For small and medium-sized businesses in the Northern Cape, access to capital has long been the difference between a good idea and a growing one.

Aiming to change that, a recent two-day conference – the Anglo American Impact Finance Network Ecosystem and Deal-making activation – took place in Kathu. Anglo American’s Impact Finance Network (IFN), working in partnership with Kumba Iron Ore and the UK Government’s Foreign, Commonwealth and Development Office (FCDO), convened an ecosystem of investors, financiers, local businesses and government representatives in Kathu on 2 and 3 June.

This event, a “mini InvestFest” for the region, brought together the people and the capital needed to unlock real economic opportunity in one of South Africa’s most resource-rich but underserved provinces.

At its core is the Impact Finance Facility (IFF), launched in February at the Mining Indaba. The facility provides flexible, low-cost repayable loans to early and growth-stage businesses that are commercially viable but consistently overlooked by traditional lenders – businesses that have the fundamentals, but not the collateral or credit history that banks typically require.

Kumba has committed R51.2 million to the IFF over five years, with a focus specifically on the Northern Cape. This is complemented by £4.5 million from the FCDO to scale the facility and support innovative businesses across Anglo American’s host communities.

Funding focused on the Northern Cape

“The Northern Cape is home to our people and our operations,” says Pranill Ramchander, Head of Corporate Affairs for Kumba Iron Ore. “This event was about making sure that local businesses can access the finance and the networks they need to grow, creating jobs and strengthening communities in ways that will endure well beyond mining.”

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The first day of the event brought together local businesses with alternative finance service providers – lenders and financiers who offer more flexible, tailored solutions than commercial banks. The programme was designed to be hands-on: SMEs attended rotating workshops on loan readiness, financial planning and what it takes to prepare a credible funding application.

On day two, the focus shifted to the broader ecosystem. Investors, development finance institutions, corporates, local government and community businesses connected through speed-networking sessions, pitch opportunities and fireside conversations.

Partnerships for sustainable economic growth

These are the kinds of partnerships, between the private sector, government, and international development partners, that Anglo American has long championed. They reflect the belief that no single company can create a deep, lasting impact alone.

Emma Parker, Sustainable and Impact Finance Manager at Anglo American, says the model is already proving its worth.

“The IFN’s work in the Northern Cape has surfaced 33 investment-ready deals worth R576 million – businesses that are ready to grow if the right capital can reach them. The IFF exists to make that possible.

“Addressing this challenge requires collective effort. What we are building in Kathu is an ecosystem – where investors, corporates and community businesses all have an integral role to play in creating a sustainable economic future for the region.”

For the Northern Cape this means businesses do not have to travel to find funding. It means a good idea with a solid plan can actually get off the ground. For the small business owner in Kathu, that’s what matters most.