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San Francisco Fintech Elevate Secures $5 Million to Expand Into Africa

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San Francisco Fintech Elevate Secures $5 Million to Expand Into Africa

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Elevate, a fintech company specializing in US banking services for non-resident remote workers, announced today the closing of a $5 million equity-debt pre-Series A funding round led by Negma Ventures, a Dubai-based investment firm.
 
The funding will fuel Elevate’s expansion into new markets across South Africa, Turkey, and key regions in South Asia and Southeast Asia.
 
The company anticipates strong demand in Indonesia and Malaysia in Q3, followed by Vietnam and Thailand.

“This fresh capital injection allows us to meet the growing needs of a global remote workforce seeking secure and cost-effective banking solutions,” said Elevate CEO Khalid Keenan.
 
“Our key metrics point to a significant opportunity in Southeast Asia, where millions of remote workers require efficient financial tools.”

Formerly known as Bloom, Elevate offers FDIC-insured US bank accounts through a partnership with sponsor bank Bangor Savings Bank.
 
This allows remote workers to receive payments directly, make purchases with debit cards, and transfer funds internationally.

Elevate initially explored local USD accounts but ultimately opted for US-based insured accounts due to the absence of payment receipt fees and enhanced security benefits.

“We prioritize the safety and affordability of our services,” explained Keenan. “Remote workers can choose between an FDIC-insured account for dollar savings or a riskier e-wallet option. We differentiate ourselves from services like Payoneer by eliminating high FX rates and offering FDIC insurance.”

Elevate aims to provide competitive exchange rates similar to Wise and negotiate better terms for remote workers.
 
This latest funding round brings the company’s total capital raised to $10 million since 2021, with investments from Y Combinator, Visa, Goodwater, VSQ, and Negma Group.
 
 

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World Environment Day: Honoring Africa’s 35 Heroes Driving Environmental Change

World Environment Day: Honoring Africa’s 35 Heroes Driving Environmental Change

Climate change is a global crisis that affects every continent, but its impacts are particularly severe in Africa.

Impact of Climate Change on Africa

The continent, known for its rich biodiversity and vibrant ecosystems, is facing unprecedented challenges due to rising temperatures, changing precipitation patterns, and increasing frequency of extreme weather events.

These climatic shifts threaten not only the natural environment but also the livelihoods and well-being of millions of Africans.

In recent years, Africa has experienced some of the most dramatic evidence of climate change.

From prolonged droughts in the Horn of Africa to devastating floods in Southern Africa, the consequences of a warming planet are becoming ever more apparent.

These environmental changes have profound implications for agriculture, water resources, and food security, making the continent’s path to sustainable development increasingly complex.

Below are the Updated Data Points on Climate Change in Africa

  1. Temperature Increases:
    • Africa is warming faster than the global average, with temperatures in recent decades rising at a rate comparable to or higher than other continents. 
    • Extensive areas of Africa will exceed 2°C of warming above pre-industrial levels by the end of this century​  (World Economic Forum)​.
  2. Sea Level Rise:
    • Sea levels are rising at an accelerated rate along Africa’s coasts, reaching 5 mm per year in several oceanic areas surrounding the continent.
    • This rate exceeds the global average of 3–4 mm per year and poses significant risks of coastal erosion and habitat loss​ (World Meteorological Organization)​.
  3. Extreme Weather Events:
    • Africa has experienced increased frequency and severity of extreme weather events, including droughts, floods, and tropical cyclones.
    • For instance, Tropical Cyclone Idai in 2019 was among the most destructive recorded in the southern hemisphere, causing widespread devastation​ (UNFCCC)​​.
  4. Impact on Agriculture and Food Security:
    • Climate change has led to a 45.6% increase in the number of undernourished people in drought-prone sub-Saharan African countries since 2012.
    • The reduction in crop productivity due to heat and drought stress, as well as increased pest and disease damage, poses severe threats to food security​ (UN News)​​​.
  5. Economic Costs:
    • African countries lost nearly $9 billion in 2022 due to climate-related loss and damage. The projected costs of loss and damage due to climate change are expected to reach at least $290 billion under a 2°C warming scenario​ (Brookings)​​ (UN News)​.
  6. Adaptation and Mitigation Costs:
    • The cost of climate adaptation in sub-Saharan Africa is estimated to be between $30 to $50 billion per year over the next decade. These investments are crucial for building resilience and supporting economic development in the face of climate impacts​ (UNFCCC)​​ (World Economic Forum)​.

