<h1>Press Release: Affinity, Ghana's Trailblazing Digital Bank, Continues to Expand</h1>Renew Capital makes first investment in Ghana&nbsp;<a href="https://latest-api.renewcapital.com/uploads/2024_09_04_FINAL_Affinity_Press_Release_ddf8da1454.pdf" target="_blank" rel="noopener noreferrer">Download the full press release</a>Accra, Ghana, April 9, 2024&nbsp;—&nbsp;<a href="https://affinityghana.com/" target="_blank" rel="noopener noreferrer">Affinity</a>, a full-scale digital bank, was established with a bold vision to provide banking services to 350 million adults who remain unbanked in Africa. Operating as a digital banking platform, Affinity offers a full suite of banking services, including current, savings and investment accounts, transfers, payments and loans with a targeted focus on financially excluded populations in Africa.<figure class="image"><img src="/uploads/486_A3496_4d2eaa9836.jpeg" alt="Group photo of the Affinity team in Accra, Ghana, featuring over 30 members outside their office, all smiling and waving to promote financial inclusion in Africa."></figure>In Africa, digital banks like Affinity are emerging as transformative forces, disrupting the industry and driving financial inclusion. Affinity stands out by prioritizing customers, offering accounts with no fees and competitive interest rates on deposits and providing access to a range of affordable loan products.“At Affinity, we've developed a fully integrated platform dedicated to promoting financial inclusion by effectively addressing the challenges faced by individuals and MSMEs without access to financial services across sub-Saharan Africa,” stated the group CEO and founder of Affinity Africa, Tarek Mouganie. "Our approach revolves around low-cost deposits, fully online digital channels and becoming the most affordable MSME lender."Affinity's mission is anchored in recognizing the critical importance of financial inclusion, especially for small businesses and individuals in Africa facing barriers due to traditional documentation requirements, leading to rejection by conventional banks. The company's commitment to leveraging technology to bridge these financial gaps underscores its pivotal role in shaping the future of banking in Africa.“Progress is being made across the continent related to financial inclusion, but there are still millions more to reach,” stated JC Oelofse, Renew Capital’s head of investment. “Renew Capital is thrilled to invest in Affinity, our first investment in Ghana and looks forward to supporting them as they look to expand across the continent.”*Ecosystem activation, pipeline development and capacity-building support provided to Renew Capital portfolio companies is generously supported by Global Affairs Canada.

Renew Capital makes its first investment in Ghana by investing in Affinity, a digital bank dedicated to enhancing financial inclusion for unbanked populations across Africa.

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Press Release: Affinity, Ghana's Trailblazing Digital Bank, Continues to Expand

<h1>Press Release: Agenz Provides Transparency and Real-Time Data to Morocco’s Real Estate Market</h1>The platform provides real-time property valuations, market insights, and transparency in real estate transactions<a href="https://latest-api.renewcapital.com/uploads/FINAL_Agenz_Press_Release_2c02663edd.pdf " target="_blank" rel="noopener noreferrer">Download full press release</a>Casablanca, Morocco, October 10, 2024 – Agenz, a data-driven platform that provides real-time property valuations and market insights in Morocco, has secured investment from Renew Capital. The company uses advanced data intelligence to provide instant property valuations, which allows users to set accurate pricing for sales or gauge current market values. The platform also offers a range of services, including buyer and seller lead generation and comprehensive market insights.<figure class="image"><img src="/uploads/Linkedin_Templates_14_60fd73a77e.png" alt="Image of Renew Capital co-founders and Morocco's Investment Ecosystem Development Manager alongside Agenz founder."></figure>“We’ve built Agenz to bring transparency and clarity to the real estate market,” said Malik Belkeziz, Founder of Agenz. “Our platform helps people make smarter decisions by providing accurate data on property values and market trends. This investment allows us to expand our services and reach more people across Morocco and Africa.”Agenz not only supports individuals looking to buy, sell, or rent properties but also offers professional tools for real estate agents, including advanced valuation and market research solutions. The platform ensures that users, whether homeowners or professionals have the data they need to navigate the real estate process with ease.“Agenz is tackling one of the key challenges in the real estate industry—access to reliable and transparent data,” said the Investment Ecosystem Development Manager at Renew Capital, GRII Nihal. “By delivering real-time property valuations and insights, Agenz is giving buyers, sellers and real estate professionals the tools they need to make informed decisions. We’re excited to back Malik and his team as they scale their impact on Morocco’s real estate market.”Renew Capital continues to invest in growth-oriented entrepreneurs who are driving innovation and building scalable solutions for Africa’s most pressing needs. Our ambition in Morocco is to support even more startups and help them scale across Africa.&nbsp;Support to Renew Capital portfolio companies is provided in partnership with Global Affairs Canada.<h2>Agenz Apporte Transparence et Données en Temps Réel au Marché Immobilier Marocain</h2>La plateforme fournit des évaluations immobilières en temps réel, des analyses de marché et de la transparence dans les transactions immobilières.Casablanca, Maroc 10 octobre 2024– AGENZ, le site immobilier leader au Maroc,&nbsp; accueille le fond panafricain Renew Capital dans son tour de table. Grâce à une intelligence de données avancée, AGENZ révolutionne le marché de l’immobilier au Maroc en permettant à ses utilisateurs d'évaluer avec précision les prix de vente et de naviguer en toute confiance dans leurs transactions.Avec AGENZ, acheteurs, vendeurs, promoteurs et banques bénéficient d'outils puissants pour accélérer et simplifier leurs démarches. La plateforme va bien au-delà des évaluations immobilières précises : elle optimise les transactions grâce à un réseau de plus de 300 commerciaux, internes et externes, déployés à travers tout le pays.Malik Belkeziz, fondateur d'AGENZ, explique : « Nous avons fondé AGENZ pour fluidifier les transactions immobilières et démocratiser l’accès à des informations fiables et transparentes. Cet investissement de Renew Capital va permettre à AGENZ d’étendre ses services au-delà du Maroc, tout en renforçant notre impact local sur le marché immobilier. »GRII Nihal, Responsable d’investissement et&nbsp; développement des écosystèmes chez Renew Capital, ajoute : « AGENZ résout un problème fondamental du marché immobilier : la transparence des informations. Leur technologie d'évaluation et leurs analyses en temps réel offrent aux acteurs du marché les outils nécessaires pour effectuer des transactions rapides, efficaces et sécurisées. Nous sommes fiers de soutenir Malik et son équipe dans leur mission de transformer le marché immobilier africain. »Renew Capital continue d’investir dans des entreprises qui révolutionnent les secteurs clés en Afrique. Leur soutien à AGENZ renforce leur ambition de contribuer à l’écosystème entrepreneurial marocain et de promouvoir l'innovation sur tout le continent.Le support accordé à notre portefeuille d’entreprises est fourni en partenariat avec Affaires mondiales Canada.À propos de Renew Capital&nbsp;: Renew Capital est une firme d'investissement panafricaine spécialisée dans les startups à fort potentiel de croissance. Nous soutenons activement les entreprises africaines en leur offrant non seulement du capital, mais aussi des ressources pour se développer sur le marché. Pour plus d'informations, suivez-nous sur nos réseaux sociaux.Clause de non-responsabilité:&nbsp;Ce communiqué de presse a été traduit de l'anglais. Nous vous remercions de votre compréhension pour d'éventuelles maladresses ou imperfections de traduction.

