Fintech is one of the most dynamic and innovative sectors in Africa, with hundreds of startups offering solutions for payments, lending, banking, insurance and more. In 2022, African fintech startups raised over $1.4 billion in funding, according to Disrupt Africa, and attracted global attention with acquisitions and partnerships.
Africa is a continent with immense potential for innovation and growth in the financial sector. According to the World Bank, more than 60% of the population in sub-Saharan Africa is unbanked, meaning they lack access to formal financial services such as savings, credit, insurance and payments. However, thanks to the rapid adoption of mobile phones and internet connectivity, many African entrepreneurs are developing innovative solutions to address this gap and provide affordable and convenient financial services to millions of people.
In this blog post, we will highlight five African fintech startups that are making waves in the industry and have the potential to scale up and impact millions of lives in 2023 and beyond.
Okra is a Nigerian startup that provides an API platform for connecting bank accounts to third-party applications. Founded in 2019, Okra has secured partnerships with major players like Access Bank, Interswitch and uLesson, and raised $10 million in a seed round led by TLcom Capital and Accenture Ventures. Okra enables businesses to access real-time financial data, initiate payments, verify identity and perform direct debits from customers’ bank accounts.
Moove is a Nigerian mobility fintech that provides revenue-based vehicle financing to drivers and transport entrepreneurs across Africa. Launched in 2019, Moove has facilitated over $200 million in loans for more than 10,000 drivers on platforms like Uber and Bolt. Moove leverages data and technology to assess credit risk and offer flexible repayment terms based on drivers’ earnings. Moove raised $68.5 million in a Series A round led by Speedinvest and Left Lane Capital.
Tabby is an Egyptian startup that offers a buy now, pay later (BNPL) service for online and offline shoppers in the Middle East and North Africa. Founded in 2019, Tabby allows customers to split their purchases into four interest-free installments or pay after 14 days with no fees. Tabby partners with over 2,000 merchants across various sectors, including fashion, electronics, beauty and travel. Tabby raised $50 million in a Series B round led by Global Founders Capital and STV.
Wave is a Senegalese startup that provides a mobile money service that allows users to send and receive money instantly and securely via their phones. Founded in 2018, Wave aims to make mobile money more accessible and affordable by charging no fees for transactions and offering competitive exchange rates. Wave operates in Senegal, Uganda, Gambia, Mali, Burkina Faso and Ivory Coast, where it claims to have over 5 million active users and process over $2.5 billion in annualized payment volume. Wave raised $200 million in a Series A round led by Sequoia Heritage and Stripe.
JUMO is a South African startup that operates a technology platform for building and running financial services for emerging markets. Founded in 2014, JUMO partners with banks, mobile network operators and fintech companies to offer credit, savings and insurance products to underserved customers. JUMO has served over 20 million customers and disbursed over $3 billion in loans across 15 markets in Africa and Asia. JUMO raised $55 million in a funding round led by Goldman Sachs.
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