News (1785)
Africa's tech sector has seen rapid growth in the past decade. This led to a surge in the number of investment vehicles to support its expansion.
Anava, a Tunisian fund of funds, announced on Monday its €4 million ($4.4 million) investment in Janngo Capital Startup Fund (JCSF), a fund focusing on African technology. Anava, a €60 million ($66 million) fund, is financed by the World Bank, Caisse des Dépôts et Consignations, and KFW.
The investment aims to support approximately 25 seed-stage startups in healthtech, fintech, and edtech sectors across French-speaking Africa. The goal is to enhance market and capital access for African businesses, create sustainable jobs at scale, and prioritize women and youth.
Fatoumata Bâ, founder and executive chairman of Janngo Capital, said the investment would directly contribute to unlocking massive growth and positive economic, social, and environmental impact in Tunisia and beyond.
The investment comes amid a decline in funding for Africa’s technology sector. In 2023, startups on the continent attracted less capital than in 2022. According to the United Nations Development Programme, 89% of the venture capital in Africa’s tech ecosystem is foreign. Several African funds have been launched this year to improve startups’ access to finance.
In 2023, African startups raised $1.8 billion, a 40% decrease from the $3 billion raised in 2022.
Adoni Conrad Quenum
IFC's equity investment indirectly supports the least financed African startups. This comes amid a 36% plunge in funding raised by African startups in 2023, to $3.2 billion.
International Finance Corporation (IFC) disclosed yesterday, a $10.5 million investment in the 4DX Ventures fund, which supports African tech companies. This investment was facilitated by a new platform launched by the IFC in November 2022, designed to bolster venture capital ecosystems in Africa, the Middle East, Central Asia, and Pakistan.
“By supporting the development of tech ecosystems in emerging markets, IFC's venture capital platform aims to improve access to key services, boost business competitiveness, and promote job creation through digital transformation,” stated Mohamed Gouled, IFC’s Vice President of Industries.
The investment in the 4DX Ventures fund aligns with IFC’s commitment to backing tech entrepreneurs whose innovations are poised to propel Africa forward in key sectors such as climate, healthcare, fintech, e-commerce, and education.
This move comes amid a 36% decrease in fundraising by African startups in 2023, dropping to $3.2 billion, according to research firm TechCabal Insights. IFC data indicates that Africa is among the regions least served by venture capital, receiving a mere 2% of the global venture capital deal volume in the third quarter of 2023.
This investment is expected to provide further support to African startups, aiding promising tech startups in building transformative businesses and making a lasting impact on the continent’s development.
Samira Njoya
African development strategies prioritize lifting women out of financial insecurity. Various stakeholders across the continent are contributing initiatives to address the issue.
Fondation Orange Côte d’Ivoire (FOCI) and Orange Bank Africa (OBA) have advanced their commitment to empowering women entrepreneurs by establishing the Women’s Digital Home Fund for Women’s Empowerment (Fomdaf). Announced at a signing ceremony on March 21, 2024, the initiative aims to provide financial backing to vulnerable women entrepreneurs, enabling them to fully realize their business potential.
The guarantee fund, valued at XOF100 million ($165,700), is provided by Fondation Orange Côte d’Ivoire and managed by Orange Bank Africa. It is designed to enhance financial access for women beneficiaries of the Digital Homes project. With this guarantee, eligible women entrepreneurs can access loans totaling up to XOF500 million. Each woman can borrow between XOF1 and 20 million, with flexible repayment terms over a period of 6 to 24 months, at a competitive annual interest rate of 8.5%.
“Today, 32% of Orange Bank customers are women […] We are now moving on to another stage with this fund, which will support women as they grow,” stated Alexandre Oro, Secretary General of Orange Bank.
The signing ceremony also featured the presentation of the Coups de Coeur Ô Féminin Awards, an initiative launched in 2017 by the Fondation Orange Côte d’Ivoire to support women trained at the Maisons Digitales in their entrepreneurial endeavors. These awards, divided into three categories, offer prize pools of up to 10,000 euros (around XOF6,500,000) for the winners, bolstering their financial access and their ability to transform innovative ideas into reality.
