Author: Ken Mutuku

• The Africa fintech accelerator program will be a three-month intensive learning program focusing on business growth and mentoring.
• The AfDB created the Africa Digital Financial Inclusion Facility as a blended finance facility to accelerate digital financial inclusion in Africa.
• The VEI competition in 2022 hosted more than 1000 African fintech startups.

The steady growth of Africa’s fintech companies has caught the attention of various international investors keen on its lucrative potential. New Visa announced the launch of the Africa Fintech Accelerator Program to assist startups in gaining some foothold in the competitive markets. With investors flooding Africa, its fintech industry might become its most profitable economic activity.

Increase Of Digital Innovation

Africa’s digital transformation has taken a turn for the better in terms of innovations and economic growth. Nigeria, Kenya, Egypt and South Africa are prime examples of how shifting to a more digital platform can open vast financial doors. …

London-based fintech company, Unlimit has announced its entry into the Kenyan market, expanding its presence in Africa’s fintech industry. 

• Initially launched in 2009, Unlimit focuses on providing easy-to-use and efficient payment processing companies to all its users.
• According to McKinsey, blockchain, cryptocurrency, and decentralized technology are expected to redefine financial services within Africa completely. 
• At the beginning of 2023, Disrupt Africa released a report stating that Africa’s fintech industry received $1.45 billion in funding for 2022.

Unlimit eyes Africa’s fintech industry potential

Within the past decade, Africa’s fintech industry has significantly improved in scale and potential. The rapid digital transformation of the continent has attracted numerous investors seeking to capitalize on potential markets and startups.

Unlimit is a London-based fintech organization that soon took wind of the numerous opportunities the country offers. Launched in 2009, Unlimit fintech focuses on providing easy-to-use and efficient payment processing services to all its users. …

DP World, a global leader in supply chain solutions, announced a partnership with Standard Bank to offer trade finance solutions. This partnership will act as the bridge between African businesses and the DP World Trade Finance to open new doors of opportunity for the continent.…

• James Mwangi, Africa Climate Venture CEO and founder of Dalberge Investors says by 2030 the organization will eliminate one million tonnes of carbon per year.
• The FSD Africa investments raised $1.078 million as a convertible loan to support the venture builder’s formalisation.
• FSD Africa will grant $93,392 to support the development of premium carbon credit, marketing of portfolio and pipeline companies.

FSD Africa investments have raised $1.078 million in Africa Climate Ventures (ACV), a pioneering venture builder working at improving Africa’s climate change response and carbon ecosystem. ACV seeks to address challenges associates with rapid climate change, which are affecting small-scale farmers throughout Africa.

Africa has significantly improved its economic development over the past decade. Its digital transformation has improved multiple industries, including agriculture through agritech. With this newfound technology, many innovators have set out to represent the continent’s innovators to potential investors.

Africa Climate Ventures’ focus

They each seek …

• South African Reserve Bank administers “bitter medicine”, raises key rate to 8.25 percent to tackle inflation.
• Trading Economics states South Africa’s average food price inflation was 6.07 percent annually between 2009 and 2022.
• Within the last three months of 2022, South Africa’s economic development has stumbled below pre-pandemic levels.

South African Reserve Bank has raised the benchmark interest rate to 8.25 percent, a 14-year high as policymakers move to tackle escalating inflation. Borrowers are set for tough times as Governor Lesetja Kganyago administers “bitter medicine” on the economy in the face of worsening inflation.

Globally, economies have been tightening fiscal stance to contain inflation in step with US Federal Reserve move to increase rates to check the rising cost of living.

South African Reserve Bank forced to increase rate

Since utility Eskom resorted to power cuts, South Africa has been plunged into numerous economic disruptions. As a result, this is …

• The primary purpose of the OAU was to promote the unity and solidarity of newly independent African states.
• Agenda 2063 is an economic master plan to transform Africa into a global powerhouse within the next decades.
• The AfCFTA is the world’s largest free trade area that unites an entire continent and eight Regional Economic Communities.

Every year on 25th May, the world celebrates Africa Day, a special occasion that commemorates the foundation of the continent’s most development-oriented organization, the African Union.

African Union has been advocating for continuous economic development and has achieved notable milestones. To commemorate Africa Day, we shall be taking you down memory lane highlighting AU’s role in championing the continent’s growth.

Flashback: the journey to Africa Day

At the height of political and social freedom, 32 African countries met on 25th May 1963 in Addis Ababa, Ethiopia, to form a front for economic and political growth …

• In April, Ghana’s inflation eased for the fourth month in a row to 41.2%. In December the West African country’s inflation hit a record 54.1%.
• With the depreciating local currency against the US dollar, imports have become increasingly out of reach for millions of citizens.
• In early May, the IMF wired $3 billion to the Central Bank of Ghana to cushion is fast waning forex reserves.

The Central Bank of Ghana has maintained key interest rate at 29.5 percent to help tackle high inflation plaguing the West African Country. The fiscal policy regulator notes that the tight monetary stance and stabilising currency rates are playing a significant role in its decision. 

Central Bank of Ghana tackling inflation

Ghana, well known for its cocoa, gold, and oil, has suffered immensely, with recent fiscal measures causing high inflation rates. According to statistics, the West African nation is facing the worst economic crisis …

• As we mark Africa Day today, our writer, Ken Mutuku, takes a deep dive into the port industry across the continent. He highlights it vast potential and the big challenges holding it back.
• Every year, May 25th, serves as an opportunity to acknowledge the remarkable progress Africa has made, while reflecting on the challenges it continues to face.
• Key ports offer entry into several resource-rich regions and countries such as Kenya, Tanzania, Mozambique and South Africa.

Africa’s port industry continues to play an integral role in the continent’s supply chain cycle, and has been powering import and export trade of developing economies since colonial times. Despite this, it is still an underutilized and underdeveloped resource that requires significant financing and upgrade to power accelerated growth in resource-rich African economies.

Africa, a continent of vibrant colors, diverse landscapes, and rich cultural heritage, is a true testament to the human spirit’s …

• With just $40, customers in Kenya will buy a locally assembled smartphone starting July, 2023.
• Kenya’s mobile network coverage stands at 89.1 percent and is a key enabler of the country’s digital economy.
• The government will lay around 52 percent of 100,000km fibre network while the private sector will handle the remaining 48 percent.

Kenya’s telecommunication industry is about to gain a significant boost as the government plans to roll out the first consignment of one million domestically manufactured smartphones. They will roll out the gadgets in two months even as plans on digital transformation and e-commerce gather pace.

Kenya has been at the forefront of East Africa’s digital economy for some time now. Numerous investment opportunities have come up within the East Africa’s biggest economy catching the eye of many investors. 

Transforming telecommunication industry

According to statistics, Kenya’s mobile network coverage stands at 89.1 percent, a wave that is …

• Fintech BKN301 will significantly aid MENA region’s fintech sector, which experts project to reach $3.45 billion by 2026.
• Two of the world’s three largest remittance corridors located in the UAE and Saudi Arabia handled $78 billion in payments in 2020, 6 equating to 7 percent of the GDP of the two nations combined.
• Currently, fintech companies attracted 48.3 percent of known startups funding on the continents in 2021 and 43.3 percent in 2022.

Fintech heavyweight BKN301 is eyeing fresh growth opportunities in the Middle East/North Africa (MENA) market, where the firm seeks to deploy its leading innovations in the industry. Its entry into MENA is set to accelerate the adoption of digital currency, even as expert project that the region’s market  will grow to $3.45 billion by 2026.

MENA fintech market on the rise

Africa’s digital transformation is paving the way for numerous advancements within the continent’s economy. Regional economies …