Agenz, a Moroccan real estate platform, secures investment from Renew Capital, offering real-time property valuations and market insights.

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Agenz Provides Transparency and Real-Time Data to Morocco’s Real Estate Market

<h1>Reflecting on Two Years at Renew Capital: An Interview with Chukwudi Ofili</h1><figure class="image"><img src="/uploads/Linkedin_Templates_b7aeec3f66.png" alt="Professional portrait of the Director of Legal at Renew Capital, based in Lagos, Nigeria."></figure>Two years ago, Chukwudi Ofili shared his&nbsp;<a href="https://www.renewcapital.com/newsroom/homecoming-my-journey-to-renew-capital">journey</a> of returning to Nigeria after a stint abroad as part of a successful legal career to date. Since then, he’s been on an exciting chapter of professional growth while witnessing significant developments across Africa's investment landscape. In this follow-up interview, Chudi reflects on the lessons he’s learned and the future he envisions.Chudi, it’s been two years since you joined Renew Capital. Can you tell us about your experience so far and what stands out for you as the firm grows across Africa?It’s been an exciting two years with Renew Capital as we’ve expanded across 14 countries in Africa. With this growth, I’ve had the chance to learn a lot, both personally and professionally. Over time, I’ve learned a few lessons that have really shaped my experience here.<ul><li>Adaptability.&nbsp;This has probably been the most essential skill. With things moving so fast, being prepared for every situation just isn’t realistic. You have to stay flexible, find ways to add value on the fly and embrace the challenges as they come.</li><li>Learning never stops.&nbsp;I have had to unlearn and learn during my time at the firm. I’ve learned to navigate the nuances involved in closing venture capital (VC) investments in tech-enabled startups across different jurisdictions in Africa. At the same time, I have had to build capacity in relation to fund formation and compliance in the United States.&nbsp;</li><li>Curiosity. This is highly encouraged at Renew Capital as we are always looking for new opportunities and different ways to create value for our founders. That mindset has been vital for me.</li><li>Africa’s potential is undeniable. Having been actively involved in ecosystem development, deal reviews and engaging with founders from across the continent. There’s an abundance of opportunities for disruption and innovation with the accelerated adoption of technology.&nbsp;</li><li>Legal frameworks are catching up.&nbsp;Some governments are recognizing that innovation needs the right legal environment to thrive. We’re seeing progress, but founders still need strong legal support to build scalable and investment-ready businesses.</li></ul>You’ve mentioned how law plays a role in innovation. How have you seen governments across Africa support this?At Renew Capital, we’ve been keeping track of these changes through our monthly Legal Briefs. We have, for example, seen updates to corporate laws that are supposed to help startups grow in places like Nigeria, South Africa, Ethiopia and Kenya. For example, in the&nbsp;<a href="https://www.renewcapital.com/newsroom/renew-capital-legal-brief-september-2024">September 2024</a> legal brief, the Ethiopian Capital Markets Authority (ECMA) launched a regulatory sandbox that allows fintech companies to test new products in a controlled space. This trend is also taking place in countries like Nigeria, Ghana and Rwanda. We’re also seeing increased adoption of startup and finance laws across Africa in places like Nigeria, Kenya, Morocco and Ethiopia.You also highlighted adaptability as a key lesson. Why do you think that’s been so important for you?As we’ve grown so quickly, we had to make a lot of changes as we entered new markets, which also comes with its own fair share of new challenges. Being adaptable has been essential for navigating all of that. Whether it’s changing our processes or adjusting to different legal and business environments across Africa, you’ve got to be flexible to succeed here.Looking forward, what excites you most about the next generation of African entrepreneurs?&nbsp;I believe that there is a general consensus that Africa is the world’s next growth market. With the many challenges that we face across the continent, African founders within Africa and in the diaspora are utilizing technology to innovate and provide solutions to the socio-economic challenges that we face on the continent. However, lack of access to capital and the lack of the necessary skills to build scalable and profitable businesses remain pain points for many founders. Notwithstanding, there has been increased activity by Africa-focused and experienced investors who are working hard to close this gap and address these challenges. There is optimism about the African potential.

Chukwudi Ofili, Director of Legal and West Africa Investment Manager at Renew Capital, reflecting on his two-year journey at Renew Capital.