To date, only 48 projects have been financed out of 6,871 women trained. This figure underscores the distance yet to be covered to fully achieve the goal of economic empowerment for women in Côte d’Ivoire.
Moutiou Adjibi Nourou
Digital technology plays a crucial role in Japan's economy, society and technology. Having made significant progress in this field, the country is keen to share its knowledge and successes with other nations, including Burkina Faso.
Japan is ready to support Burkina Faso in the implementation of its digital projects, Japanese ambassador to Burkina Faso, Jun Nagashima (photo, left), said during an audience with the Minister for Digital Transition, Posts and Electronic Communications, Aminata Zerbo/Sabane (photo, right), on Friday, March 22.
"On behalf of Japan, I want to reiterate our strong commitment to continuing cooperation with Burkina Faso, especially in the digital realm. In today's globalized world, digital technologies are essential drivers of development. Japan has extensive experience in this field, and we're eager to share that knowledge and collaborate with Burkina Faso," said Jun Nagashima.
Japan has been among the leading nations in technology, especially robotics, for several decades. Japanese companies have developed numerous prototypes to simplify people’s lives. The country also excels in artificial intelligence, the Internet of Things (IoT), and video games. In 2016, the Japanese government launched an initiative called Society 5.0, aimed at leveraging technology to address societal and economic challenges such as an ageing population and regional disparities in living standards.
In the realm of telecommunications, Japan is at the cutting edge of technological advancements in fibre optics development. The country holds the record for high-speed internet access, with Japanese scientists achieving a transmission of 22.9 petabits per second in a single optical fibre in December.
Collaboration in these areas would allow Burkina Faso to fully benefit from Japan’s advanced digital transformation expertise. Through experience sharing, Burkina Faso could leverage Japan’s proficiency, particularly in the development of digital administration, digitisation of public services and administrative procedures, and the application of artificial intelligence, among other areas.
Samira Njoya
In addition to collaborating with nations across different continents, African countries are joining forces to accelerate their digital transformation. This is the case of the cooperation between Zimbabwe and Mozambique in the judicial sector.
Mozambique plans to digitize its entire judicial system. Against this backdrop, the President of the Mozambican Supreme Court, Adelino Manuel Muchanga (photo, left), visited his Zimbabwean counterpart, Luke Malaba (photo, right), on Wednesday 20 March. The aim was to learn more about the Integrated Case Management System (IECMS) used by the Zimbabwean judicial services.
"We came to see what happened in Zimbabwe when it came to implement successfully the system and I think the key to the success, among other reasons, is that this is a national program," says Adelino Manuel Muchanga. He continued: "We are at the starting point and I think we will take this experience to Mozambique and see how we can involve the Government and other stakeholders so that we implement the system for many advantages that the systems can bring to the efficiency of the judicial system in Mozambique."
Like many African countries, Mozambique is in the process of digitally transforming key sectors of its economy. Countries such as Senegal, Côte d'Ivoire, and Kenya have already embarked on this path, investing several million dollars in the process. Earlier this month, the Chief Justice of the Supreme Court of Kenya, Martha Koome, set 1 July as the deadline for her country's courts to stop printing pleading documents. These decisions aim to improve the efficiency of the judicial system and facilitate access to legal services for the population, notably those living in remote or isolated areas.
Zimbabwe's judicial services have been using IECMS since 2018. According to Luke Malaba, it particularly helped Zimbabwe improve efficiency and transparency in the sector.
Adoni Conrad Quenum
Amid the ongoing digital transformation, the digital sector has emerged as a significant source of employment. It presents a plethora of job opportunities for the youth. By equipping themselves with the necessary skills, they can capitalize on these opportunities for an easier transition into the workforce.
