Agritech investment remains low in Africa despite great successes by some startups. Egyptian agritech startup FreshSource Global announced last February 28 it has secured seed funding to finance its expansion. The B2B platform, which connects farms to businesses in Egypt and provides last-mile solutions, said it has raised an undisclosed “seven-figure” round in dollars from Wamda Capital, 4DX Ventures, and some angel investors.
“We are planning to use the funds to expand our team and invest more in our technology. Also, we are going to be covering all of Egypt’s governorates by the end of 2023. By 2024, we will start considering a global expansion plan,” said co-Founder Farah Emara. She believes the new resources will help "accelerate our mission to create more sustainable fresh food systems through data and technology to transform the lives of producers, businesses and consumers and improve the planet."
FreshSource acts as an intermediary between agricultural producers and businesses such as supermarkets. The company founded in 2018 and launched in 2019 relies on a digital platform through which it centralizes supply from farmers and demand from retailers. It ensures that customers' needs are met by reducing the number of intermediaries through which agricultural products pass. It also ensures the safety of agricultural products, particularly in terms of preservation and transportation to the buyer.
By 2020, FreshSource was already claiming 300 local farmers as users of its service, creating 1,500 jobs and also having prevented 200 tons of food loss. According to Farah Emara, "By reducing food waste, you reduce the cost of fresh food and enable a segment of the population that couldn't afford it before to live a healthier lifestyle. Also, this method increases producers’ income and thus improves their quality of life.”
Adoni Conrad Quenum
Africa had 716,000 professional developers in 2021, 3.8% more than in 2020. While this number continues to grow, demand has also reached a record level due to the growth in the hiring capacity of SMEs, which are more inclined to use technology.
Despite the challenges of the Covid-19 pandemic, Africa’s developer ecosystem is making progress. Google revealed, in its Developer Ecosystem Report 2021, that by 2021 the demand for web developers on the continent had reached a record high.
The report, published last February 21, attributes this increase in part to the rise in the use of Internet services by small and medium-sized enterprises (SMEs); an increase of 22%. This has forced them to hire more developers to help them grow their online businesses. In Africa, SMEs hire more than half of the local developers. In 2021, SMEs raised more than $4 billion, 2.5 times more than in 2020.
Outside the continent, the demand for African developers has also increased due to the development of the teleworking system fostered by Covid-19; 38% of African developers work for at least one company based outside the continent.
The number of professional developers grew by 3.8% in 2021. This is 0.4% of the continent's nonagricultural workforce. Nigeria alone produced 5,000 new professionals in 2021. Overall, the continent reached 716,000 professional developers in 2021, compared to 690,000 in 2020. Wages and salaries have also increased, and more developers have secured full-time jobs.
To meet the growing demand for developers, the report calls on global technology companies, local educators, and governments to strengthen the industry. This can be done by investing in both Internet access and education.
“Junior and emerging talent, as well as under-supported groups including women, need vocational training and affordable internet access to benefit from broader progress. Tech companies are making headway through local partnerships,” the document revealed.
The Africa Developer Ecosystem Report 2021 was produced through a study of 16 countries in sub-Saharan Africa: Algeria, Cameroon, Egypt, Ethiopia, Ghana, Ivory Coast, Kenya, Morocco, Mozambique, Nigeria, Rwanda, Senegal, South Africa, Tanzania, Tunisia, and Uganda. This report is the second in a series of studies on the state of the continent's Internet economy. The first, published in collaboration with the International Finance Corporation (IFC), found that Africa's Internet economy has the potential to reach 5.2% of GDP by 2025, contributing nearly $180 billion to the African economy. The projected potential contribution could reach $712 billion by 2050. “To reach this potential, we have to provide better access to high-quality, world-class skilling on mobile technologies platforms coupled with increasing connectivity in Africa. Our effort to increase connectivity is focused on infrastructure, devices, tools, and product localization,” said Nitin Gajria, Google MD for Africa.
Vanessa Ngono Atangana
African digital game production companies are now striving to develop a real industry on the continent. Ten of them, specializing in the production and marketing of video games, have announced the creation of an alliance - Pan African Gaming Group (PAGG) - for this purpose.
“We are creating a portfolio of mobile-first casual games that are fun, non-violent, and gender-inclusive. Our games are Made-In-Africa, For Africa, featuring African heroes wrapped in local culture, music, and environments. This allows our players to see themselves reflected in our games, which makes all the difference,” said Jake Manion, the project director.
