Uncategorized - Afrikan Heroes

South African Regulator Apologizes After Crypto Gaffe

May 14, 2021

South Africa’s Financial Sector Conduct Authority (FSCA) has apologized to a Cape Town-based crypto startup, Ovex, less than 24 hours after warning that the firm was operating outside the law. In its retraction, the financial watchdog said the findings of an investigation into Ovex, which specializes in crypto arbitrage services, suggest that the firm is operating outside the FSCA’s purview.

The statement says:

Based on the information provided by Ovex we are satisfied that Ovex does not currently require a licence from the FSCA, as its business activities fall outside the current jurisdiction of the FSCA. The previous media release has been retracted.

Meanwhile, the FSCA’s about-face comes after its head of enforcement, Brandon Topham, was quoted in the local media defending the regulator’s initial handling of the matter. Responding to a media inquiry, Topham admitted that the issuing of the warning did not mean Ovex was “operating unlawfully.” Instead, the warning statement, according to Topham, was intended to urge the investing public to be cautious when dealing with Ovex “as they are making claims of returns.”

However, according to a report, the FSCA executive did admit at the time that the regulator might have “jumped the gun” and that an amendment to its warning statement would be made once more information was obtained.

In the meantime, the same report also carried Ovex’s initial response to the “damaging” warning that it said was “issued without giving the company time to respond to questions sent earlier in the week.” In its statement, Ovex said:

It seems [as if] there may have been panic, and the announcement was made without proper process. Ovex always acts in a 100% compliant, legal, and ethical manner, seeking legal and compliance advice with every action.

The crypto firm also said it had stopped its advertising campaign until this issue was resolved and that it expected the FSCA to issue a full retraction.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

M-PESA’s New Update Allows Users to Send Money to Multiple People

May 11, 2021

Africa’s leading mobile money provider M-PESA has introduced a new M-PESA app feature that allows users to send money to up to five people at the same time. According to Safaricom, owners of M-PESA, the key reason why it introduced this feature is to make it easier for companies to pay employees via the app.

“Most times you’d have to send them their dues one by one which can be tedious. Now this update should help ease that pressure. We’re not sure yet if it lets you select different amounts for different people but if that’s the case it’s even better.”

MTN Group has reportedly made a bid for an Ethiopian telecommunications licence alongside Vodacom Group and Safaricom. Finance ministry adviser, Brook Taye says that the consortium of bids is led by Safaricom.

“We always wanted quality providers and this is what we have received,” adds Taye. “These are two African giants — the Safaricom-led consortium and MTN — either one or two of the operators will get a licence in Ethiopia.”

Kenya’s geographical proximity to Ethiopia is expected to be one reason why Safaricom leads the consortium.

The CEO of Safaricom, Peter Ndegwa, said that he would continue to pursue ways to introduce the company’s data, M-PESA and geographical expansion to Ethiopia as part of his strategy to take Africa-wide telecom to the next level of growth.

Taye revealed that Ethiopia will take a few days to review the technical offer and then open the financial bids. The government is looking to award two full-service telecoms licences as part of its plan to attract more foreign investment to its economy.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

AFD Launches The 5th Edition Of Its Challenge For African Startups

May 6, 2021

The French Development Agency (AFD) continues to support high-impact digital players in Africa. It is for this purpose that it has just launched the 5th edition of the AFD Digital Challenge, a competition aimed at rewarding the most innovative African projects in terms of digital technology and the resolution of sustainable development goals in the continent.

the AFD Digital Challenge — The AFD Digital Challenge

This year, the competition focuses on the theme “Innovating for the climate and biodiversity”.

It thus aims to combine the challenge of digital transition with that of climate and biodiversity protection, in connection with Sustainable Development Goal 13 promoted by the UN.

AFD Digital Challenge 2021 is therefore aimed at startups, associations and research centers on the continent that offer innovative solutions to reduce the carbon impact of economic activities, promote the sustainable, participatory and civic management of natural resources and promote a sustainable economic activity in line with environmental issues. The competition targets in particular projects which place digital technology at the heart of their solution and which have a viable economic model.

The jury made up of AFD experts will select precisely 10 projects that will benefit from an acceleration pack, made up of personalized technical support and a financial envelope worth 20,000 euros.