Spotlighting Africa’s Environmental Champions

As we observe World Environment Day, it’s crucial to recognize and celebrate the individuals making significant strides in combating climate change and promoting environmental sustainability across Africa.

These champions are not only addressing the pressing challenges posed by climate change but also driving innovative solutions that benefit communities and ecosystems.

  1. Elizabeth Wathuti – Founder and President of Green Generation Initiative
  2. Nyombi Morris – CEO, Earth Volunteers
  3. Oluwaseyi Moejoh – Executive Director & Co-founder, U-recycle Initiative Africa
  4. Anthony Nyong – Director, Climate Change and Green Growth
  5. Fatou Jeng – Youth Representative – United Nations Secretary General’s Early Warning System for All
  6. Jocelyne Tsonang – Project Manager Africa, Green Bond Corporation
  7. Ibrahim Thiaw – Executive Secretary, UN Convention to Combat Desertification
  8. Dr. Al-Hamndou Dorsouma – Division Manager, Climate and Green Growth Department at African Development Bank Group
  9. Mirey Atallah – Head of Nature for Climate Branch at United Nations Environment Programme
  10. Moubarak Moukaila – Head of Environment and Climate Finance at West African Development Bank
  11. Dr. Eng. Festus K. Ng’eno – Principal Secretary (PS), State Department for Environment & Climate Change
  12. John Ewoi – Environment and Social Manager at Verdant Capital
  13. ROSE MWEBAZA – Director and Regional Representative for Africa at UNEP
  14. Michael Waiyaki Nganga – Founder, Miti Alliance
  15. Toni J E Beukes – Head of Environment, Social and Governance (ESG) at HYPHEN Hydrogen Energy
  16. Hatim Aznague – Climate Policy Analyst
  17. Onyinye Anene-Nzelu – Head, Mini GridsHead at ENGIE Energy Access
  18. Mohammed Dahiru Aminu – Non-Resident Fellow at Africa Policy Research Institute
  19. Martin Lyambai – Environmental Finance Officer at Biodiversity Finance Initiative
  20. Jumoke (Mujidat) Omodeni – Director at EcoSciGen
  21. Samuel Osei-Amponsah – Community Coordinator at ETHAccra
  22. Oghosa Erhahon – Co-Host, Global Tales of Carbon Transition
  23. Abimbola Abikoye – Climate Change Consultant at DARNA Research ApS
  24. Dr Meggan Spires – Director, Climate Change, Energy & Resilience at ICLEI Africa
  25. Shamini Harrington – Vice President: Climate Change at Sasol
  26. Zarina Moolla – Head of Climate Action Implementation (Africa) at C40 Cities
  27. Naoufal Mahdar – Vice-President, Climate Action & Decarbonisation at OCP S.A
  28. Miguel Ugochukwu Peters – CEO, African Circular Business Alliance (ACBA)
  29. Nachilala Nkombo – Founder Women Leaders for Climate Action
  30. Linda Evelyn Namulindwa – Climate Justice Activist at Green Futures Initiative
  31. Wako Joel – Environment Journalist
  32. Sophie De Coninck – Climate Facility Global Manager at UNCDF
  33. Jonah Kirabo – Country Lead at Climate Clock
  34. Sara Khairy – Climate Change and Sustainability Services (CCaSS) at EY
  35. Hamza Al-Assad – Head of Climate Strategy and Regional Delivery (MENA) at EBRD

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Africa’s “Y Combinator”, Accelerate Africa, Unveils First Cohort of 10 Startups

Key Developments

Africa's "Y Combinator", Accelerate Africa, Unveils First Cohort of 10 Startups

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Accelerate Africa, a new accelerator program designed to propel early-stage African businesses has unveiled its inaugural cohort after four months of operation.

The program, led by Iyin Aboyeji, founder of Pan-African VC firm Future Africa, and Mia von Koschitzky-Kimani, general partner, aspires to become the “Y Combinator of Africa.”

“We previously focused on pre-accelerator programs to prepare founders for established accelerators like Y Combinator and Techstars,” Aboyeji said. 
 
“However, we recognized the need for a program specifically tailored to the African landscape, prompting us to enter the accelerator arena ourselves.”

The first cohort boasts geographical diversity, with the ten startups hailing from Nigeria (6), Kenya (2), Egypt (1), and Eswatini (1).
 
These companies represent various sectors critical to Africa’s development, including artificial intelligence (AI), clean technology (cleantech), property technology (proptech), health technology (healthtech), automotive technology, human resources technology (HRTech), logistics, and financial technology (fintech).