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Reflecting on Two Years at Renew Capital: An Interview with Chukwudi Ofili

Renew Capital has a presence in 14 African countries. We aim to provide insight into Africa's startup scene, along with the opportunities and challenges it presents through a series of blogs from our in-country team. If you share our passion for developing entrepreneurship in Africa, we invite you to check out our&nbsp;<a href="https://www.renewcapital.com/careers">open roles</a>.&nbsp;<h1>Nihal Grii on Innovation and Morocco's Modern, Diverse Culture</h1>Q&amp;A with Renew Capital's investment ecosystem manager in Morocco.Renew Capital is expanding its presence in Morocco and to showcase this remarkable country, we present an insightful Q&amp;A with Nihal Grii, Renew Capital’s investment ecosystem development manager in Morocco. In this Q&amp;A Nihal shares insights on Africa’s growing startup ecosystem, Morocco’s diverse culture, innovation and advances in sustainability.For more details, explore our&nbsp;<a href="https://latest-api.renewcapital.com//uploads/Morocco_Startup_Ecosyestem_Fact_Sheet_006a5a8686.pdf">Morocco Startup Ecosystem Fact Sheet</a>.<img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXe1NnVkQvptzWTdcl4Llf0IyxJhFhVqSxhLRRGhQHluEu_v8KqJuxW-ywrf_JgbXa8KuKD7ZzN7tg6CZLm3PkeaOhInfzNkOo7jDVohmQtsGKl-baLD2EMNZB-2RvQ1YfMCuKOheorWHISryAGcft0fN4Ug?key=uetvN6jPUbvXgO7d4Bq6xQ" alt="Renew Capital founders and Investment Ecosystem Manager in Morocco pose for a photo after attending GITEX Africa 2024.">You have extensive experience in startup development. What initially drew you to work with startups?It's fascinating to see how startups can thrive and drive a nation's economy. What initially drew me to work with startups was their potential for innovation and impact. Startups can be an engine of job creation, technological advancement and economic diversification. They bring fresh ideas to life and solve real-world problems, often leading to significant improvements in quality of life. Seeing how a single startup can create jobs, attract investment and inspire an entire community is incredibly motivating. It's this dynamic environment and the chance to contribute to meaningful change that hooked me from the start.What excites you most about Morocco's and Africa’s innovation and startup ecosystem?What excites me most is the ambition and determination of Africans. There is a powerful drive to overcome challenges and find technological, scalable and impactful solutions to the many problems we face. It's inspiring to see members of the Moroccan diaspora returning with the expertise and resources to help grow the country and the continent. These individuals are true fighters, bringing energy and innovation that fuels the vibrant startup sector. The dynamism and potential of this ecosystem are truly exhilarating.<img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXdgP7tbgu7_jLcMlmok-_RNsiZC5-UQbE1sNTyn8cV8iHS4twYTr6GfqwroeBSfMSV-lel4PGxpm-6_GrX9MIVBIZHwyNNIKjYt8uAV-IoxYJdcA19gdQkeO2S3heTDUOsWnLOyS-1xt6rIacxq2-tFSJ4?key=uetvN6jPUbvXgO7d4Bq6xQ" alt="Founders of Renew Capital and Investment Ecosystem Manager exploring the vibrant startup ecosystem in Morocco.">What is one thing you wish more people knew about Morocco, its culture and its opportunities?I wish more people knew about the incredible blend of cultures that make up Morocco—Arab, Berber, Andalusi, Mediterranean, Hebraic and African influences all coexist here. It's a unique cultural tapestry that enriches daily life. Additionally, Morocco's strategic location, especially in Tangier, where you can see Spain across the Strait of Gibraltar, offers unique opportunities for trade and cultural exchange. Moreover, Morocco is making remarkable strides in clean and sustainable energy, particularly in water management. With plans to increase desalinated water production tenfold by 2030, and the integration of solar energy reducing production costs dramatically, Morocco is turning its natural challenges into strategic advantages.&nbsp;Morocco is a wonderful place to live! We have thriving expatriate communities in cities like Casablanca, Rabat, Tangier and Marrakech. After-work events are frequent, offering great opportunities for socializing and networking. The blend of modern amenities and rich traditions makes life here both comfortable and enriching.<img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXfH_h6RtOTSQqXrxFTblaPqiUWfRD5L5QYfHBCREsQiqk7sSm-rqJWwPwbu06y50EM5crAkjqaOTac_C_qK3HcPaCcoDwbg4ivA1UzxvxtChXSmJOKZlKmK0GkaWwe_Iz1kPEpVdgYiuWGTcDimb5Tj4ww?key=uetvN6jPUbvXgO7d4Bq6xQ" alt="Investment Ecosystem Manager reflecting on the Q&amp;A session against a beautiful green backdrop in Morocco.">Could you provide a brief overview of your role at Renew Capital and what you find most exciting?As Renew Capital’s investment and ecosystem development manager in Morocco, my role is multifaceted, involving project management, stakeholder engagement and investment sourcing and management. I support the execution of private-sector development projects, ensuring we achieve results and meet all project milestones. I also help develop and facilitate our core gender-smart programs by training and coaching SMEs. I also help build relationships with startups, SMEs, development organizations, government agencies and private sector partners.&nbsp; Part of my role also revolves around sourcing potential companies for our investment pipeline, processing new leads and performing due diligence.The most exciting aspect of my work is developing a robust investment pipeline in African countries. Recognizing that many African nations lack sufficient investment-ready startups, we strive to develop this pipeline not just for ourselves but for other investors as well.&nbsp;What advice would you offer to someone looking to enter the startup scene in Morocco?My advice for anyone starting in the Moroccan startup scene is to manage your reputation carefully. Be authentic and trustworthy—investors talk about their experiences, and a single bad experience can affect your future funding opportunities. Secondly, be realistic about your valuations. High valuations can deter potential investors, so use appropriate techniques to assess your true value and raise only what you need to scale. Finally, share feedback and collaborate with other entrepreneurs. Success breeds success, and a strong community can enhance the reputation of the country, attracting more foreign investors. By supporting each other, we can create a thriving startup ecosystem in Morocco.

I wish more people knew about the incredible blend of cultures that make up Morocco—Arab, Berber, Andalusi, Mediterranean, Hebraic and African influences all coexist here.