The joint venture aims to strengthen the industry, creating more economic opportunities and jobs, sharing resources, skills, and access to markets to enable each member studio to create better games and reach more players. The goal is to position Africa on the map of the global games industry. The project targets the "400 million people connected in Africa with a smartphone," according to World Bank indicators. This opportunity is greater than that offered by Canada, the United States, and Mexico together. The promoters hope to reach a potential market of 680 million people by 2025. The global smartphone and computer gaming industry is attracting a lot of capital. According to Drake Star Partners, an investment bank specializing in financing the sector, $150 billion in new investments is expected in 2022. However, the share attracted by Africa in this capital remains low.
Among the founders of the PAGG is Olivier Madiba, a pioneer in Cameroon in the financing, production, and distribution of video games on computers and mobile phones. There are also leaders in the sector in countries like Kenya and Ghana.
Access to health care has relatively improved in Africa over the past decade. However much remains to be done. Initiatives are multiplying on the continent to bridge this gap.
Smart Africa, an alliance of 32 African countries and international organizations committed to the digital transformation of Africa, and The Commons Project Foundation (TCP) announced last February 16 a partnership to accelerate the delivery of digital health in Africa.
Through this collaboration, the members of both partners have committed to supporting and working on the design, development, deployment, and operation of digital public health infrastructure for Africans. They are also engaging in various digital health pilot projects aimed at strengthening African health systems.
One of the main focuses of the partnership is the SMART Health Card, which allows populations to securely share a verifiable version of their immunization record via a QR code. The innovation being implemented in Rwanda and Kenya is endorsed by the World Health Organization (WHO).
“We believe that the future of healthcare in Africa is digital-first, powered by mobility. This partnership will go a long way in delivering world-class health services to Africa’s citizens such as SMART Health Cards,” said Lacina Koné (pictured), CEO of Smart Africa.
Access to health care remains low in many African countries. The ratio of professionals per 10,000 inhabitants is still far below the WHO standards, which recommend a minimum of 23 health workers to ensure a basic quality of service. Digital technology comes as the solution for Africans to improve health care coverage. For Joe Mucheru, the Cabinet Secretary of Kenya's Ministry of ICT, Innovation, and Youth, the widespread adoption of digital health has the potential to revolutionize healthcare in the same way that the M-Pesa payment system has revolutionized financial inclusion.
Adoni Conrad Quenum
The post-Covid economic recovery has increased competition in various industries, including air transportation. Only the most thriving businesses have a chance to remain profitable. To be part of this group, companies around the world, and mainly in Africa, have made digital transformation a priority. Air Senegal does not want to remain behind on the sidelines of this transformation. The airline signed a partnership with SmartKargo last February 16 to digitize its cargo service.
The deal will see Air Senegal deploy the SmartKargo solution in all functional areas of its cargo business, across its entire network of 22 destinations, including New York, Washington, and Paris, from its hub at Blaise Diagne International Airport.
The solution includes electronic air waybills (e-AWB), single screen data entries, user-configurable Business Intelligence (BI) and reporting, simple and more competitive pricing, and real-time capacity management. Ibrahima Kane, CEO of air Senegal, said: “the advanced SmartKargo platform will enable us to build and develop a new, modern and robust air cargo business. The fully digital solution is the best technology available and will propel Air Senegal forward by allowing us to grow our cargo business to its full potential.”
According to Air Senegal, the new platform will enable it to “transform its cargo business and successfully face the future with robust capabilities, cargo management solutions, and advanced technologies such as real-time information, business intelligence, and machine learning."
In its "passenger-it-insights-2020" report published in 2020, the International Air Transport Association (IATA) considered Covid-19 to be the most important stress test the airline industry has ever faced. IATA said a digital transformation was necessary for airlines to adapt to rapidly changing regulations, safety scenarios, and logistics.
Adoni Conrad Quenum
Investment in African tech startups has gradually improved over the past five years. However, the tech industry on the continent has the potential to attract much more. In its "Supercharging Africa's Startups: The Continent's Path to Tech Excellence" study released February 15, the Tony Blair Institute for Global Change estimates that African startups could raise more than $90 billion by 2030. To do this, the institute suggests 10 steps to follow:
The document found that “pre-pandemic, 22% of the working-age population had set up their own businesses. However, cumbersome regulations, the digital-skills gap, limited funding, and fragmented markets mean that Africa accounts for just 0.2% of the value of global startups.”
Although investment in African tech startups is still low compared to other regions, it has still seen a sharp increase over the past four years. In its "Africa's Investment Report 2021," Briter Bridge revealed that the amount reached $4.9 billion in 2021, 243% higher than 2020.
The "Lions go digital: The Internet's transformative potential in Africa" report by the McKinsey Global Institute estimated that the digital economy would contribute $300 billion to Africa's GDP by 2025, providing much-needed jobs on a continent where there are three to four times more people entering the labor market than actual jobs created. A favorable ecosystem for startups in Africa could make them future job providers for the youth who are increasingly becoming fans of technology.