Applicants have until May 26, the deadline, to submit their projects to https://www.afddigitalchallenge.afd.

The selections will be made in three phases. A first phase of examination of the application files validates the eligibility of the candidates and preselects 30 startups on the basis of an analysis of the projects, their innovative character, their economic model, their impact and their place in them. holds digital.

The second phase consists of an in-depth analysis by AFD’s experts of the pre-qualified projects. The third is the final selection of the jury composed of experts from AFD. The results will be announced on June 30, 2021.

In the meantime, it will be recalled that the AFD Digital Challenge was launched in 2016.

In five editions, the competition received 2,500 applications from 45 countries and has already rewarded 35 projects sponsored by African startups, associations and research centers.

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer

Kenyan Startup, Uncover Skincare Launches “One Stop Shop”

May 1, 2021

Kenyan based startup; Uncover Skincare has launched a “one stop shop for skincare” in Nairobi, Kenya. The cosmetics startup was founded by Catherine Lee and Sneha Mehta as part of the Nairobi-based Antler accelerator which later funded Uncover Skincare with 100,000 investment. The startup educates its users by providing users with a skin quiz and videos to solve what appears to be the biggest challenge in the skincare world.

According to Sneha Mehta the co-founder, “Catherine and I bonded over our passion to empower women with confidence and we are starting with solving a problem in skincare,” adding that skincare is difficult in Kenya and other African continents thus users or consumers are limited by challenges of information constraints.

Uncover Skincare also creates its own line of products in collaboration with a top Korean Original Design Manufacturer to sell skincare products via its B2B collaborators and e-commerce website. Metha also noted that their approach is data-driven and a survey was launched with up to 1,000 respondents.

This survey according to the founders is the largest skincare study carried out in the region. She noted that the startup’s product is a direct response to consumers’ challenges in the skincare industry. The startup has onboarded some retailers to sell its products. With an initial focus on Kenya, Uncover skincare plans expansion into the rest of East Africa and other parts of the continent after 2021.

Uncover skincare targets “anyone who cleanses their face”, with specific 4.2 million Kenyan females within the ages of 15 to 44. Metha however, confirmed that the startup initially had a marketing focus on 25 to 34 years, Kenyan women. The skincare market value across Kenya, Nigeria, Africa, Uganda and Tanzania amounts to $2.9 billion. From this figure, Kenya alone amounts to $250 million.

“The Kenyan skincare market is growing at 100 percent. Kenya’s largest e-commerce site, Jumia, saw 400 percent growth in skincare between 2018 and 19.” Metha concluded.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

Toyota Tsusho Comes For Healthcare And Retail Startups, Invests In Africa-focused VC Samurai Incubate

April 15, 2021

Toyota Tsusho, the leading investor in the African mobility space, has moved to expand its investment focus in Africa beyond mobility. To that effect, the Japanese VC has announced today that it had invested in Samurai Africa Fund 2 (a fund run by Samurai Incubate Inc.) in March 2021.

Mobility 54 Investment SAS (“Mobility 54”) was founded in October 2019 by Toyota Tsusho and its subsidiary CFAO SAS (“CFAO”), a company dedicated to the investment and financing of mobility-related startups in Africa. Mobility 54 has invested approximately 12 million USD (approximately 1.3 billion JPY) in four startups since its inception, with the aim of accelerating the MaaS market in Africa and addressing issues in the mobility sector.

Samurai’s latest investment is aimed at scouting startups in fields other than mobility, such as healthcare and retail, as well as collaborating with Mobility 54 in the field of MaaS. Toyota Tsusho will contribute to the resolution of social problems in Africa through its “WITH AFRICA FOR AFRICA” ideology, which aims to evolve alongside Africa’s citizens and communities.

The Target Of The Fund Under The Partnership

The fund targets startups raising Pre-Series A rounds in Nigeria, Kenya, South Africa, Egypt, among other countries.

The ticket size for investments, for this fund, will range between 100k to $735k for startups developing solutions in the Finance & insurance, logistics, medical & healthcare, retail & e-commerce, energy, agriculture, transportation & mobility, and entertainment sectors.

The total fund under the partnership is now $19m.