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Nihal Grii on Innovation and Morocco's Modern, Diverse Culture

<h1>Press Release: Pumpkn Secures Investment to Transform Funding for African Agribusinesses</h1>Renew Capital makes its first-ever investment in South Africa in an agribusiness loan platform.<a href="https://latest-api.renewcapital.com/uploads/7_2_2024_FINAL_Pumpkn_Press_Release_6b346ca3f2.pdf" target="_blank" rel="noopener noreferrer">Download full press release</a>Johannesburg, South Africa,&nbsp;July 2, 2024&nbsp;—&nbsp;Africa’s agricultural sector plays a significant role in the continent's economy, contributing about 35% to the GDP and supporting the livelihoods of nearly half of Africa's 1.4 billion population. Despite its immense potential, agriculture faces a funding gap hindering its growth. <a href="https://www.pumpkn.io/" target="_blank" rel="noopener noreferrer">Pumpkn</a>, a South African startup, is actively addressing this challenge by offering and facilitating financial support for agribusinesses.<figure class="image"><img src="/uploads/Zuri_Instagram_1_0bd40616a3.png" alt="A photo of the three co-founders of Pumpkn, a South African startup that provides a digital platform to connect agribusinesses with financing by leveraging data for credit assessments."></figure>Pumpkn leverages data to make credit assessments of agricultural small and medium-sized enterprises (agri-SMEs). On the other hand, Pumpkn helps lenders easily identify bankable businesses and manage their loan portfolio. Pumpkn’s overall objective is to make agribusiness financing commercially viable for lenders and make loans accessible for agribusinesses. These loans help these businesses to obtain the necessary tools, machinery, and equipment to facilitate their growth.“Despite agriculture being the major GDP contributor for many African countries, many agriculture-focused businesses still have a hard time finding the financing they need to grow and thrive. Pumpkn is committed to working closely with agribusinesses to enable their growth, with a direct impact on job creation,” said <a href="https://za.linkedin.com/in/zaheerdindar" target="_blank" rel="noopener noreferrer">Zaheer Dindar</a>, co-founder &amp; CEO of Pumpkn. "Pumpkn seeks to fill the financing gap for agribusinesses by providing farmers and entrepreneurs with the financial resources they need to thrive."Pumpkn stands out with its aim to provide fast loan approvals, zero paperwork and seamless accessibility. Pumpkn's intuitive platform directly links to agri-SMEs' bank accounts, empowering them to swiftly secure essential financing."We are witnessing an important shift in Africa, with technology playing a major role in boosting sectors including agriculture," said Adam Abate, principal of investment at Renew Capital. "We are thrilled to support Pumpkn on its mission and proud to have them as our first-ever investment in South Africa."*Ecosystem activation, pipeline development and capacity-building support provided to Renew Capital portfolio companies is generously supported by Global Affairs Canada.

Renew Capital makes its first investment in South Africa with Pumpkn, a South African startup enhancing agribusiness financing and leveraging data to bridge the funding gap for agri-SMEs in Africa's agricultural sector.

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Press Release: Pumpkn Secures Investment to Transform Funding for African Agribusinesses