Muriel Edjo
Acronis, which specializes in data protection services provision, announced yesterday it has opened a center in Lagos, Nigeria. This is the first center of its kind in Nigeria, but the second in Africa. The first is in Johannesburg, South Africa.
“The opening of the Nigerian data center is part of the Acronis Global/Local Initiative, an effort that includes global management for all data centers, geographic redundancy, and control for local partners, and a local disaster recovery site - all with competitive pricing,” the company said in a statement.
The opening of such a center in Nigeria is in close line with the recent digital developments in Africa’s most populous country. Last year, Nigeria captured $1.4 billion in VC investments, out of $4 billion for the whole continent. The ugly side of this performance is the growing cybersecurity issues in the country. According to the global cybersecurity index 2020 published by the International Telecommunication Union (ITU), Nigeria is still lagging regarding data protection, ranking 47th out of 182 countries.
“Today, the world depends so much on data to the point where we can say data is life, and data security cannot be over-emphasized. We at Madonna Systems are so proud to be associated with Acronis, a foremost leader in cyber protection. With the opening of their new Data Centre in Nigeria, Acronis demonstrates its level of commitment to the African Market,” said Chidi Oliseowe, Team Lead at Madonna Systems Nigeria Limited.
The startup accelerator FAST, an initiative of Flapmax in partnership with Microsoft, announced the opening of applications for the Scaling Africa's Digital Ecosystem program. The program focuses on identifying, supporting, and funding the next generation of African innovators for large-scale development.
Applications are open until February 22 at https://www.fastaccelerator.com/. Selection criteria include: being based in Africa, being ready to scale or expand on the continent, having established a product-market fit, and generating revenue.
B2B startups are prioritized. Healthtech, Fintech, Edtech, and Industrials/Agritech startups will be particularly targeted. Applicants should be committed for the entire duration of the program, from March 7, 2022, to May 27, 2022.
The Organisation Internationale de la Francophonie announced the opening of several digital training courses for young Africans. The program, which first targets Tunisia and Togo, is part of the pilot phase of the institution’s "D-CLIC, train yourself in the digital" initiative.
The training targets people aged between 18 and 35. In Tunisia, the first course focuses on the development of multiplatform video games while the second addresses the production of augmented reality / virtual reality applications. The courses are organized in partnership with NetInfo and will be held in the cities of Nabeul and Tunis, starting from February 11, 2022, for 12 weeks each. Registrations are open until February 10.
In Togo, the training will be held in Lome on web and mobile application development. The courses, led by the pan-African organization Energy Generation, will be held over 6 months.
Ten countries overall are targeted by the "D-CLIC, train yourself in the digital" program. These are Côte d'Ivoire, Djibouti, Gabon, Haiti, Madagascar, Mali, Niger, DR Congo, Togo, and Tunisia. While several of these countries have already hosted training, and will soon host additional modules, Djibouti and Gabon are expected to soon host their first courses.
"D-CLIC, train yourself in the digital" is aimed at strengthening the technical and professional digital skills of young people and women in the Francophone area to increase their chances of accessing decent jobs in business and entrepreneurship.
Vanessa Ngono Atangana
The Ministry of Economy and Finance (MEF) and the Investment Promotion Center (CEPICI) in Côte d'Ivoire are working to digitalize their services. The local company Snedai Technologies is providing its technical assistance to help in the process.
The contract with the Ministry of Finance, on behalf of the Observatory of the Quality of Financial Services (OQSF), concerns the development of web and mobile applications that will enable the public body to better ensure financial education of the population. These digital tools will also serve as a financial mediation platform that will further promote the amicable settlement of individual disputes between financial organizations and their clients.
The digital services company will also provide the OQSF with a website to compare the offers of financial services providers. The goal is to promote transparency, ensure user understanding, and enhance the comparability of services. The deal with CEPICI focuses first on the development of a modern digital and responsive platform for electronic mail management (EML), followed by project management, performance management, investor monitoring, and dashboard management through business intelligence.
The acquisition of digital tools is in line with the government’s ambition to digitalize public services in the financial sector, through the Project to Improve Governance and Delivery of Basic Services to Citizens (PAGDS).
Launched in 2019 and financed by the World Bank, the project has already enabled, among other things, the deployment of the electronic revenue payment platform -Net collect- in 54 communities; the operationalization of the Treasury's e-payment platform -Tresor pay- for the online collection of state revenues; and the operationalization of the road contract management platform -ageroutemarche.ci.
Adoni Conrad Quenum
Ranked in 2020 among the least prepared nations in Africa for e-government, Madagascar received $140 million from the World Bank in 2021 to improve its score.
