African fintech is booming, with funding surging to $3.1 billion in 2024 – a 215% increase since 2020. The sector is growing 35% faster than regions like Latin America and Southeast Asia, driven by 495 million mobile subscribers and 57% of adults unbanked. Key investors are fueling this growth, focusing on digital payments, lending, insurtech, and blockchain.
Top 10 Investors:
- Ventures Platform: Seed-stage focus, $20k accelerator, $1B+ follow-on funding.
- Future Africa: $50k-$500k investments, $30M deployed, focus on financial infrastructure.
- TLcom Capital: $154M fund, $500k-$10M investments, scaling expertise.
- MaC Venture Capital: $1M-$2M investments, cross-border payments, SME lending.
- Partech Africa: €245M fund, $1M-$15M ticket sizes, digital payments leader.
- Renew Capital: $250k-$2M investments, blended finance model.
- Quona Capital: $1M-$20M investments, Series A/B focus, financial inclusion.
- Catalyst Fund: $100k grants, early-stage accelerator, AI and mobile-first solutions.
- GreenHouse Capital: $50M fund, women-led startups, hands-on growth support.
- 54 Collective: Seed/Series A focus, mobile money, and blockchain solutions.
Quick Comparison
| Investor | Focus Areas | Investment Range | Key Offerings |
|---|---|---|---|
| Ventures Platform | Seed-stage, scalable fintech | $20k accelerator | $1B+ follow-on funding, multi-country focus |
| Future Africa | Financial infrastructure | $50k-$500k | Expert network, regulatory support |
| TLcom Capital | Scaling fintech | $500k-$10M | Cross-border scaling, governance guidance |
| MaC Venture Capital | Cross-border payments | $1M-$2M | Remittance market, SME lending tools |
| Partech Africa | Digital payments | $1M-$15M | Pan-African expansion, infrastructure focus |
| Renew Capital | Mobile money, lending | $250k-$2M | Blended finance, operational support |
| Quona Capital | Series A/B fintech | $1M-$20M | Mentorship, global network |
| Catalyst Fund | Early-stage, AI tools | $100k grants | Tailored support, market research |
| GreenHouse Capital | Women-led startups | Early-stage | Growth programs, $50M fund |
| 54 Collective | Mobile money, blockchain | Seed/Series A | Standard Bank partnership, market entry help |
These investors are shaping Africa’s fintech future, focusing on financial inclusion, scalable solutions, and innovative technologies.
African Venture Capital Success: Launch Africa Ventures & Fintech Deals
Ventures Platform, established in 2016 and headquartered in Abuja, focuses on supporting seed-stage fintech startups addressing Africa’s financial inclusion challenges through sustainable business models [8]. Their portfolio highlights some of the continent’s most urgent financial needs while ensuring these ventures remain commercially viable.
So far, the firm has backed over 75 companies across more than six African countries, supporting 140+ founders whose startups have collectively secured over $1 billion in follow-on funding [13]. In addition to funding, they run an accelerator program that provides selected startups with a $20,000 seed investment [2].
Their investments focus on scalable solutions in Nigeria, Ghana, Kenya, and Southern Africa [2]. Ventures Platform emphasizes fintech solutions with clear revenue models, particularly in areas like payment infrastructure and credit systems [13].
The firm remains committed to funding startups that serve underserved markets and build critical financial systems [13].
Future Africa focuses on addressing infrastructure challenges across the continent. So far, the fund has invested around $30 million in fintech startups tackling these issues [1][3].
They typically invest between $50,000 and $500,000 in early-stage fintech companies. Notable investments include Bamboo (a platform for U.S. stock investments) and Mono (an open banking solution). They also led the pre-seed funding round for Thepeer, which specializes in wallet transfer APIs [14].
Their approach centers on supporting startups that solve key financial infrastructure problems. In addition to funding, Future Africa offers:
- Expert Network: Access to experienced mentors and industry professionals.
- Strategic Guidance: Hands-on operational support.
- Market Access: Connections to potential customers and partners.
- Fundraising Help: Links to investors for later funding stages.
- Regulatory Support: Assistance with navigating compliance challenges.
Through their co-investment program, the “Future Africa Collective”, individual investors can also participate in funding promising startups [2]. When evaluating potential investments, they prioritize market potential, the strength of the founding team, and evidence of user adoption [1][3]. Their key focus areas include financial inclusion and digital payment solutions.
TLcom Capital, through its $154M TIDE Africa Fund II, invests between $500k and $10M in early-stage fintech ventures across growing markets like Egypt and South Africa [3]. This aligns with a broader trend of investors focusing on Africa’s major tech hubs, similar to Ventures Platform’s multi-country strategy.
Some of TLcom’s standout investments include LittleFish, a South African company offering payment solutions for small and medium-sized businesses, and Okra, a Nigerian API platform that facilitates real-time financial data exchange [3][6]. Okra’s solutions directly tackle the financial inclusion challenges discussed earlier, complementing other portfolio companies like Bamboo (supported by Future Africa) operating in related sectors.