On Friday, March 22, tech company Huawei announced plans to train over 5,000 young individuals in Burkina Faso in ICT skills within the next five years. The announcement was made by Christophe Liu, the Managing Director of Huawei Burkina, following a meeting with the President of the Transition and Head of State, Ibrahim Traoré, and the Minister of Digital Transition, Posts and Electronic Communications, Aminata Zerbo/Sabane.
“We have come to update the Head of State on the various projects we are implementing. We aim to train the Burkinabe youth in ICTs, including 5G, cloud, and AI. We are initiating a project with the government and the Ministry of Digital Transition, Posts, and Electronic Communications,” stated Liu.
In addition to training, Huawei announced other initiatives, including the installation of a fiber optic cable extending over 2,000 km to provide internet connectivity in the country’s most remote regions. This fiber optic cable will also connect various administrative sectors to enhance communication efficiency.
These initiatives align with Huawei’s commitment to assist the Burkina Faso government in achieving the goals of the national digital economy development strategy, “e-Burkina”. This strategy aims to educate citizens about new technologies, create inclusive and sustainable employment opportunities for the youth, and foster the growth of the digital economy in Burkina Faso.
Samira Njoya
Côte d’Ivoire and China, maintaining a robust bilateral relationship spanning four decades across multiple sectors, have recently chosen to enhance their collaboration in the digital sector.
Chinese tech giant Huawei has pledged to continue its support for Côte d’Ivoire’s digital initiatives. Terry He (photo, left), President of Huawei’s Africa zone, reiterated this commitment during a meeting with Kalil Konaté (photo, right), the Minister for Digital Transition and Digitalisation, and his team in Abidjan on Thursday, March 21.
As per a press release from the ministry overseeing digital affairs, the initiatives include AI and digital technology training for the youth, the construction of digital libraries on a 36-hectare site to accommodate individuals recently relocated from high-risk areas, and the modernization of the Ivorian postal service.
Huawei’s renewed commitment to Côte d’Ivoire is an extension of the tech company’s ongoing efforts in the country. A partnership was established four years ago, in which Huawei agreed to bolster the development of Côte d’Ivoire’s ICT industry and assist in formulating its national digital economy development strategy, “Côte d’Ivoire Numérique 2030”.
The intensification of this collaboration, which has already yielded positive results, is expected to unlock new technological prospects for Côte d’Ivoire, particularly in the areas of rural connectivity, digital infrastructure, and digital inclusion projects. The ultimate goal is to position Côte d’Ivoire as a digital hub in the sub-region.
Samira Njoya
Orange Social Venture Prize in Africa and the Middle East was launched in 2011 by telecom operator Orange. It supports digital entrepreneurs and startups in 17 countries in Africa and the Middle East.
Orange Africa and Middle East has announced the launch of the 14th edition of the Orange Social Venture Prize in Africa and the Middle East (POESAM), according to a press release issued on Thursday, March 21. The competition, which is open for applications until May 26, aims to recognize the best technological projects with a social impact across the 17 countries where Orange operates.
POESAM is conducted in two phases: a national phase and an international phase. In the initial phase, three start-ups are awarded, and a prize for women’s entrepreneurship is given to the top digital project led by a woman. In the international phase, the three winners from each country compete before an international jury, led by Cheikh Tidiane Mbaye.
In a June 2023 interview with We Are Tech Africa, Mbaye discussed POESAM’s impact on technological innovation in Africa, stating, “The prize aids numerous entrepreneurs and startups. It’s not just the POESAM winners that benefit, it stimulates emulation by encouraging a large number of young Africans to take risks. Every Orange company in each of the 17 countries contributes to fostering this innovation and emulation.”
The 13th POESAM’s international grand prize was awarded to Cameroonian start-up Adinkra Jeunesse, which received a cheque for €25,000. The runners-up were Egrobots from Egypt (€15,000) and Smart WTI from Jordan (€10,000). The women’s prize was awarded to Tunisian start-up Bionic Soul. Additionally, the jury’s “Coup de Coeur” prize was given to the Cameroonian startup Services for Aged.
