Estimated total addressable market for agent lending in 2027
Hi Fintech friends 👋,
It has been a slow week with less Fintech announcements, here are the highlights of what happened in African Fintech this week;
Africa’s Development Bank revealed that Africa loses $1.6 Billion daily to illegal cross-border financial flows.
VCs in Africa shared insights on what it takes to build an African Unicorn using Fintechs case studies.
One of Africa’s Central Bank ordered banks to pay $137 Million to telecom operators for USSD charges by December 31, 2024.
Visa doubled down on African partnerships to expand its financial services.
💸Fundraise and Exits
No fintech deals were announced this week, but just a reminder that out of Africa’s nine unicorns, all except Andela are fintech companies.
African Unicorns
💰 Venture Funds
Despite a good performance in H2 2024 - including MoniepointGroup and Tyme gaining unicorn status, the total raised by start-ups in Africa this year is not going to match 2023 levels.
Startup funding in Africa 2019 - 2024
🚀 Partnerships & Product Launches
Banque Centrale Populairepartnered with Visa to transform payments across Sub-Saharan Africa.
Some of Africa’s Visa investments in Africa
👔 Leadership Lineup
VCs in Africa shared insights on what it takes to build an African Unicorn using Fintech case studies.
Funding to African fintech is down ~70% y/y
📰 News of the Week
Africa loses $1.6 Billion daily to illegal cross-border financial flows.
Africa’s Wealth, Africa’s Opportunity
The African Development Bank Group (AfDB) revealed that Africa loses almost $1.6 billion daily due to illicit financial flows and profit sharing relating to African multinational organizations. The agency explained that these illicit operations have been a major player in corrupt practices, as the region loses $587bn yearly.
👀 Eye Openers
The most popular payment methods on Nigeria 2024:
The volume and value of instant online transactions surged to 5.63 billion and $307 Billion H1 2024, up from 3.5 billion and $165.6 Billion in the same period of 2023. To put it in perspective, Nigerians increased how often and how much they paid online by 60% and 85%, respectively.
How Nigerians paid online in 2024
📑 Read of the week
Kenya's Payment Landscape: A Tale of Cash, M-Pesa, and Rising Competition(Linkedin)
📖 Other News, Reads, and Media
The Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NCC)ordered banks to pay $137 Million, a 85% of a $161.2 Million debt owed to telecom operators for USSD charges by December 31, 2024.
🎥 VIDEO INTERVIEWS/DISCUSSIONS
Interview with Tayo Oviosu: The Untold Story of Building "PayPal" for Africa.
🦉 Tweet of the Week
Most people look at African startup exits incorrectly by seeking messiahs only instead of seeking to create buyers, too. The ability to buy is equally as important as the ability to sell.
Getting a war chest from profitability and funding greatly increases your buying ability. pic.twitter.com/XWwUCuLfQG— Osaretin Victor Asemota (@asemota) December 22, 2024
🎯 Fintech Opportunities
Post revenue African startups in Kenya, Tanzania and Rwanda are invited to apply for EUR 100,000 in non-dilutive funding and technical assistance.
Made in Tanzania 🇹🇿 with 💚
