Uganda-based Pearl Capital Partners, a venture capitalist in agribusiness, announced that it had launched its Africa Agricultural Capital Fund worth around KES2.2 billion. The fund, the company said, will be used to finance small but growing businesses in agribusiness and general agriculture companies in East Africa.

"I do not want to reveal the actual returns in the industry, but what we have seen in the past few years of investing in agribusiness in East Africa is mind blowing," Pearl Capital Partners representative Wanjohi Ndagu said.

The capital raised for the fund will be devoted in small firms in the agricultural sector across East Africa. The coverage include organizations actively engaged in agro-processing, irrigation systems, seed development, among others.

"Twenty start-up businesses that have the potential to transform the lives of small-hold farmers will receive between KES25.5 million and KES 212.5 million in the form of equity, debt or a mix of the two," PCP managing partner Tom Adlam said.  75% of the fund, or roughly around KES1.653 billion, will be invested in key East Africa countries such as Kenya, Tanzania, and Uganda.