Following a demo day at the Lagos Marriott Hotel, decisions regarding pre-seed or seed funding will be made for select startups.
 
Angel investors and venture capitalists will provide investments ranging from $250,000 to $500,000.  

Here’s a glimpse at the innovative startups comprising Accelerate Africa’s first cohort:

  1. Afriskaut (Nigeria): An AI and data startup harnessing proprietary technology to identify Africa’s top sports talent.
  2. Agrails (Kenya): A cleantech company leveraging AI to build data systems that empower organizations to address and capitalize on climate risks and opportunities across Africa.
  3. Campus HQ (Nigeria): A proptech startup simplifying workspace discovery, setup, and management for mid-to-large-sized teams, essentially creating an “Airbnb for workspaces.”
  4. CDIAL (Nigeria): An AI company developing a conversational AI fluent in African languages.
  5. Checkups (Kenya): A healthtech startup offering affordable and accessible healthcare to underserved communities through micropayment options.
  6. Flickwheel (Nigeria): An autotech startup providing on-demand auto repair credits, vetted technicians, and automated repair tracking for efficient vehicle care.
  7. Juiceme (Eswatini): An HRTech startup offering blue-collar workers access to their earned wages via WhatsApp before payday, particularly for emergencies.
  8. Messenger (Nigeria): A logistics startup empowering delivery drivers to become entrepreneurs through income and ownership opportunities, including vehicle financing to own their delivery vehicles.
  9. PipeOps (Nigeria): A DevOps provider offering a suite of tools and services to help companies with limited cloud expertise set up, deploy, and manage cloud-based applications.
  10. Settle (Egypt): A fintech startup automating B2B payments, enabling clients to streamline payments to all suppliers with ease.
Accelerate Africa’s mission is to empower these ventures and shape a thriving future for African businesses.

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Microsoft and Cyber Shujaa Partner to Train 100 Kenyans in Cybersecurity

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Microsoft and Cyber Shujaa Partner to Train 100 Kenyans in Cybersecurity

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Microsoft, through its Africa Development Centre (ADC) in Kenya, has joined forces with Cyber Shujaa to upskill 100 Kenyan students in cybersecurity.

This initiative is part of Microsoft’s ongoing commitment to strengthening the cybersecurity talent pool in Kenya’s booming technology sector.

Cyber Shujaa is a youth-oriented program established by a consortium of three organizations: Serianu Limited, United States International University-Africa (USIU-Africa), and the Kenya Bankers Association (KBA).

The program offers a unique blend of theoretical and practical training, delivered through a hybrid learning model that combines classroom instruction with one-on-one sessions and weekly mentorship.

The three-month program will target a mix of 70 undergraduate students and 30 graduate students with less than two years of professional experience.

The curriculum will cover eight critical cybersecurity domains: network security, application security, cloud security, incident response, security architecture, Internet of Things (IoT) security, and forensics.

“Cybersecurity is a cornerstone for secure operations across various industries, yet there’s a significant gap in skilled professionals,” said Catherine Muraga, Managing Director of Microsoft ADC. “This partnership with Cyber Shujaa exemplifies our commitment to establishing Kenya as a hub for cybersecurity talent.”

Equipping graduates with industry-recognized skills is a key focus of the program. Participants will be eligible to earn two Microsoft cybersecurity certificates, enhancing their employability in the cybersecurity job market.

“This timely collaboration with Microsoft will provide a much-needed boost to the cybersecurity industry, particularly across Africa,” said Igor Sakhnov, Corporate Vice President of Engineering at Microsoft, during the program launch.

Cyber Shujaa boasts a proven track record, having already trained over 500 individuals in cybersecurity and data protection with competency-based skills development programs.

This new partnership with Microsoft signifies a significant step forward in addressing the growing demand for cybersecurity expertise in Kenya and beyond.

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KPMG to Host Africa Venture Summit to Boost Private Enterprise Investment 

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KPMG to Host Africa Venture Summit to Boost Private Enterprise Investment

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KPMG is set to host the Africa Venture Summit, an event designed to catalyze private enterprise investment across the continent.

KPMG is set to host the Africa Venture Summit, an event designed to catalyze private enterprise investment across the continent.

The summit, scheduled for June 10, 2024, will bring together a diverse group of stakeholders, including venture capitalists, private equity investors, entrepreneurs, and industry leaders.