What TLcom Offers Its Portfolio Companies:
- Expertise in scaling across borders
- Capacity for follow-on funding
- Guidance on governance
- Support for entering new markets
- Insights into local market dynamics
When assessing potential investments, TLcom focuses on key factors such as:
- The size of the market
- Strength of the founding team
- Demonstrated traction
- Scalability potential
- Long-term viability of the business model [3][5]
With a strong regional presence, TLcom helps its portfolio companies navigate Africa’s fragmented markets by developing tailored, localized strategies [3][5].
MaC Venture Capital, formed in 2019 through a merger, manages over $400 million and typically invests between $1 million and $2 million in African fintech companies. The firm focuses on startups addressing financial inclusion through tech-driven solutions tailored to cultural contexts [2][10]. This approach aligns well with TLcom Capital’s emphasis on regional scaling and taps into Africa’s $5 billion remittance market [4].
Their African fintech portfolio includes standout names like Chipper Cash, a leader in cross-border payments, and Asaak, a Ugandan platform providing motorcycle financing [3][4]. Chipper Cash’s success reflects the fintech sector’s strong position, with digital payments accounting for 33% of funding. Meanwhile, Asaak’s innovative credit models aim to serve the 57% of adults in the region who remain unbanked.
MaC VC evaluates startups based on two key factors:
- Technology Innovation: Offering fresh solutions to financial challenges.
- Regulatory Compliance: Ensuring alignment with financial regulations [15][12].
The firm’s strength lies in combining a deep understanding of African markets with insights into global tech trends. Co-founder Marlon Nichols is known for spotting startups that merge financial progress with meaningful social impact [2].
Moving forward, MaC VC plans to increase its investments in Africa, explore blockchain and decentralized finance (DeFi), and support regional growth initiatives.
Partech Africa operates a €245M ($263M) fund, allocating 40-50% of it to fintech investments ranging from $1M to $15M, covering Seed to Series B stages [1][3]. This allows them to make larger investments compared to regional players like MaC Venture Capital.
Their portfolio includes standout companies like Wave (mobile money in Senegal and Côte d’Ivoire), TradeDepot (a B2B commerce platform in Nigeria), and Yoco (a South African POS system provider) [1][3]. These investments highlight the dominance of digital payments, which account for 33% of funding in the sector, as mentioned earlier. Yoco’s growth also reflects Partech Africa’s focus on infrastructure, a strategy similar to Future Africa’s.
The firm targets large, underserved markets with locally tailored tech solutions and strong unit economics [1][3]. This approach aligns with the broader goal of addressing Africa’s 57% unbanked population, as noted earlier.
With teams based in Dakar and Nairobi, Partech Africa gains deeper market insights and offers support for cross-border expansion [2]. Beyond funding, they connect portfolio companies to global networks and provide expertise in scaling.
“Our investment thesis focuses on backing entrepreneurs who are building critical digital infrastructure for the continent”, says a Partech Africa representative [10].
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Renew Capital, previously known as Renew Strategies, has invested around $30 million in African fintech startups. Their investments typically range from $250,000 to $2 million [2][5]. The firm focuses on areas like mobile money, digital banking, and payment systems [1][3], addressing the challenges of the 57% unbanked population in Africa while complementing Partech Africa’s work on infrastructure.
Their portfolio includes platforms such as PayGo Energy, a Kenyan pay-as-you-go LPG distributor; Numida, a Ugandan SME lending solution; and Pezesha, a peer-to-peer marketplace [1][4]. Renew Capital uses a blended finance model, combining commercial investments with catalytic funding, supported by a partnership with USAID [9]. This model has helped create over 3,000 jobs within their portfolio companies [9].
The firm also provides operational support in areas like compliance, recruitment, and connecting startups with investor networks [3][5]. They focus on startups working on embedded finance, AI-based credit scoring tools, and cross-border payment systems [1][4], aligning with the sector’s 33% funding concentration in digital payments.
Quona Capital, an offshoot of Accion, manages over $1 billion in investments, with a strong focus on African fintech. Based in Cape Town, the firm channels its resources into payments, digital banking, and infrastructure projects, emphasizing financial inclusion and digital transformation[9][5].
In February 2023, the firm led a $40 million Series B funding round for Wasoko (formerly Sokowatch). This funding supported Wasoko’s East African expansion, enabling it to reach 100,000 merchants and achieve 2.5x revenue growth. The initiative addresses Africa’s 57% unbanked population, aligning with the broader trend of digital payments, which account for 33% of fintech funding in the region[11].
Quona Capital typically invests between $1 million and $20 million, primarily focusing on Series A and B rounds for fintech startups. One standout investment is Lulalend, a South African digital lender[5]. Beyond funding, startups benefit from mentorship and access to a global network, thanks to Quona’s Accion roots[16].
In 2022, the firm closed its $332 million Fund III, further fueling the projected $3.1 billion fintech funding surge expected in 2024[10].
“API-driven platforms create new opportunities for innovation”, highlights Quona’s investment thesis[5][3].
Quona prioritizes startups that exhibit:
- Scalable market opportunities
- Creative approaches to financial inclusion
- Deep understanding of local markets
- Long-term growth potential[5][3]
With a growing interest in embedded finance and AI-powered solutions, Quona Capital continues to play a key role in shaping Africa’s fintech landscape[9].