The previous fund of Samurai Incubate Africa made 18 seed-stage investments under the name of Leapfrog Ventures in Africa during 2018 -2019. The USD 4.5 Mn fund actively rolled out equity money in startups based out of Kenya, Uganda, Rwanda, South Africa, Ghana and Nigeria.

Particularly, the fund invested invested $50 000 in Kenyan startup Biasharabot in 2018.

How To Apply To The Fund

Click here.

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer

How Egypt’s Fintech Raised $18.5m in One Fell Swoop

April 9, 2021

The Egyptian fintech ecosystem has witnessed a very commendable step as leading fintech Paymob which raised $3.5 million in 2020, to improve its capacity and acquire more merchants to use its payments services was in the news this week for raising an additional funding, bringing the startup to a formal Series A close of $18.5 million.

The round was led by Global Ventures, a venture capital firm that invests mostly in Middle East and North African startups but also has Nigerian healthtech Helium Health in its portfolio. FMO, which is the Dutch entrepreneurial development bank, and A15 (an Eyptian investment fund) also participated in the deal. The raise is possibly the largest-ever Series A by a fintech in Egypt. Islam Shawky, the co-founder and CEO of Paymob, said the new funding is an indication of the startup’s “next phase of growth,” noting that the opportunity for digital financial services in North Africa is promising.

Islam Shawky, the co-founder and CEO of Paymob

“The large digital payments gap still exists and we are delighted to be working with progressive-thinking regulators to address this,” Shawky said, according to Menabytes.

“This latest capital raise will accelerate our progress to reducing the digital payments bottleneck. All our existing investors have increased their holdings, and we thank them both for their support and the confidence they have in our business model and track record of execution,” he added.

Paymob says its digital wallet service for businesses currently owns 85% market share in Egypt as the country’s top payments facilitator. The startup reports good news from the effect of the 2020 pandemic, growing monthly revenue more than 5 times and total payment volume of more than $5 billion from over 35,000 local and international merchants. Outside Egypt where it also offers offline Point of Sale products, Paymob has locked down customers in Kenya, Pakistan and Palestine. It plans an entry into Saudi Arabia this year and other parts of the Middle East.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

Nigeria’s Relationship with Emirates Airlines Deteriorates

March 24, 2021

The relationship between the Nigerian aviation authorities and Emirates airlines seem to have gone south as the airline was again banned from flying into the country as a result of what the Nigerian government continues to question Emirates Covid-19 testing regime which they described as discriminatory and lacking any scientific basis.

This is the second time in two months the Nigerian Government has banned the Dubai-based carrier from flying into the country. Emirates normally flies between Dubai and Lagos and Dubai and Abuja. Emirates cargo and emergency flights are exempt from the ban.

It could be recalled that the Nigerian authorities slapped Emirates with a three-day ban on outbound flights in early February because of an airline-imposed COVID-19 testing regime at Emirates that was at odds with the Nigerian Government’s regime. However, the impasse was quickly resolved, and few, if any, Emirates’ flights were impacted.

But the Emirates’ COVID-19 testing regime is firmly back on the Nigerian Government’s radar. The Nigerian aviation authorities and health ministry slapped the airline with a further ban that took effect at midnight on March 17. This time the ban impacts both inbound and outbound passengers. Emirates has confirmed the ban and has suspended passenger flights to Nigeria until further notice.

In addition to accepting COVID-test results from local test centers not on Nigeria’s approved list, Emirates wants its passengers departing Nigeria to have three COVID-19 tests within 24 hours. That includes an initial PCR test, an antigen rapid test at the airport, and a PCR test at the arrival airport. Hadi Sirika, the Nigerian Aviation Minister Hadi Sirika calls the requirement nonsensical adding that “since they insist, their operations remain suspended.”

The Nigerian Government believes a single PCR test with 72 hours of departure should suffice. However, Emirates disagrees. This most recent flight ban was to run for five days but remains in force. Both the Nigerian Government and Emirates say talks are continuing to resolve the issue. “Emirates remains in close dialogue with the relevant regulators and authorities in Nigeria, and we are fully committed to making progress on a resolution to ensure the continuation and expansion of our operations,” the airline said in a statement.

It could be recalled that Emirates has been flying very few passengers on its outbound flights from Nigeria before this present ban. Except for UAE nationals and diplomats, Dubai has banned travelers who’ve been in Nigeria within 14 days of traveling. Passengers from the two groups allowed to travel must adhere to Emirates’ COVID-19 testing rules in order to fly.

