Africa Conservation & Communities Tourism (ACCT) Fund

Date: 2022

Asset Class: Private Debt Catalytic

Description:  ACCT Fund is financing tourism operators (safaris, camps, national parks) with flexible debt-to-revenue-share capital so they can bounce back from economic downturns. The Fund also puts impact covenants in place to enhance conservation practices, increase the number of hectares sustainably managed, hire local staff, and source materials from local communities. ACCT will invest in 30-40 companies in east and southern Africa, primarily Kenya, Tanzania, Namibia, Botswana, Zambia, and South Africa.

Why We Invest: Sub-Saharan Africa is home to a disproportionately high number of at-risk biodiverse wildlands and wildlife. The destruction of these natural landscapes deteriorates planetary health and contributes to climate change challenges. At the same time, eco-tourism operators who manage protected areas were economically hurt through the pandemic and do not have the financing to revert to pre-pandemic operations. ACCT nurtures tourism companies to tightly integrate environmental and societal impact into their business models by adopting better conservation practices, employing local workers full-time at fair wages, and promoting land ownership for native Africans. The expected impact return is protecting and sustainably managing 650,000 square kilometers. ACCT is a partnership between The Nature Conservancy and Third Way Partners, an investment and advisory firm focused on sustainable development. The involvement of The Nature Conservancy gives us further confidence that this investment will deliver outsized impact.