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Largest Venture-Capital Fund For Sub-Saharan African Tech Startups Announced

Largest Venture-Capital Fund For Sub-Saharan African Tech Startups Announced

The launch of a €100 million fund, expected to become the largest venture-capital fund focused on digital-technology start-ups in sub-Saharan Africa, is set to accelerate ongoing digital transformation and drive economic growth in the region.

International Finance Corporation (IFC), a member of the World Bank Group, has assisted Partech Ventures launch the fund.

IFC’s €15 million equity investment makes it an anchor investor in the Partech Africa fund, which has reached its first close.

The transaction marks IFC’s first investment in a mainstream venture capital fund in sub-Saharan Africa, where start-ups in the technology sector face significant funding gaps that limit their ability to grow.

From CAJ News. Story by Akani Chauke.

Philippe Le Houérou, Chief Executive Officer of IFC, said technology could have a huge transformative impact in Sub-Saharan Africa, which has a vast untapped source of entrepreneurial energy.

He said Arica’s population was overwhelmingly young with lots of people having strong tech skills and innovative ideas that could improve lives.

“But they lack the necessary funding. We think the Partech Africa fund will make an important contribution to closing this funding gap and driving entrepreneurship and growth,” Le Houérou said.

Read more at CAJ News.