However, it is not just Emirates Airlines that have issues over Covid-19 protocols with the Nigerian authorities. Dutch carrier KLM has also faced Nigeria’s displeasure with its COVID-19 testing regime. KLM had faced similar sanctions as Emirates, but according to the Nigerian Government, agreed to unwind their testing regime. As a result, KLM resumed flying passengers in and out of Nigeria from March 15.

Despite Emirates putting its flights to Nigeria on ice, a number of other long-haul airlines continue to fly into the country. Lagos’ Murtala Muhammed International Airport is hosting flights by Delta Air Lines, Ethiopian Airlines, Air France, British Airways, Turkish Airlines, Virgin Atlantic, Qatar Airways, and KLM among others.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

Tunisia Launches A $75m Fund For Startups

Startups in Tunisia have some great news. A $75m fund, backed by the World Bank and supported by German Cooperation, has been launched for startups in the country. Also launched are the “Anava” Fund of Funds and the “Startups and Innovative SMEs” project. The project, which will run for 7 years, was designed to support the government’s “Startup Tunisia” program, which aims to catalyze the creation and growth of digital and innovative startups and SMEs, and by ricochet, stimulate economic and employment prospects for young Tunisians.

Here Is What You Need To Know

The project is being championed by the Caisse des Dépôts et Consignations (CDC), Smart Capital, the BM and the GIZ, at the Palais du Baron d´Erlanger (Ennejma Ezzahra) in Sidi Bou Saïd.

The project will finance the subscription of the CDC to the Fund of Funds called “ANAVA”. The target size of the ANAVA fund is 200 million euros (approximately 655.5 million dinars). The ANAVA Fund will support the financial and growth needs of startups.

ANAVA is co-financed by the German Development Bank (KfW) which will manage funds from the European Union and Germany.

How The Fund Will Work

The “Startups and Innovative SMEs” project will finance equity or quasi-equity investments in innovative startups and SMEs, as well as render assistance for concept development, improvement of investment receptivity and technology adoption.

In addition to the Fund of Funds, the project includes a second ecosystem support component called “FlyWheel”, also co-financed by the World Bank and GIZ Tunisia.

This component will help actors in the entrepreneurial ecosystem — especially business incubators and accelerators — to improve and extend the reach of their programs, including startups and SMEs led by women or located in development regions.

What About Anava?

As for the “Anava” fund of funds, an essential component of the “Startups and Innovative SMEs” project, it was also launched at the same time, with a first closing (last stage of fundraising) of 40 million euros (approximately 130 million Tunisian dinars).

This is one of the key pillars of the national Startup Tunisia initiative, which aims to make Tunisia “a country of Startups at the crossroads of the Mediterranean, the MENA region and Africa”.

ANAVA will contribute to the promotion and financing of startups and innovative companies, and will thus make it possible to create wealth in an inclusive manner, generate jobs with high added value and promote the spirit of initiative among young Tunisians.

Its mission: to acquire a stake in collective investment funds or any category of mutual funds (the underlying funds) dedicated to startups and innovative companies and covering all their phases of life and development.

These include, in particular, underlying funds focused on seed or Seed stage funds, Early stage funds (funds focused on the initial stages of development of startups); Late Stage funds (funds focused on the advanced stages of development of innovative companies).

The ANAVA Fund is managed by SMART CAPITAL, the operator of the national Startup Tunisia initiative which aims to make Tunisia a Startup Friendly country (or friend of startups).

According to Meriem Zine, investment director at Smart Capital and responsible for leading the ANAVA Fund of Funds, this is the first fund of funds in Tunisia.

It is a regional fund with a maturity of 20 years, with the program investing in at least 16 funds dedicated to startups and funding around 350 startups.

Smart Capital also manages the Startup Act.

450 Startups Already Labelled

The Minister of Communication Technologies, Mohamed Fadhel Kraiem, present at the launching ceremony of the said project, underlined the importance of the “Startups and Innovative SMEs” project which is based on three components: regulatory (Startup act), financial (Fonds de Fund and Flywheel) and a third component which will be focused around the development of a framework that will allow the administration to access innovative solutions in all areas, through the involvement of startups and innovative SMEs / SMIs.

