Portfolio
Review
2017

MDIF has a 22-year track record of investing in independent media that provide the news, information and debate that people need to build free, thriving societies around the world. We provide affordable debt and equity supported by tailored technical assistance to help independent media develop sustainable businesses, strong enough to hold governments to account, expose corruption, promote transparency and compete with state and oligarch media.

Since 1996, MDIF has invested in 113 independent media businesses in 39 countries with a history of media oppression, providing $169.2 million in financing, including $147.8 million in loans and equity investments, $20.8 million in technical assistance and TA grants and $0.6 million through Digital Kiosk, the secure payment service for independent media.

With a loss rate of 10.8% of the total invested, MDIF has received back over $70.4 million in recovered principal invested, while earning more than $41.5 million in interest, dividends and capital gains, and returning over $45.9 million to investors.

Malaysia NOT FREE

Reporters Without Borders’ World Press Freedom Ranking: 145

In Malaysia, the Court of Appeal ordered news site Malaysiakini to pay 350,000 ringgit (approximately US$88,000) in damages and costs to an Australian mining company. In what appeared to be a political move ahead of the general election scheduled for 2018, the appeal court overturned a finding that the reporting on mining contamination was motivated by public interest. A Malaysiakini appeal to readers raised the full libel award in just 12 days.

Myanmar NOT FREE

Reporters Without Borders’ World Press Freedom Ranking: 137

In Myanmar, three reporters from two news businesses taking part in our Myanmar Media Program spent more than two months in jail. Democratic Voice of Burma reporters Aye Nai and Pyae Phone Naing, and Lawi Weng of The Irrawaddy magazine were arrested by the military in northern Shan State after reporting on a drugs-burning ceremony in an area controlled by the Ta’ang National Liberation Army. In September the military dropped the charges and the journalists were released.

Throughout 2017, we continued to expand our program of technical assistance under Media Advisory Services (MAS). Across all our funds, MAS provided clients with tailored consulting and training, adjusted to their specific needs and challenges they face.

Over the year, we deployed $1.9 million in technical assistance, an increase of 35.4% compared to 2016. We provided 35 grants and carried out dozens of capacity building activities, including 12 one-on-one consultant visits. We also organized 5 group events, including a hackathon and 4 workshops covering advertising sales, product management and video production. We also supported travel and other related costs for clients participating in several media sector conferences and relevant outside events. As a result, a total of 155 media workers attended training events with MDIF support over the year.

MAS also develops resources for media managers designed to help clients and applicants for funding understand some of the key topics in digital news management. In 2017, we launched a series of practical guides, releasing 3 new publications covering product management, paywall implementation and data journalism.

We teamed up with OSF-South Africa and Omidyar Network to launch SAMIP – a $4 million, 3-year initiative that seeks to accelerate digital media innovation among independent media organisations in South Africa. In 2017, SAMIP held its first Innovation Challenge to identify qualifying projects that engage and inform local communities and are passionate about trying new approaches to providing news and information. Out of more than 200 organisations, teams and individuals who submitted their ideas, projects and businesses, 9 were selected. The finalists include media organisations, startups and non-profits that seek to tackle a number of important issues in the South African media landscape, from community radios and citizen journalism platforms to multimedia digital publishing platforms. The program will provide funding and capacity building to organisations selected to participate.

MMP continued to provide intensive capacity building throughout 2017, and in December entered its third year. Funded by the Swedish International Development Cooperation Agency (Sida), the $2.4 million, 3-year program is designed to strengthen the independent news sector in Myanmar through long-term, intensive, tailored technical assistance. It supports 13 independent Myanmar media, including TV, online and print national outlets, as well as ethnic and regional media organisations. While the focus and amount of capacity building is different for each company, in 2017 we deployed a mix of in-house expertise and mentor-coaches from Southeast Asia offering long-term one-on-one coaching, short-term specialist technical assistance consultancies, thematic workshops, peer-to-peer visits, regional and international event participation and access to a small grants program.