Adoni Conrad Quenum
In recent years, Burkina Faso embarked on a process to clean up its transport sector. The aim is to safeguard government revenue.
The Republic of Burkina Faso launched a platform for authenticating provisional and permanent vehicle registrations on Thursday, piloted by the Ministry of Transport, Urban Mobility and Road Safety. The platform, accessible at www.dgttmverif.bf, is expected to reduce fraud and counterfeiting significantly, according to Roland Somda, Burkina Faso’s Minister of Transport.
The digital tool, open to the public, will allow citizens to ensure their compliance with the law by identifying plates of poor physical quality, false number plates, or plates fitted with false registration documents.
This initiative is a continuation of the 2018 Project to modernize and secure transport permits and re-register vehicles in Burkina Faso. The project’s goal, as stated by the ministry, is “to establish a modern, secure system for producing driving licenses and vehicle registration documents following international standards and in secure ID card format, and to re-register vehicles in Burkina Faso’s fleet.”
The ministry plans to launch a campaign to raise awareness about the use of the new platform.
Melchior Koba
African nations are increasingly digitizing public services but the initiatives require significant resources. For that purpose, governments are partnering with strategic allies to overcome the significant costs associated with them.
Zambia’s government and Trade Mark Africa, a trade aid organization, inked an $11 million deal on Wednesday to digitize the Nakonde border post, a strategic crossing point with Tanzania and Malawi. The project, funded by the British government and the World Bank, is expected to be completed in twelve months.
The initiative aims to streamline control processes and cut the transit time for goods at the Nakonde border from an average of three days to just ten hours. It includes a broad spectrum of interventions such as infrastructure upgrades, modern scanning systems, digitization of customs clearance processes, and cross-border interconnectivity for information exchange.
According to Zambia’s Finance Minister, Situmbeko Musokotwane, the initiative encompasses a wide range of interventions, including infrastructure improvements, modern scanning systems, digitization of customs clearance processes, cross-border interconnectivity for information exchange, smart digital solutions, change management, and integrated border management.
Nakonde facilitates trade between Zambia, Tanzania, the Democratic Republic of Congo (DRC), and Zimbabwe. It generates around 3.1 billion kwachas ($118.5 million) annually, with 65% of goods transiting through Zambia, of which 35% are destined for the country led by Hakainde Hichilema.
Adoni Conrad Quenum
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Since President William Ruto assumed office in Kenya in September 2022, the pace of the country's digital transformation has accelerated, with the digitization of numerous public services now a reality.
Kenya is set to digitize its judicial services starting July 1, 2024. The announcement was made by Martha Koome (photo, center), the President of the Supreme Court, on Monday, March 11. The primary objective of this initiative is to enhance productivity, streamline processes through automation, and establish a paperless environment. These efforts aim to make justice more accessible in Kenya while reducing geographical barriers.
"I launched e-filing for all courts countrywide, a Data Tracking Dashboard and Causelist Portal marking a giant leap in our commitment to transforming how we deliver justice through the strategic use of technology, in alignment with the Social Transformation through Access to Justice (STAJ) blueprint of the Judiciary," stated Martha Koome.
Furthermore, Koome emphasized that starting from July 1, 2024, courts will no longer print pleadings and documents. The resources previously allocated for paper and ink will now be redirected towards acquiring desktops and laptops, along with training initiatives.
These initiatives are part of Kenya's National Digitisation Plan (2022-2032), which was established shortly after President William Ruto assumed office in September 2022. As Kenya strives to position itself as a key player in the technological landscape, the digitization process has gained momentum across various sectors. The country has secured funding from diverse organizations and entities such as the World Bank and the European Union to support its digital transformation endeavors.
It is worth noting that the digitization of judicial services commenced last year with the introduction of e-filing in Mombasa County in April 2023. "We are now reaching a national scale with court stations in the remaining 34 counties being on-boarded today. This marks a transformative step in making our justice system more efficient and accessible," explained Martha Koome.