He said that since the adoption of the Start Up Act in April 2019, no less than 450 startups have been labeled out of around 750 candidate startups, an average of 20 startups per month, affirming that the labeling dynamic has been maintained despite the pandemic, which reflects its durability.

*Labelled startups in Tunisia at a glance*

Lessons from Tunisia’s seeming success with its Startup Act

Tunisia’s Startup Act has largely succeeded because of a collaboration between the public and private sectors. For instance, Smart Capital, the company in charge of administering the Tunisian Startup Act is privately managed, although with public shareholding. The company was approved by the Tunisian Financial Markets Council, and works with the country’s Ministry of Communication Technologies and Digital Economy and the Ministry of Finance. Smart Capital’s mission is simple and straight-forward: design and implement the Startup Tunisia initiative (including among others, the Startup Act and the Fund of Funds ANAVA), in order to make Tunisia a country of startups at the crossroads of the Mediterranean, MENA region and Africa.

Thus, handing over the administration of the Act to a private entity has saved the Act from the bugs of bureaucracy and inefficiencies that eat up most government commissions and agencies in Africa. The company has been promoting Tunisian startups and planning several launches of funds in support of startups, recently.

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer

fund Tunisia startups fund Tunisia startups

Tanzania To Increase Data Rates For WhatsApp Callers

March 12, 2021

To compensate for the financial losses induced by the drop in international telecom voice traffic caused by the massive adoption of the Over-The-Top (OTT) WhatsApp application, the government of Tanzania is currently considering various solutions, including the introduction new data rates. Information and Communication Technology Minister Faustine Ndugulile (pictured) revealed this on Wednesday (March 10) in an interview with mwananchi.co.tz.

Information and Communication Technology Minister Faustine Ndugulile

Acknowledging that banning WhatsApp calls is not a viable option, Emmanuel Manase, the director of sector issues at the Tanzania Communications Regulatory Authority (TCRA), said a price adjustment could instead help the country to stabilize its revenues. He argued that the first step will first be to identify the phones that make and receive calls through the OTTs. Through their call data, the regulator will be able to estimate the total value of calls made and received in order to determine by how much to adjust the price of the data.

Over the years, OTTs have been preferred by consumers of telecom services in view of the affordable costs they offer. As a result, the number of international mobile calls increased from 107.2 million in the fourth quarter of 2012 to 27.27 million in the last quarter of 2020, according to the TCRA. That is to say a decline of 81.09% in ten years.

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer

Kenyan Agency Launches Programme to Help Nurture Startups

February 26, 2021

KeNIA chief executive officer (CEO) Dr Tonny Omwansa

The Kenyan government through the Kenyan National Innovation Agency (KeNIA) plans to encourage the startup ecosystem in the country with the establishment of a National Innovation Technical Committee that will help build a comprehensive and inclusive framework for nurturing startups at national scale. The committee, set up by the agency’s board of directors, will advise and support KeNIA on a regular basis and help establish necessary linkages to help the agency deliver on its mandate.

Members of the committee will serve for a minimum of one year and a maximum of three, with membership voluntary and unpaid. The initial team comprises of KeNIA chief executive officer (CEO) Dr Tonny Omwansa as well as Dr Shikoh Gitau, Dr George Kosimbei, Tania Ngima, Ali Hussein, Florence Kimata, Jonas Tesfu, Harry Hare, Bernard Chiira, and Stephen Gugu.

“We are excited to have the team volunteer their time in supporting the innovation and entrepreneurship drive that KeNIA is embarking on,” said Prof Reuben Marwanga, chairman of the KeNIA board. “We are confident that their contribution will go a long way in making sure that we deliver on our mandate.”

The members of the committee span different sectors, including academia, investment, business development, management, and startup mentorship and coaching.

“We have diverse skill sets in the committee which gives us an opportunity to leverage not just on their skill sets but their diverse networks as well,” said Dr Omwansa. Hare, who will chair the committee, said he was humbled to serve in the technical committee of such an important agency in the startup and entrepreneurship ecosystem.

“Having worked in the ecosystem for the last ten years, I am looking forward to sharing lessons learnt that will propel our country into the next level,” he said.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry