Is it possible to invest profitably in Somalia? ..and do these pictures give a precise illustration of the region? Although the troubles cannot be ignored – ‘there have been more positive developments thant the country gets credit for

A different part of the story.. … is one of hope, one of growing businesses, one of hidden entrepreneurial potential of women and one of the Diaspora going back and helping people.

SHURAAKO CONNECT INVEST JOBS Three Tiered Approach Shuraako is a program of the One Earth Future Foundation that will foster a thriving Somali economy that contributes to resilience and peace Three Tiered Approach CONNECT INVEST JOBS

SHURAAKO OVERVIEW Local Approach Somalia Shuraako has developed and expanded its local infrastructure over the past four years which now includes offices throughout the country and a highly skilled permanent staff Local Approach Somalia Approach to investments tailored to local conditions. Character checks and relationships are key to succeed in the Somali market. Shuraako actively manages and monitors each investment through collection of reports, site visits and home office risk monitoring.

Region (% of Portfolio): SHURAAKO PORTFOLIO OVERVIEW Shuraako has catalyzed over $8.0 million in investment and managed over 90 loans in Somalia projected to create over 1,200 jobs. Impact: Brokered investments for Somali-based Businesses Total Economic Impact 90+ $8.0m $7.5m Projected Jobs Created 1,268 Region % Somaliland 52% Puntland 33% South Central 15% Region (% of Portfolio): Per total facilitated investment dollars 87

Portfolio Loan Repayments(1) SHURAAKO TRACK RECORD Shuraako’s relationship driven model has maintained timeliness of portfolio repayments Track Record Portfolio Aging Portfolio Loan Repayments(1) 2015 2016 Correlation Coefficient r = 0.95 2014 2015 2016 Loan Loss %(2) 1.4% On a portfolio basis, Actual payments are highly positively correlated to Expected payments with a correlation coefficient of 0.95. Any amount that is lost due to default or write-off is recognized in the loan loss ratio, which is currently at 1.4%.

The Nordic Horn of Africa Opportunities Fund Financial Viability Norfund and Shuraako have come together to create the Nordic Horn of Africa Opportunities Fund Nordic Investors Support from Norwegian MFA > 5% net USD return First initiative of its kind Fill market gap Lay the foundation for peace Environment Social Governance Standards Development Effects

VALUE PROPOSITION The Nordic Horn of Africa Opportunities Fund is a USD 10 million permanent capital vehicle with USD 3 million loss protection that will finance Somali SMEs Strategy Financing of local SMEs through proven approach and track record. Sharia-compliant investment structures – Murabahah. Focus Within three years create investment portfolio of 30-50 SMEs. Support local businesses across Somalia. Approach Murabahah Sharia financing. Create a vehicle for the long term - with dividends and liquidity events for investors. Team Local on-the-ground teams in Hargeisa, Mogadishu and Puntland. Senior Support Team in Denver, Colorado.

Somaliland Investment Forum 2017