to try something untested. Figuring out how to learn quickly enough and build a sustainable business with limited capital – this is a tall task for anyone, much less one who seeks to do so with integrity and faith-based values.
It is in serving these up-and-coming leaders – those who aspire to change Nairobi through social enterprise and impact investing – where Resource Global has an opportunity to add value. By the numbers, Kenya is a very Christian nation. Approximately 80% of the population identifies as Protestant or Catholic. However, it is clear there is still much to do in effectively bringing faith and work together. At a recent Nairobi conference sponsored by Resource Global and Hesabika, one speaker after another lamented the reality: Kenya is an ostensibly “Christian” nation, yet corruption and exploitation are pervasive. How, they all asked, can we be a country that is over 80% Christian, and yet we allow – or worse, participate in – such injustice?
The church must face the fact that for too many people, being “Christian” is merely a cultural signifier, rather than an identity, and that the message heard on Sunday may have little bearing on the actions taken on Monday.
In Nairobi, there are many places in which faith can – and indeed, must – transform work. Christ-centered leaders are needed everywhere: government, corporations, NGOs, non-profits, schools, development institutions, and beyond. Resource Global has a part to play too. In 2020, we will focus on providing practical support and mentorship to the social entrepreneurs and impact investors looking for daring, innovative ways to change the city. The stresses of entrepreneurship are high and there are important issues facing those who want to honor Jesus as they navigate this. Resource Global can help by leveraging and adapting the model it has rolled out in other cities. We believe that there can be tremendous benefits in fostering a community of like-minded leaders. We are eager to bring together fellow believers to encourage each other through the trials of entrepreneurship, the excitement of changing their city, and the joy of honoring God in their work.
Anne and Sunru have been living and working in Nairobi, Kenya for over eight years. They are currently helping our Resource Global Team invest in local Nairobi Christian leaders who can make an impact in their workplace and city for the Gospel.