Adoni Conrad Quenum
In a bid to diversify its revenue streams and modernize its economy, Congo, like many of its African counterparts, is turning to digital technology. The country is banking on collaborations with seasoned partners in the digital arena to yield positive outcomes in the near future.
U.S.-based Pay Rem Group Inc, a firm focused on modernizing financial services, is set to launch several digital initiatives in the Congo in the upcoming months, in collaboration with the government. A memorandum of understanding was inked on March 18 between the company, Congo’s Digital Economy Development Agency (ADEN), and the Congo Post and Savings Company (Sopeco), aiming to foster digital inclusion and bridge the digital gap in the country.
Héliodore Francis Alex Gouloubi, Managing Director of ADEN, outlined the agreement’s purpose, stating it would facilitate “the execution of a structuring project aimed at enhancing the digital start-up ecosystem through their participation in the operation of certain financial products designed to increase banking penetration.”
The initial phase of the three-way partnership will see the roll-out of several projects in Congo, including setting up a digital bank and a production unit for digital products. The partnership will also ensure the provision of broadband internet services in the country’s remote areas.
This agreement aligns with the Congolese government’s digitization efforts across all key sectors, with a particular emphasis on the financial sector. The modernization of these sectors and the growth of the digital economy represent the fifth pillar of the National Development Plan 2022-2026.
The implementation of projects under this agreement should help to revitalize and reinvent Sopeco, reduce the digital divide, develop financial inclusion for the population, and create jobs, among other things. The aim is to create 3,000 to 4,000 jobs in the first phase of the project and 20,000 in three years.
Samira Njoya
Start-up funding declined in 2023, yet the foodtech sector remains attractive due to innovation potential. In that context, a global competition has been launched to boost startups active in the sector.
Swiss flavor and taste specialist Givaudan and the FoodHack foodtech community announced on March 19 that applications for the foodtech world cup are open until April 11.
The competition aims to leverage local networks to highlight 60 foodtech founders from North America, Latin America, sub-Saharan Africa, Asia-Pacific, Europe, North Africa, and the Middle East on a global stage to boost their growth.
“We hope to discover groundbreaking solutions created by exceptional and entrepreneurial founders that have a tangible impact on a healthier and more sustainable future for all,” said Alexandre Bastos, Head of Open Innovation and Venture Capital at Givaudan, about the partnership with FoodHack and HackSummit.
After their pitch presentations, two solutions from each region will be selected to participate in the competition’s final in Lausanne, Switzerland.
Adoni Conrad Quenum
Artificial intelligence (AI) is rapidly emerging as a key technology of the fourth industrial revolution. While offering significant opportunities, AI also presents potential risks that require proactive mitigation.
Kristalina Georgieva, the Managing Director of the International Monetary Fund (IMF), has called on African nations to fully embrace artificial intelligence (AI). She made these remarks at a conference in Accra, Ghana, on March 18, 2023, co-hosted by the IMF and the Ghanaian Ministries of Finance, Communications and Digitisation.
"Artificial Intelligence is our best chance to overcome the long-term low productivity. When we think of what can lift productivity, by far, our best chance is in investing in green transition and in the adoption of AI. It (AI) can be the big bang that allows us to live longer, healthier, better educated, [and] more productive lives. We face, urgently, the necessity to embrace AI, and make the best out of it," she said.
The advent of generative AI, such as ChatGPT in November 2022, has raised public awareness of both the advantages and potential risks of this technology. Several African countries have implemented national AI strategies and are taking steps to regulate its widespread use. Seydina Moussa Ndiaye, a member of the United Nations’ 38-strong AI advisory body, expressed concern that Africa could become a testing ground for new AI solutions without adequate control over the technology.
According to Ghana’s Finance Minister, Mohammed Amin Adam, AI could potentially generate nearly $1,200 billion for the African continent by 2030. However, as Georgieva noted, achieving this goal requires building more digital infrastructure, investing in human capital, fostering entrepreneurial innovation, and establishing a robust regulatory framework.
Adoni Conrad Quenum