<h1>Digital ID: Boon or Big Brother for Africa's Economies?</h1>Deep Dive on Digital IDs in Africa<figure class="image"><img src="/uploads/Linkedin_Templates_24_d8b9edf6d9.png" alt="African map highlighting emerging markets poised to unlock 6% of GDP by 2030 through digital ID systems."></figure>In Context: In 2019,&nbsp;<a href="https://www.mckinsey.com/capabilities/mckinsey-digital/our-insights/digital-identification-a-key-to-inclusive-growth#">McKinsey published a report&nbsp;</a>stating that in 2030, emerging economies could unlock economic value equivalent to between 3% and 13% of GDP if governments implemented digital ID systems. More specifically, the report noted that Nigeria could unlock 7% (~$23.6B) and Ethiopia could unlock 6% (~$20.8B) of GDP. Economic benefits can be derived from the efficiency of:&nbsp;optimized e-government services, verifiable tax collection, electronic KYC, formalized business registration and verifiable asset and land ownership.&nbsp;Five years later, Modular Open Source Identify Platform (MOSIP) is now active in nine African countries in the pilot or implementation phase. Rwanda, Egypt, South Africa, Nigeria and Kenya are also working on implementing their own non-MOSIP systems. Meanwhile, data protection concerns have slowed progress in some countries (<a href="https://nation.africa/kenya/news/data-protection-concerns-slow-down-digital-identity-initiatives-4244758#google_vignette">Nation</a>). And without proper controls, digital IDs can give rise to&nbsp;<a href="https://www.mckinsey.com/capabilities/mckinsey-digital/our-insights/digital-identification-a-key-to-inclusive-growth#section-header-3">political manipulation and social control</a>.&nbsp;How big is the challenge? According to UNICEF, nearly half of all African children under five are unregistered (<a href="https://data.unicef.org/resources/a-statistical-update-on-birth-registration-in-africa/?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=newsletter&amp;utm_campaign=deep-dive-on-digital-ideas-in-africa-june-28-2024">UNICEF</a>) and according to the World Economic Forum, a little less than half of Africans use some banking service (<a href="https://www.weforum.org/agenda/2023/11/africa-digital-mobile-banking-financial-inclusion/#:~:text=Today%2C%2048%25%20of%20Africa's%20population,at%20pace%20across%20the%20continent">World Economic Forum</a>). Countries are up against major obstacles to transition to digital IDs.Some experts believe that digital identification systems&nbsp;unlock value for countries in five key ways:<ul><li>Efficient and corruption-free distribution of government benefits&nbsp;and&nbsp;optimized e-government services.</li><li>Digitized and verifiable tax collection,&nbsp;increasing tax revenues.</li><li>Electronic KYC&nbsp;for financial transactions. In 2023, Egypt increased its digital KYC requirements, adding biometric requirements for certain transaction sizes to combat money laundering.</li><li>Formalized business registration greatly benefits informal businesses' connection to formal institutions, customers, and vendors.</li><li>Verifiable asset and land ownership to combat theft and to facilitate sales and purchases.</li></ul>What is the continent’s progress towards digital IDs?&nbsp;The MOSIP is active in nine African countries in the pilot or implementation phase. So far, Togo, Morocco, Ethiopia and Uganda are implementing the system and Guinea, Niger, Sierra Leone, Madagascar and Burkina Faso are running pilot projects. And notably, as of March 2024, Ethiopia had onboarded 4 million citizens onto its MOSIP platform.Several other African nations are also making progress in implementing their own digital ID systems to enhance governance, service delivery and commerce:&nbsp;<ul><li>Rwanda: Rwanda's Single Digital ID system, initially planned for 2023, aims for full citizen onboarding by 2027, with the core software bids closing in June 2024.</li><li>Kenya:&nbsp;Kenya is also&nbsp;<a href="https://www.biometricupdate.com/202405/kenya-unveils-ambitious-digital-id-biometric-passports-issuance-plans?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=newsletter&amp;utm_campaign=deep-dive-on-digital-ideas-in-africa-june-28-2024">upgrading</a> its digital ID platform and rolling out biometric passports. The Maisha Munda digital ID system, re-launched in February 2024, targets issuing 32 million IDs by 2026.&nbsp;</li><li>South Africa:&nbsp;South Africa's new biometric and digital ID system called NIS launched in 2022 and was planned to be&nbsp;<a href="https://www.biometricupdate.com/202201/new-biometric-digital-id-system-in-south-africa-to-enhance-service-delivery-security?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=newsletter&amp;utm_campaign=deep-dive-on-digital-ideas-in-africa-june-28-2024">fully implemented by 2024</a>, however, we expect that implementation is still ongoing and challenges remain but progress is being made&nbsp;<a href="https://www.biometricupdate.com/202405/africas-digital-id-experiences-yield-lessons-on-engaging-stakeholders-open-standards">particularly around registering births.</a> The system’s primary objective is to aggregate all disparate forms of information regarding its citizens and foreigners into one centralized system.</li><li>Egypt:&nbsp;Egypt’s digital ID system and online verification processes for e-government services are core components of the country's&nbsp;<a href="https://www.euromoney.com/article/2bxwt8tfi8c46o8ipo83k/sponsored-content/egypt-pushes-digital-transformation-agenda?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=newsletter&amp;utm_campaign=deep-dive-on-digital-ideas-in-africa-june-28-2024">2030 Digitalization Strategy</a>. The Egyptian government is also&nbsp;<a href="https://dig.watch/updates/egypt-institutes-new-digital-id-checks-on-certain-fintech-transactions?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=newsletter&amp;utm_campaign=deep-dive-on-digital-ideas-in-africa-june-28-2024">enforcing biometric verification&nbsp;</a>for certain non-bank fintech services to combat money laundering as of 2023. Requirements are tiered based on the risks associated with each transaction.&nbsp;</li><li>Nigeria:&nbsp;Nigeria's National eID, launched in 2014, seeks to increase adoption beyond the current 13.6%. The government has also indicated that it plans to distribute social benefits to about&nbsp;<a href="https://www.biometricupdate.com/202403/nigeria-rwanda-use-digital-id-for-social-welfare-payments?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=newsletter&amp;utm_campaign=deep-dive-on-digital-ideas-in-africa-june-28-2024">60 million citizens</a> using its digital identification system.&nbsp;</li></ul>Learning from India’s ID SuccessIn 2012, India launched its Aadhaar digital identity system to provide unique digital identification systems to all of India’s citizens. Since then, the program has been a success, though concerns remain about the potential for the platform to be abused. The initiative has led to a more efficient distribution of government services and welfare, a substantial increase in digital payment use under India's Unified Payments Interface (UPI) and a reduction in corruption. The program grew rapidly even though before Aadhaar was launched, 40% of Indians lacked official birth certificates, and 60% lacked bank accounts, underscoring Aadhaar's relevance to emerging and developing markets (<a href="https://www.forbes.com/sites/tylerroush/2023/11/02/what-is-aadhaar-indias-id-system-sam-altman-is-reportedly-modeling-his-eye-scanning-crypto-project-worldcoin-after/">Forbes</a>). An Indian non-profit launched MOSIP in 2018 with funding from the Bill and Melinda Gates Foundation. It is derived from the Indian Aadhaar digital ID system, which achieved almost 90% enrollment in less than a decade and facilitated a boom in digital payments and consumer spending in the country. As of 2023, 90% of Indian adults had an account at a formal financial institution.<figure class="image"><img src="/uploads/Linkedin_Templates_25_8f6d3e5560.png" alt="Graph illustrating the rapid enrollment of nearly 90% of India's population in Aadhar digital ID in under a decade, with billions linked to bank accounts."></figure><figure class="image"><img src="/uploads/Linkedin_Templates_26_696ce93979.png" alt="Rising retail payments through digital wallets, showcasing the rapid expansion of the Unified Payment Interface in India."></figure>Source:&nbsp;<a href="https://www.imf.org/external/pubs/ft/fandd/2021/07/india-stack-financial-access-and-digital-inclusion.htm">International Monetary Fund</a>

Emerging economies could unlock economic value equivalent to between 3% and 13% of GDP if governments implemented digital ID systems.

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Digital ID: Boon or Big Brother for Africa's Economies?

<h1>The Momentum of African Startup Ecosystems In a Snapshot</h1>Data-driven insights that will make you smarter in 5 minutes or less.<h3><img class="image_resized" style="width:100%;" src="/uploads/PHOTO_2024_06_25_13_14_31_8da45214b6.jpg">What’s in It for You?</h3><ul><li>Synthesized Market Analysis:&nbsp;Key data on economic trends and opportunities on a single page.&nbsp;</li><li>Actionable Insights: Understand essential industries and investment landscapes.</li><li>Reliable Information: Curated by our data and research team from trusted sources and industry reports.</li></ul><h3>Ready to Dive In? Download the Factsheet</h3><ul><li><a href="https://latest-api.renewcapital.com/uploads/FINAL_Tanzania_Fact_Sheet_1a0d49728a.pdf" target="_blank" rel="noopener noreferrer">Tanzania's Startup Ecosystem Fact Sheet</a></li><li><a href="https://latest-api.renewcapital.com/uploads/Egypt_s_Startup_Ecosystem_Factsheet_07e3c034a1.pdf">Egypt’s Startup Ecosystem Fact Sheet</a></li><li><a href="https://latest-api.renewcapital.com/uploads/FINAL_Ethiopia_Startup_Ecosystem_Factsheet_bbd213f998.pdf" target="_blank" rel="noopener noreferrer">Ethiopia’s Startup Ecosystem Fact Sheet</a></li><li><a href="https://latest-api.renewcapital.com/uploads/FINAL_Kenya_Factsheet_da115e8c82.pdf">Kenya’s Startup Ecosystem Fact Sheet</a></li><li><a href="https://latest-api.renewcapital.com//uploads/Morocco_Startup_Ecosyestem_Fact_Sheet_006a5a8686.pdf">Morocco’s Startup Ecosystem Fact Sheet</a></li><li><a href="https://latest-api.renewcapital.com/uploads/FINAL_Mozambique_Fact_Sheet_15e04085a9.pdf" target="_blank" rel="noopener noreferrer">Mozambique's Startup Ecosystem Fact Sheet</a></li><li><a href="https://latest-api.renewcapital.com/uploads/Final_edited_Nigeria_Fact_Sheet_39dc514cf5.pdf">Nigeria’s Startup Ecosystem Fact Sheet</a></li><li><a href="https://latest-api.renewcapital.com/uploads/FINAL_Rwanda_Fact_Sheet_e76810f067.pdf" target="_blank" rel="noopener noreferrer">Rwanda’s Ecosystem Fact Sheet</a></li></ul>Check back regularly as we add more ecosystem snapshots!&nbsp;Disclaimer: The information provided in our snapshots is for general informational purposes only and should not be considered investment, legal, tax or accounting advice. Furthermore, nothing in the snapshots is intended to be an individualized recommendation or personalized investment advice. Investment in companies in any of the jurisdictions mentioned or in Africa generally may not be suitable for everyone. Each investor needs to consult with his or her own advisors and review an investment strategy for his or her own particular situation before making any investment decision. The snapshots are compiled from Renew Capital's own research and third party sources which Renew Capital considers reliable; however, the snapshot's accuracy, completeness or reliability cannot be guaranteed. Renew Capital has no responsibility to maintain or update the information in the snapshots. All expressions of opinion in the snapshots are subject to change without notice in reaction to shifting market conditions.

Data-driven insights that will make you smarter in 5 minutes or less.


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The Momentum of African Startup Ecosystems In a Snapshot

<h1>Secrets of Nigeria's Momentum&nbsp;</h1>Context for the country’s current state and startup potentialWow! Nigeria is a big surprise for me. We arrived on a holiday weekend for Eid-el-Kabir. We experienced very little of the chaos that most people rant about their visit to Lagos. We arrived at the old terminal and while it is dated, it is fine. The road into the city&nbsp;on the&nbsp;<a href="https://en.wikipedia.org/wiki/Third_Mainland_Bridge">Third Mainland Bridge</a>&nbsp;is in good shape (currently free from construction). We are here to meet founders (<a href="https://venturelab.renewcapital.com/">apply here for Renew Venture Lab)</a>, get time with our team and understand the startup ecosystem.&nbsp;<figure class="image"><img src="/uploads/IMG_1426_2_2f4faebe67.jpg" alt="Skyline of high-rise buildings in Lagos, Nigeria, showcasing the city's modern architecture and urban landscape."></figure>Though in a bit of a downturn, Nigeria continues to be a major player in the global startup ecosystem. With its market potential, impressive capital raises, supportive policies and a mature fintech sector, the country offers fertile ground for innovation and growth.1. Massive Market Potential -&nbsp;Nigeria's population, at 219 million in 2022, is expected to nearly double to 377 million by 2050, making it the 3rd or 4th largest country in the world. Despite a GDP slowdown and challenging economic times, the IMF expects improvement, signaling a positive economic trajectory.2. Leading in Startup Investments -&nbsp;Nigeria has raised the highest amount of capital among African startup ecosystems over the past five years, totaling $4.65B. The country has attracted 29% of Africa's total startup investment since 2019 and Nigeria remains a top destination for venture capital, despite a recent slowdown. Nigeria boasts the third-highest number of startup exits in Africa since 2019, following South Africa and Egypt.3. Supportive Regulatory Environment -&nbsp;Enacted on October 19, 2022, the Nigeria Startup Act fosters a conducive environment for startups with provisions like the National Council for Digital Innovation and Entrepreneurship, a special startup legal designation and various incentives. Nigeria boasts more than 90 accelerators, incubators, coding bootcamps and tech hubs, complemented by the highest number of active angel networks on the continent.4. Maturing Fintech Sector -&nbsp;<ul><li>Fintech Dominance: Nigeria’s fintech sector constitutes one-third of Africa’s fintech market, leading the "Big Four" countries (Nigeria, South Africa, Kenya, and Egypt) with a&nbsp;<a href="https://gfmag.com/features/african-fintech-untapped-potential/#:~:text=Between%202021%20and%202023%2C%20this%20quartet%20often%20called%20the%20%E2%80%9CBig%20Four%E2%80%9D%20was%20home%20to%2077%25%20of%20the%20continent%E2%80%99s%20fintech%20companies%20and%20swallowed%20over%2090%25%20of%20funding.%20Over%20the%20same%20period%2C%20Nigeria%20topped%20all%20the%20charts%20with%20a%2032%25%20market%20share%2C%20over%20%241%20billion%20raised%20in%20venture%20capital%20and%20217%20established%20fintechs">32% market share</a> and over $1B in venture capital raised between 2021 and 2023.</li><li>Success Stories: Notable Nigerian fintech successes include Jumia, Flutterwave, Paystack, Interswitch and OPay, setting a foundation for future growth.</li><li>Second Generation Companies: New businesses are building on the infrastructure established by early successes and failures, enabling quicker launches and broader service offerings.</li></ul>5. Final thoughts…<ul><li>&nbsp;The fear of Nigeria is outdated and overhyped.&nbsp;Don’t be swayed by how outside people talk about Nigeria. Lagos is great. Get on a plane and come see.&nbsp;&nbsp;</li><li>There’s value in maturity. Fintech and the startup ecosystem in Nigeria is maturing. Sectors such as healthcare, agriculture, entertainment, etc. show great potential in Africa’s most populated country.&nbsp;</li></ul>Nigeria’s combination of market potential, investment potential, regulatory support and fintech prowess makes it an exciting hub for startups and investors alike.Go Deeper on Nigeria?<ul><li><a href="https://www.linkedin.com/posts/renew-capital_nigeria-in-12-photos-activity-7209806106326429696-o6fl?utm_source=share&amp;utm_medium=member_desktop">Lagos in 12 photos</a></li><li><a href="https://latest-api.renewcapital.com/uploads/Final_edited_Nigeria_Fact_Sheet_39dc514cf5.pdf">Nigeria’s Startup Ecosystem Factsheet</a></li><li><a href="https://www.google.com/maps/@/data=!3m1!4b1!4m2!11m1!2slcGMqW-Ny-nSfEHk1wn_-0avUL9orA">Lagos Startup Ecosystem Google Map</a></li></ul>

Discover Nigeria’s growing startup scene, its market potential, investment trends and the thriving fintech sector shaping its future.


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Secrets of Nigeria's Momentum 

<h1>Secrets of Egypt's Momentum&nbsp;</h1>Context for the country’s current state and startup potentialThe past few months have been full of exploration for Matt and I as we’ve traveled around Africa to meet founders and to better understand startup ecosystems on the continent. Today, you find me in Cairo, Egypt. Last week, we were in Casablanca, <a href="https://www.renewcapital.com/newsroom/secrets-of-moroccos-momentum" target="_blank" rel="noopener noreferrer">Morocco</a> and next week, we will be in Lagos, Nigeria.&nbsp;Side note: For those who are interested (and not familiar with the ecosystem), we are hosting a Zoom webinar on “Nigeria’s Startup Scene: How Does it Stack Up?” June 19th, 12:30 PM Eastern.&nbsp;<a href="https://us02web.zoom.us/webinar/register/WN_RfG8ycMnTnOh8tc4QQva6g">Register here</a>.&nbsp;Renew Capital has been exploring Egypt for about a year now, and we are currently sourcing startups for investments as part of Renew Venture Lab (<a href="https://venturelab.renewcapital.com/">apply here</a>). We have so much to learn, but these are some of our key takeaways on Cairo this week and our earlier trip in March.&nbsp;<figure class="image image_resized" style="width:100%;"><img src="/uploads/IMG_7314_832de261f0.JPG" alt="A beautiful photo of Cairo's skyline over the river, featuring modern buildings and historical architecture."></figure>Here are a few things we have learned:&nbsp;<ul><li>A startup leader in MENA - Cairo's startup ecosystem is a leading hub in the MENA region, driven by strong sectors such as fintech, e-commerce and logistics. The e-commerce sector seems to be growing rapidly due to a young population and increasing internet penetration. Cairo’s ecosystem benefits from a supportive environment with various active investors and other stakeholders. Cairo's strategic location and robust talent pool further enhance its appeal as a startup hub​​.</li><li>Cairo is a city of contrast - I’ve worked in frontier and emerging markets for 20 years. But in Cairo the contrast was unique. First, you have&nbsp;ancient and new -&nbsp;You’ll find the Pyramids of Giza 15 minutes from the center of town and then 30 minutes in the other direction you have New Cairo and the New Administrative Capital with giant IT parks, IKEA, beautiful malls, modern restaurants and the tallest building in Africa. The contrasts are almost overwhelming. Next, you have&nbsp;outside versus inside and day versus night&nbsp;- Cairo is dusty and dense and on the outside of buildings and during the day, the old city can look a bit run down. But, when you go inside it’s like a new world. You find beautiful old buildings with great architectural designs and finishing work. It’s clean and beautiful. In Cairo, you have to know where to look. Also, once the sun sets, the buildings are lit up and it’s absolutely breathtaking!</li><li>Cairo is surprisingly affordable - Granted, the currency devalued in March by almost 40%, but even before that, internationals who live here describe Cairo as a very affordable city. A Starbucks run in March for four people - lattes, cappuccinos, juice drinks and snacks ran us about $6.</li><li>Cairo is large! -&nbsp;Cairo is the&nbsp;<a href="https://citymonitor.ai/environment/infrastructure/what-are-the-largest-cities-in-the-middle-east#:~:text=It%20is%20the%20most%20populated%20%E2%80%98metropolitan%E2%80%99%20area%20in%20the%20Middle%20East">largest city</a> in the Arab world with a population of almost&nbsp;<a href="https://www.worldbank.org/en/country/egypt/overview">10 million</a> and the whole urban area being above&nbsp;<a href="https://populationstat.com/egypt/cairo">22 million</a>. Egypt has two of the continent’s <a href="https://africa.businessinsider.com/local/lifestyle/top-10-african-cities-with-the-highest-population/sz3n5pv" target="_blank" rel="noopener noreferrer">largest cities</a>, with the second being Alexandria. As many cities and populations in the developed world age and shrink, Egypt and Cairo are forecasted to grow with nearly 43% of Egyptians living in urban centers.&nbsp;</li><li>Egypt is wealthy, relative to other SSA countries -&nbsp;Cairo had Starbucks, McDonalds, Hardees (Carl’s Juniors), delivery services, Uber, IKEA, Carrefour and everything you could want. We all know this development in South Africa. But, prior to my first visit in March, I didn’t know I would also find it in Cairo. Its&nbsp;<a href="https://data.worldbank.org/indicator/NY.GDP.PCAP.CD#:~:text=6%2C391.3-,Egypt%2C%20Arab%20Rep.,-2022">GDP per capita</a> is more than $4,000, which is one of the wealthier countries in Africa.&nbsp;<a href="https://data.worldbank.org/indicator/NY.GDP.PCAP.CD?locations=A9&amp;most_recent_value_desc=true">10th</a> among the 54 countries on the continent and many believe the&nbsp;<a href="https://english.ahram.org.eg/News/520322.aspx">structural reforms</a> President Abdel Fattah el-Sisi is putting in place will help the country see higher GDP growth in the coming years.&nbsp;</li><li>Egypt (and Africa) may become the focal point of a shift in geopolitical power -&nbsp;​​From an Economist article titled “<a href="https://www.economist.com/middle-east-and-africa/2024/03/13/gulf-countries-are-becoming-major-players-in-africa">Gulf countries are becoming major players in Africa</a>”, “As African leaders seek alternatives to dwindling Chinese loans and Western aid, the Gulf’s rise is reshaping geopolitics on the continent, with effects good and bad.” Cairo - as the epicenter of Africa’s Arab cultural and economic influence - will be one to watch as this geopolitical reshuffle happens. For example, in November 2023 Saudi pledged to invest $25B in Africa by 2030.&nbsp;</li></ul><h2>Go Deeper on Egypt?</h2><ul><li><a href="https://www.linkedin.com/posts/renew-capital_egypt-in-12-photos-activity-7207270407031238657-zxwu?utm_source=share&amp;utm_medium=member_desktop" target="_blank" rel="noopener noreferrer">Cairo in 12 photos</a></li><li><a href="https://www.youtube.com/watch?v=XIbSkaTdvrg" target="_blank" rel="noopener noreferrer">Interview with Matt and Laura</a></li><li><a href="https://latest-api.renewcapital.com/uploads/Egypt_s_Startup_Ecosystem_Factsheet_07e3c034a1.pdf" target="_blank" rel="noopener noreferrer">Egypt Startup Ecosystem Factsheet</a></li><li><a href="https://maps.app.goo.gl/X5JctByrSorhGMUL7">Cairo Startup Ecosystem Google Map</a></li></ul>