The Africa Venture Summit comes at a crucial time for the continent’s private equity (PE) market.

Despite global economic uncertainties, Africa’s PE landscape shows promising signs of growth.

According to the African Private Equity and Venture Capital Association (AVCA), 2023 saw a record level of fundraising, with over $4 billion committed to African PE funds.

This influx of capital is largely driven by the continent’s burgeoning middle class, rapid urbanization, and technological advancements, which create fertile ground for investment.

KPMG’s summit aims to harness this momentum by providing a platform for key industry players to network, share insights, and explore investment opportunities.

The event will feature panel discussions, keynote speeches, and breakout sessions covering a range of topics, from navigating regulatory environments to identifying high-growth sectors.

The summit underscores Africa’s growing appeal to investors. With a youthful population, increasing internet penetration, and a vibrant entrepreneurial ecosystem, the continent offers significant opportunities for PE investment.

Sectors such as fintech, healthcare, and renewable energy are particularly attractive due to their high growth potential and ability to address critical challenges.

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LAfricaMobile Secures $4.6 Million in Series A Funding to Expand Cloud Communication Platform in Africa

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LAfricaMobile Secures $4.6 Million in Series A Funding to Expand Cloud Communication Platform in Africa

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LAfricaMobile, a leading provider of cloud communication and mobile marketing solutions, has secured €4.3 million in Series A funding.
 

The round was led by Janngo Capital, with participation from a distinguished group of investors, including French soccer players Aurélien Tchouaméni and Jules Koundé, founders of Expensya Karim Jouni and Jihad Othmani, and investment firms SouthBridge Investments and Ciwara Capital.

LAfricaMobile plans to leverage the funds to propel its growth across Central Africa and further enhance its product offerings.

A key focus will be the integration of artificial intelligence (AI) to deliver greater value to its clients and partners.

Founded in 2014 by Malick Diouf, LAfricaMobile empowers businesses to execute large-scale communication campaigns across Africa through its innovative platform.

The platform utilizes a range of mobile technologies including SMS, USSD, Voice, WhatsApp, Airtime, and Text-to-Speech.

With a team of nearly 30 professionals boasting diverse cultural backgrounds, LAfricaMobile has facilitated almost 100 million transactions, connecting over 15 countries and collaborating with 60 operators.

This investment underscores LAfricaMobile’s position as a frontrunner in Africa’s cloud communication and mobile marketing landscape.

The company’s strategic use of the funds positions it for continued expansion and the development of cutting-edge AI-powered solutions to empower businesses across the continent.

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Moroccan Agritech Startup YoLa Fresh Secures $7 Million to Connect Farmers and Retailers

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Moroccan Agritech Startup YoLa Fresh Secures $7 Million to Connect Farmers and Retailers

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YoLa Fresh, a Moroccan agritech startup that connects smallholder farmers directly with traditional fruit and vegetable retailers, has secured $7 million in pre-Series A funding.
 

The round was led by Al Mada Ventures, with participation from Algebra Ventures, E3 Capital, Janngo Capital, and the Dutch Entrepreneurial Development Bank (FMO).

YoLa Fresh aims to streamline Morocco’s agricultural supply chain by eliminating middlemen.

Their platform connects farmers with retailers and food service providers, allowing for better synchronization of supply and demand.

This reduces food waste, lowers fees for both parties, and increases profits for farmers and retailers alike.

Founded in 2023 by Youssef Mamou and Larbi Alaoui Belrhiti, YoLa Fresh has already made significant strides.

They’ve partnered with over 1,000 retailers across North Africa and boast a monthly gross merchandise volume (GMV) of $1 million.

The company reportedly delivers more than 1,200 tonnes of produce monthly and enjoys an impressive 85% customer retention rate, with retailers averaging four transactions per week.

YoLa Fresh’s strong customer loyalty is a key indicator of future success. The startup anticipates achieving a positive contribution margin by the end of 2024 or early 2025.

They plan to focus on cash-on-delivery options with traditional retailers, collaborate with farmers to improve margins, and prioritize unit economics for long-term viability.

With an annualized revenue target of $40-50 million by 2026, YoLa Fresh has its sights set on expansion beyond Morocco’s borders in the same year.

The agricultural sector contributes a significant 15% to Morocco’s GDP, making it a prime market for the company’s services.

The substantial domestic market, with its traditional trade sector generating an estimated $5-6 billion annually, presents a lucrative opportunity for YoLa Fresh to revolutionize the way food gets from farm to table in Morocco.

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