A new philanthropic investment vehicle led by Wasoko founder Daniel Yu is seeking to mobilize $100 million to tackle one of Africa’s most persistent challenges: the shortage of high-productivity jobs.
The Africa Jobs Fund (AJF), launched Wednesday and housed under Renaissance Philanthropy, will channel capital into companies operating in export manufacturing and international labor mobility—two sectors widely viewed as among the most effective pathways out of poverty.
The fund aims to more than double the lifetime earnings of at least 250,000 low-income workers, generating over $50 billion in income gains across sub-Saharan Africa.
“Persistent poverty is at its core a jobs problem,” Yu said in a statement. “Those same people, in the right job at home or abroad, could earn significant multiples of their income.”
A Widening Jobs Gap
Africa is projected to account for nearly 600 million of the world’s extreme poor by 2040, even as only about 3 million formal jobs are created annually—far short of what is needed to absorb the continent’s rapidly growing workforce.
AJF’s strategy zeroes in on sectors with proven historical impact.
Export manufacturing has long driven economic transformation in countries from China to Mauritius, offering a route from subsistence agriculture to higher-productivity wage employment. African economies are increasingly competitive, with lower wage costs, preferential trade access to major global markets, and growing demand from buyers seeking to diversify supply chains.
Yet early-stage manufacturers often face steep barriers, including workforce training, supply chain development, and securing international buyers. AJF plans to back “pioneer firms” that can overcome these hurdles and attract follow-on commercial capital.
Tapping Global Labor Demand
The fund’s second pillar—international labor mobility—targets a rapidly expanding global market. More than 15 million people migrate annually to high-income countries, a figure expected to rise as aging populations fuel demand for workers in sectors such as healthcare, logistics, and skilled trades.
The income differential is stark: workers earning about $2,000 annually in Africa can earn upwards of $40,000 abroad.
However, access remains constrained by opaque recruitment systems, high upfront costs, and limited training infrastructure. AJF aims to invest in companies that formalize and scale ethical migration pathways, connecting African workers with overseas employers while reducing friction and exploitation.
Backed by High-Profile Advisors
Yu, who previously raised $145 million for Wasoko and scaled it to serve over 150,000 informal retailers, will lead the fund alongside Operating Partner Ben Hyman, founder of recruitment firm Talent Safari.
The initiative is supported by a roster of prominent advisors, including Iyinoluwa Aboyeji, co-founder of Andela and Flutterwave, and Samantha Power, former USAID administrator and U.S. ambassador to the United Nations.
“In my time leading USAID, it became clear that helping people access better jobs… is one of the most powerful tools we have to lift families out of poverty,” Power said.
A Philanthropic Venture Model
AJF operates under Renaissance Philanthropy, a nonprofit founded by former White House advisors Tom Kalil and Kumar Garg, which designs time-bound, thesis-driven funds led by sector experts. The organization has already catalyzed more than $533 million across sectors including artificial intelligence, climate, and healthcare.
Kumar Garg said AJF reflects a shift toward more analytical, operator-led approaches in development finance.
“The team has identified the highest-return interventions in poverty alleviation and has the venture-building experience to activate founders who can execute,” he said.
Betting on Scale
For African founders, the fund represents a targeted push toward job creation at scale.
“African founders have shown they can build category-defining companies,” Aboyeji said. “The next decade is about building the ones that put millions of people to work.”
If successful, AJF could signal a broader shift in how philanthropic capital is deployed on the continent—less toward aid, and more toward market-driven solutions designed to generate both economic returns and large-scale income growth.