The UK is ready to help Madagascar accelerate its digital transformation. The subject was discussed recently between Tahina Razafindramalo (photo, right), Madagascar's Minister of Digital Development, and the British ambassador to Madagascar, David Ashley (photo, left). The exchanges focused on the digitalization of public services, cybersecurity, and data protection in Madagascar.
David Ashley says his country will offer expertise in this domain to help Madagascar better meet the multiple needs identified for the promotion of e-governance and support the digital transformation process. A possible collaboration with the British private telecommunication sector was also discussed.
With the Covid-19 pandemic, the dematerialization of public services is accelerating worldwide and particularly in Africa. Madagascar ranked 172nd out of 195 countries, according to the UN's E-government development index 2020, with a score below the East African and African average. In September 2021, the country received $140 million from the World Bank to streamline and digitize key services and improve the government's capacity.
Adoni Conrad Quenum
Over the past decade, ICT has been touted as an asset for the modernization of several business sectors. In the security sector, there are many applications for law enforcement.
On Thursday, February 3, the Gabonese technical and scientific police received, in Libreville, a batch of technical equipment from France. The equipment was handed over by the French ambassador to Gabon, Alexis Mikhaël Lamek, and received by the Minister of State, Minister of the Interior, Lambert-Noël Matha. It will help Gabonese authorities better fight crime, document fraud, or child and women abuse by contributing to the establishment of a digital criminal database.
Among the equipment received are scanners, an episcope for the coding and reading of analytical characters of fingerprints, various equipment for the biometric signaling of persons in custody. "This new equipment will especially help to boost the functioning of the Directorate of Technical and Scientific Police, making it more efficient when searching for objective proof of guilt or innocence," said the Minister of the Interior.
Last year also it should be recalled, France gave similar equipment to the Gabonese police, notably as part of the French-Gabon internal security partnership.
The digital criminal file will enable the Gabonese police to link criminals to their crimes more easily. It will do so by helping them rapidly identify matches and differences between prints, marks, and clues secured on crime scenes or from the victim(s) during a police investigation.
Adoni Conrad Quenum
Already operational in Nigeria, Ghana, and Kenya, the mobile app’s founders now prospect in Europe, India, and Australia. They want to make the app a reference in the car industry.
On Feb 4, 2022, the South African start-up secured $1.3 million in a follow-on round that recorded the participation of Kalon Venture Partners, Launch Africa Ventures, IDF Capital, Allan Gray E2 Ventures, and AlphaCode. The first three investors had already contributed an undisclosed amount during Carscan’s seed round in October 2020.
Carscan is an augmented reality (AI) mobile application with integrated artificial intelligence (AI). It creates an accurate, reliable, complete, and traceable exterior or interior scan of a car. Launched in 2019 by Obins Choudhary and Chander Prakash, it helps actors of the car market buy, sell, lease, maintain, insure, finance, and auction cars with confidence.
With a database of over two million pictures of cars in different conditions, the app's technical inspection of cars helps detect modifications, dents, scratches, etc., estimate the overall condition of a car and estimate the extent of repairs needed in real-time. The app is also useful for insurers and individuals.
Chander Prakash, the co-founder of Carscan, said the company “is working with some local and international clients and has been developed in conjunction with one of the largest players in the automotive sector in South Africa.”
Explaining their interest in Carscan, Clive Butkow, CEO of Kalon Venture Partners, said the startup has demonstrated exceptional talent and its solution solves a large problem across industries. He said the new round is “testimony to the growth of the company and the Carscan’s team’s ability to deliver a solution solving a large problem across industries.”
Within three years only, Carscan has grown considerably. The App is already available in Nigeria, Ghana, and Kenya. This, its founders hope to expand to the European, Indian and Australian markets.
Ruben Tchounyabe
Under the digitalization process it initiated in recent years, the Ghanaian government announced the launch of an electronic travel card for public officials and envoys.
According to Vice President Mahamudu Bawumia, who introduced it last February 4 at the closing ceremony of the Annual Conference of the Controller and Accountant General’s Department (CAGD) in Cape Coast, the new instrument aims to bring further transparency and accountability in the use of public funds.
“Since independence, public officials were provided cash for their impress when they travel. This system had many associated problems, including the risks of carrying cash and fraud in the disbursement of impress […] Today, that era is coming to an end with my launch of the e-Travel Card to facilitate the cashless disbursement of travel allowance and other payments for local and foreign trips of public officials,” he said.
The Vice President said the solution will eliminate the risk of carrying cash, enable the timely retirement of accountable impress, and ease improved monitoring and control of budgetary allocations for all official travel to avoid overspending. The e-travel card was developed in partnership with Fidelity Bank. It aligns with the government strategy in place since 2006 to improve governance and development through ICTs.
Adoni Conrad Quenum