At a Glance
- CREA Fund deploys €5 million ($5.89 million) guarantees to ease financing barriers for creative businesses.
- Technical assistance trains lenders to better serve Africa’s cultural and creative industries.
- EU initiative targets job creation and economic growth across Africa and the Caribbean.
The European Union, through its CREATIFI initiative in partnership with Proparco, has launched the CREA Fund, a targeted facility designed to break down persistent financing barriers stifling the growth of creative and cultural industries in emerging economies, particularly across Sub-Saharan Africa and the Caribbean.
The move marks a decisive step to unlock the economic potential of a sector that generates approximately 3 percent of global GDP and supports 30 million jobs worldwide, according to UNESCO estimates.
Guarantee and technical assistance deployed to address structural challenges
Launched in 2022 under the EU’s broader CREATIFI program, the CREA Fund operates through a dual mechanism: a €5 million ($5.89 million) guarantee to de-risk investments in creative enterprises and €1.47 million ($1.74 million) in technical assistance to train financial intermediaries and equip them to serve this often-overlooked segment.
These measures specifically target structural obstacles that have long hindered access to credit for creative companies—ranging from the intangible nature of their assets to the predominance of small and medium-sized enterprises lacking collateral and formal track records.
The CREA Fund’s guarantee component enables Proparco and FISEA partner institutions to channel funding to businesses earning at least half their revenues in creative and cultural industries.
The technical assistance pillar supports market studies, staff training, and advisory services to improve sector understanding and develop tailored financial products.
Emerging economies see rising demand for creative financing
Two recent EU-supported studies underscore the urgency of intervention. One review, “Success Stories in the Creative Industries in Africa and Other Emerging Markets,” profiled twelve high-performing creative businesses as models for replication.
Another study focused on the Dominican Republic and Jamaica, highlighting persistent financing gaps in the film industry despite rising regional demand.
The CREA Fund’s coverage spans more than 40 countries, including Nigeria, Ghana, Kenya, Senegal, Tanzania, and Zimbabwe, as well as Caribbean nations such as Jamaica and the Dominican Republic.
In many of these economies, the creative sector remains a vital but underdeveloped contributor to employment and cultural exports.
Support aligns with broader EU development objectives
The facility is part of the EU’s long-term commitment to fostering sustainable growth, job creation, and innovation across Africa and the Caribbean.
By combining de-risking tools with capacity building, the initiative aims to position creative industries as drivers of inclusive economic transformation.
The CREA Fund’s deployment highlights the growing recognition that cultural and creative industries, once seen as niche, are integral to resilient development strategies in emerging markets.
