Africa’s Weekly Fintech Review – December 18, 2023
December 18th, 2023
Africa’s Weekly Fintech Review
• African startups have not broken $2B in funding this year… yet • Copia Global raises Series C extension of $20M • Flutterwave announces new executives • Jumia Foods is shutting down its delivery service AND MORE!
Making the news
African startups raise $1.94B USD so far in 2023, will we hit $2B this year?
According to WeeTracker’s African Startup Funding Tracker, startups have so far raised just $1.94B USD this year. This currently shows a ~42% decline from 2022’s $3.3B USD startup funding (Disrupt Africa). 2023 has been a tough year in the Pan-African startup ecosystem as founders combat a wide array of challenges with many startups shutting down operations. Will the ecosystem hit $2B USD in funding in 2023?
Banking & Telecom Activity
Central Bank of Lesothosuffers cyberattack causing outage of National Payments System – CBL announces that no financial loss took place
East African Communitylaunches app to help eliminate Non-Tariff Barriers (NTB’s) faced by traders doing business across borders
Kenya – Following recent funding, Twiga FoodsCEO Peter Njonjo, proceeds with sabbatical leave to focus on personal matters after turbulent year Kenya – eCommerce startup, Copia Global, raises $20M USD series C extension round to help the company push to profitability Nigeria – Social commerce platform, MAKA, raises $2.65M USD pre-seed funding round to simplify buying African fashion and beauty products South Africa – Investment platforms, Revix and BitFund, partner with Austria’s Coinpanion to form alternative investment platform called Altify South Africa – Shipping startup, TUNL, raises $1M USD in pre-seed funding to fuel expansion in its home market
South Africa’s E4E Africaannounces first close of its $30M USD second fund after making 11 investments through its first fund
WIC Capitalsecures $1M USD facility to invest in female-led MSME’s in Senegal and West Africa
GSMAlaunches new innovation fund for entrepreneurs solving humanitarian challenges including food insecurity, displacement, and natural disasters
Ojoma Ochai replaces Bosun Tijani as Managing Director of Co-creation Hub (CcHub) as former CEO serves as Minister of Communications, Innovation, and Digital Economy
‘Fast Food, Slow Money’ Kills Top Player Jumia Food Fueling Industry Skepticism – Henry Nzekwe in WeeTracker
“There will be more market share up for grabs following the recent exits of Jumia Food and Bolt Food, observers reckon, and the absence of the sort of additional financial encumbrances common with multinationals in multiple verticals could prove advantageous to pure-play delivery upstarts.” Continue reading.
Flutterwave announces new executives
“These new executives could help transmit confidence to the public market and further fuel speculation that Flutterwave remains serious about its IPO plans. In August, Olugbenga Agboola, Flutterwave’s CEO, shared that the company was moving ahead with its IPO plans on the NASDAQ but declined to give a timeline.” Continue reading.
Peach Payments and Mukuru partner
“Mukuru and Peach Payments have joined forces to elevate your money transfer experience! Now, Mukuru customers can effortlessly send money through the app using debit or credit cards” Learn more.
AFTS in the headlines
AFTS heads to Nairobi, Kenya for 11th summit in Q4 2024