Day: February 20, 2025

The Tunisian startup aims to use this investment to expand its reach across the region and introduce new product categories.

The funding round was led by Janngo Capital, a venture capital firm focused on promoting gender equality in Africa.

Other investors included U.S.-based firms Renew and Village Capital, as well as prominent business angels such as the founders of InstaDeep, a Tunisian artificial intelligence company.

Dabchy’s success highlights the growing interest in circular economy solutions for fashion, especially in emerging markets.

In Tunisia, the clothing industry accounts for about 20% of GDP, with women holding 80% of jobs in the sector.

Fatoumata Bâ, Founder and Executive Chairwoman of Janngo Capital, emphasized the startup’s role in reshaping the industry:

“Dabchy is driving sustainable change in the clothing sector while delivering economic, social, and environmental benefits,” she said. “We are excited to support its expansion into Egypt and other markets.”

The demand for second-hand fashion is increasing across Africa, where 80% of apparel and footwear purchases come from the resale market.

However, quality and reliability remain challenges. Dabchy addresses this by offering a user-friendly digital platform where customers can buy and sell pre-owned clothing with ease.

Since its launch in 2016, the platform has attracted 1.3 million users in Tunisia, proving the demand for affordable and sustainable fashion.

With the new funding, Dabchy plans to extend its operations across North Africa and the Middle East by 2026.

The company is also expanding beyond fashion into home goods, sports equipment, books, and games.

A new section, “Dabchy Men,” was recently introduced to meet the rising demand for second-hand men’s fashion.

Dabchy’s CEO and Co-Founder, Ameni Mansouri, expressed excitement about the company’s future:

“This investment will help us scale our business, improve user experience, and strengthen our position in the region,” she said. “Our goal is to make circular e-commerce both sustainable and profitable.”

Investor Ashley Maddox praised the platform’s potential, saying, “Dabchy makes shopping for second-hand fashion simple and digital. Consumers are embracing it, and under Ameni’s leadership, the company is set to dominate the market in North Africa and the Middle East.”

Dabchy is also working on improving logistics and transaction security to enhance customer satisfaction.

The company plans to optimize supply chains and partner with regional delivery services as it enters new markets.

The project, valued at $600 million, is poised to enhance the nation’s food production and stimulate economic growth.

The collaboration delineates clear ownership stakes: Asset Green will hold a majority share of 51%, EABC will possess 25%, and EIH will control the remaining 24%.

This strategic partnership aims to leverage the strengths of each entity to modernize and expand Ethiopia’s agribusiness landscape.

Phased Implementation

The initiative is structured in two distinct phases:

1. Phase One: This initial stage focuses on the dairy industry, with plans to breed 10,000 dairy cows. It encompasses the development of feed production systems and the establishment of advanced milk processing facilities. This phase aims to meet the growing domestic demand for dairy products and reduce reliance on imports.

2. Phase Two: Subsequent efforts will shift towards crop cultivation and processing, targeting staples such as rice, cotton, and oilseeds. This phase is designed to diversify Ethiopia’s agricultural output and introduce value-added processing capabilities, thereby enhancing export potential.

Established in December 2015, EABC is a federal public enterprise formed through the merger of five state-owned entities, including the Ethiopian Seed Enterprise and Agricultural Inputs Supply Enterprise.

The corporation is dedicated to supplying agricultural inputs, machinery, and services to enhance productivity across Ethiopia.

EIH, serving as the Ethiopian government’s strategic investment arm, oversees a diverse portfolio of state-owned enterprises.

Its mission is to attract investments and manage assets to foster economic development and improve the quality of life for Ethiopians.

This partnership aligns with Ethiopia’s broader objectives to modernize its agricultural sector, ensure food security, and stimulate economic growth.

By integrating advanced farming techniques and processing technologies, the project is expected to create employment opportunities, enhance export revenues, and contribute to the nation’s sustainable development goals.

The collaboration also reflects a growing trend of international investment in Ethiopia’s agribusiness, signaling confidence in the country’s economic potential and commitment to transformative growth.

Announced at an event in Lagos, this program is a collaboration with organizations such as Tech4Dev and Data Science Nigeria, focusing on enhancing the employability of Nigerian youth through education in AI and cybersecurity.

Olatomiwa Williams, Managing Director of Microsoft Nigeria and Ghana, emphasized the company’s dedication to empowering individuals and organizations to seize opportunities in the AI-driven industrial landscape.

This initiative builds upon Microsoft’s previous efforts to strengthen digital skills across Africa.

In May 2024, in partnership with G42, Microsoft announced a $1 billion investment to enhance Kenya’s digital infrastructure, including the development of a geothermal-powered data center and an innovation hub.

Additionally, Microsoft has pledged to train one million South Africans in AI and cybersecurity skills by 2026, aiming to democratize access to AI education and foster a more equitable digital future.

While the $1 million investment in Nigeria aims to reach a vast audience, questions have been raised about the feasibility of training one million individuals with this budget, equating to $1 per trainee.

Details regarding the program’s structure, depth, and the nature of certifications to be offered remain undisclosed.

The State of AI in Africa: Policy and Funding

Africa’s AI landscape is rapidly evolving, marked by significant investments, policy developments, and a growing tech ecosystem.

The African Union (AU) has demonstrated a strong commitment to AI advancement by endorsing the Continental AI Strategy during its 45th Ordinary Session in Accra, Ghana, in July 2024.

This strategy promotes an Africa-centric, development-focused approach to AI, emphasizing ethical, responsible, and equitable practices.

Several African nations have proactively developed national AI policies to harness the technology’s potential.

Despite these advancements, challenges persist. Experts have noted that the state of AI in Nigeria is still in its early stages, with significant growth potential.

Educational initiatives and strategic investments are crucial to accelerate AI adoption and integration across various sectors.