Learn about Cairo's fast-growing startup scene, its role in the MENA region, the unique blend of ancient culture and modern growth shaping its business landscape.

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Secrets of Egypt's Momentum 

<h1>Secrets of Morocco's Momentum&nbsp;</h1>Context for the country’s growth and startup potentialMatt and I have been in Morocco for almost two weeks now, last week, attending&nbsp;<a href="https://gitexafrica.com/?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-may-31-2024">GITEX Africa</a>&nbsp;in Marrakesh hosted by the Dubai World Trade Center and this week exploring the startup ecosystem in Casablanca. Renew Capital has had a small presence in Morocco since January and we are currently sourcing startups for investments as part of Renew Venture Lab (<a href="https://venturelab.renewcapital.com/">apply here</a>). We have so much to learn still, but these are some of our key takeaways so far.&nbsp;<figure class="image"><img src="/uploads/Image_a4f058478e.png" alt="Collage of four photos: Renew Capital’s Co-CEO, Matt Davis, with the U.S. Ambassador to Morocco at a Moroccan startup demo, UNESCO World Heritage Site, Jenaa El Fnna Square in Marrakech, GITEX Africa event in Marrakesh, Morocco, May 2024, Moroccan seafood pastilla delicacy."></figure><ul><li>Taking Their "Game Up": The 2030 FIFA World Cup is a tri-country event with Portugal, Spain and Morocco set to play host. Moroccans are inspired (and perhaps a little nervous!) that they will be compared to the two other countries. Competition is good and we predict continued improvement in quality across the services sector, and a boom in real estate and services industries, along with the creation of new tech companies that Europeans are used to in their home country. Sidenote: The airline, Royal Air Maroc is&nbsp;<a href="https://simpleflying.com/royal-air-maroc-new-aircraft-fleet/">slated to quadruple</a>!&nbsp;</li><li>A Better Wall?: Morocco and other countries in Northern Africa will need to absorb a massive amount of migrants looking for a life - but being rejected entry - into Europe. We see huge potential (or problems if not done) for Europe to help build up factories and invest in job-absorbing industries in Northern Africa to minimize migration. Look for a boom in high job creation industries.</li><li>Windfall of Too Much Tourism: Spain received 85 million&nbsp;<a href="https://www.investinspain.org/content/icex-invest/en/noticias-main/2024/turismo-2023.html">tourists last year</a> and many want to move there. But some say Spain is now starting to burst at the seams. Morocco is a great country to absorb that spillover. Look for a big boom in the tourism industry!</li><li>Long Live the King: Moroccans LOVE and trust their King and they believe the monarch has a good plan to build their country. This also creates stability and focus - people work hard when they're not worried about politics. Given the factors above and the stability, look for GDP growth to beat forecasts.</li><li>Homeward Bound: Amid Europe's polarized migration debates, descendants of Moroccan immigrants are moving back to Morocco. Seeking better opportunities and reconnecting with their heritage, many find support through platforms like&nbsp;<a href="https://web.facebook.com/groups/277379784237975/?_rdc=1&amp;_rdr">"J’ai décidé de m’installer au Maroc"</a> on Facebook and "<a href="https://www.instagram.com/vivre_au_maroc/?hl=en">Vivre au Maroc</a>" on Instagram. Despite adjustment challenges, positive feedback highlights Morocco's appeal for social and economic advancement, with returning diaspora contributing to the nation's growth. There’s little to no brain drain problem in Morocco!&nbsp;</li></ul>Go Deeper on Morocco?<ul><li><a href="https://www.linkedin.com/posts/renew-capital_morocco-in-12-photos-activity-7204750404012675072-q5Wb?utm_source=share&amp;utm_medium=member_desktop" target="_blank" rel="noopener noreferrer">Morocco’s Momentum in 12 Photos</a></li><li><a href="https://latest-api.renewcapital.com//uploads/Morocco_Startup_Ecosyestem_Fact_Sheet_006a5a8686.pdf" target="_blank" rel="noopener noreferrer">Morocco’s Startup Ecosystem Factsheet</a></li><li><a href="https://www.google.com/maps/placelists/list/ET4sW5dcS_6HWsverJmwqA">Casablanca Startup Ecosystem Google Map</a></li></ul>

Explore Morocco's growing startup ecosystem with Renew Capital, fueled by tourism, returning diaspora and a stable economy.