Hi Fintech friends 👋,

Here are the highlights of what happened in African Fintech this week;

• Tanzanian top Fintech acquired a bank.
• Sudan based and YC backed startup raised $5 Million.
• The Central Bank of Nigeria revoked the banking license of a bank where at least 90% of the bank’s active loan portfolio of around $471.5 million was considered lost or doubtful as of March 31, 2024.
• Egyptian startup acquired a licensed brokerage to expand its insurtech platform.
• Pan-African fund raised $27.18 Million.

💸Fundraise and Exits

• Sudan-based YC-backed Elevate raised $5 Million to provide fintech to freelancers globally.

• Egyptian startup Mal Bazaar acquired a licensed brokerage to expand insurtech platform.

💰 Venture Funds

• The European Investment Bank (EIB) invested $27.18 Million into Amethis Fund III, a pan-African fund.

• How can Africa create more angel investors.

🚀 Partnerships & Product Launches

• Rwanda planned to create its own Central Bank Digital Currency (CBDC) within two years, offering a secure, free, and convenient alternative to conventional cash.

• Zone launched blockchain-powered PoS payment gateway to tackle chargeback fraud.
• Cross-border payments fintech, EBANX expanded strategic partnership with South Africa-based instant EFT payments provider, Ozow.
• VGS and Onafriq Partnered to Increase Security and Payments Innovation for Fintechs in Africa and the Middle East.
• Skaleet and Smile ID partnered to Revolutionize Digital Banking Security and Inclusion in Africa.

👔 Leadership Lineup

• Ecobank Group appointed Papa Madiaw Ndiaye as Board Chairman.

📰 News of the Week

• Tanzanian Fintech Selcom acquired a bank.

Selcom started in 2001 in Tanzania, as an airtime distributor for Celtel, the telecom company that was later acquired for $3.4 billion. Over the past 23 years, Selcom has evolved from being an airtime distributor to providing merchant payments, agency banking, card issuing, e-commerce, and switching services for banks. This week, it entered the banking sector after acquiring Access Microfinance Bank Tanzania.

Three years ago, Selcom wanted to launch its full digital consumer bank service  in partnership with a bank, but they were not able to do so. Not being able to launch banking with a bank partner inspired Selcom to acquire a bank? Maybe yes, maybe no.

Selcom has over 60,000 agents on its agency banking network, 100,000 merchants on its payments services and has integrated with over 50 banks and financial institutions in Tanzania. This bank acquisition might be a great opportunity for them to extend their business model and make money on more financial services like credits and more.

👀 Eye Openers

• A look at the twin East African-born leading payments fintechs.

Selcom and Cellulant are prominent payments companies in East Africa. While Selcom was born in Tanzania and Cellulant in Kenya, there are a few similarities between the two that tell a story.

Both started in 2001; Selcom in Tanzania and Cellulant in Kenya.

Both didn’t start with payment services; Selcom began as an airtime distributor while Cellulant started as a ringtones seller.

Both are now leading fintechs in East Africa; Selcom has over 100,000 merchants and, last week, it acquired a bank. Cellulant operates in 18 countries and processes $13 billion a year.

📑 Read of the week

• Payments should be free, That's when financial services will include everyone.(Substack)

📖 Other News, Reads, and Media

• Nigerian fintech startups could spend over $1 million on KYC address verification.
• The Central Bank of Nigeria lifted a six-week-long ban on onboarding new customers imposed on five of the country’s most prominent fintech startups: Paga, OPay, Kuda, Palmpay, and Moniepoint.
• The Central Bank of Nigeria revoked the banking license of Heritage Bank, minutes after the Nigeria Deposit Insurance Corporation visited the bank.Heritage Bank struggled with huge Non-performing loans for years. According to internal documents seen by TechCabal, at least 90% of the bank’s active loan portfolio of around $471.5 Million was considered lost or doubtful as of March 31, 2024.

🎥 VIDEO INTERVIEWS/DISCUSSIONS

• Payments in Africa: a Cross-Border, Cross-Device Revolution Discussion with executives from Fintechs like Onafriq and banks like Standard Bank Group.

🦉 Tweet of the Week

🎯 Fintech Opportunities

• African Fintechs are invited to apply for timbuktoo Fintech accelerator and expect to win Equity-free funding of up to $25,000 USD to support the startups growth.
• Want to sponsor or share your fintech story and reach over 100,000 fintech enthusiasts each week? reach out to john@thisweekinfintech.com to get started.

👍🏽👎🏽  Did you enjoy this edition of This Week In Fintech Africa? Please share your feedback with me on Twitter or LinkedIn .