Catalyst Fund takes a different approach from Quona Capital by focusing on early-stage startups through a grant-accelerator model. Managed by BFA Global and supported by UK Aid and JPMorgan Chase & Co, it has helped portfolio companies secure over $573 million in follow-on funding[2]. Selected startups receive $100,000 in grant funding and 6-12 months of tailored support to tackle the challenge of reaching the 57% of the population that remains unbanked, often through mobile-first solutions[9].
This model allows Catalyst Fund to back startups addressing underserved markets, especially those using mobile technology and artificial intelligence[3]. One standout example is Lami Technologies, a Kenyan insurtech startup. With support from Catalyst Fund, Lami developed its digital insurance platform and later raised $3.7 million in a seed extension round led by Harlem Capital in 2022[14].
Key Investment Areas
Catalyst Fund focuses on five main areas:
| Focus Area | Description |
|---|---|
| Embedded Finance | Adding financial services to non-financial platforms |
| Climate Fintech | Tools to improve financial resilience to climate risks |
| Digital Infrastructure | Blockchain and API-driven financial systems |
| AI Solutions | Tools for credit scoring and risk assessment |
| Cross-border Finance | Innovations in remittance and trade finance |
The fund offers operational support that includes technical mentorship, market research insights, product development advice, and connections to corporate partners[3]. Recently, it has shown a strong interest in climate-focused fintech, reflecting the growing need for financial solutions that address Africa’s climate challenges[10]. Data-driven strategies remain at the core of its mission to expand financial inclusion across the continent[3].
GreenHouse Capital, based in Lagos, blends early-stage investments with hands-on growth support through its GreenHouse Lab program[2]. As a prominent African fintech investor, the firm has backed over 30 fintech ventures across the continent. By 2025, its portfolio companies have collectively raised more than $200 million in follow-on funding[2][3][7].
One standout investment is Payhippo, an AI-driven platform simplifying SME loans[5][7]. This focus on technical solutions aligns with Quona Capital’s interest in API-based innovations mentioned earlier.
Investment Criteria and Support
| Evaluation Area | Focus Points |
|---|---|
| Team Assessment | Experience and track record of the founding team |
| Technical Innovation | Scalability and originality of the solution |
| Growth Potential | Ability to expand across borders |
Through its GreenHouse Lab accelerator program[2], the firm offers operational support in areas like product development and market entry strategies. A notable success story is Indicina, a Nigerian credit infrastructure company that raised $3 million in a seed round led by Target Global in June 2022[11]. This investment reflects a shared interest with Ventures Platform in strengthening financial systems.
Looking ahead, GreenHouse Capital is preparing to launch a $50 million fintech fund[5][7], with a strong focus on supporting women-led startups[8]. This initiative complements 54 Collective’s plans to target Francophone markets, which will be discussed in the next section.
54 Collective, previously known as Founders Factory Africa, was rebranded in 2023 and continues GreenHouse Capital’s mission of supporting tech-driven solutions. The firm focuses on early-stage fintech startups with the potential to scale across Africa. So far, they’ve backed over 55 startups [8].
Investment Strategy and Portfolio
54 Collective invests in startups from seed to Series A stages, providing not just funding but also hands-on support in product development and market entry. One of their standout successes is Bamba, a Kenyan platform for micro-merchants, which raised $3.2 million after completing their acceleration program [12]. Another notable portfolio company is Koa, a Kenyan startup offering digital savings tools [12].
Their support covers:
- Product Development: Helping refine and improve offerings.
- Technical Infrastructure: Ensuring startups have the right tools and systems.
- Market Entry: Crafting strategies to penetrate and grow in new markets.
Strategic Partnerships and Support
A partnership with Standard Bank [9] enhances 54 Collective’s ability to connect innovative startups with established financial institutions. This approach is somewhat similar to Quona Capital’s model but focuses on earlier-stage companies. Their team of over 40 experts works closely with startups to provide tailored support [8].
Their investment approach aligns with the fintech sector’s rapid growth, which is expected to reach a $65 billion valuation by 2030 [7]. Key areas of focus include:
- Mobile money platforms
- Blockchain-based financial solutions
- SME lending tools for the 57% of Africa’s population without access to banking
- AI-powered financial technologies
Through these efforts, 54 Collective has helped create more than 600 jobs within its portfolio companies [8].
Investment Focus Overview
Investors in Africa’s fintech space reveal three main patterns shaping the funding landscape:
Investment Stages and Ticket Sizes
Early-stage funding dominates, with 68% of fintech investments concentrated in seed to Series A rounds. Ticket sizes vary widely – from $50,000 at pre-seed (e.g., Future Africa) to over $30 million for growth-stage deals (e.g., Partech Africa). On average, seed-stage investments in African fintech reach $1.5 million, while Series A rounds average $8.3 million [8].
Geographic Distribution and Market Focus
Some investors adopt a pan-African strategy, while others focus on specific regions, reflecting the unique strengths of ecosystems across the continent. This regional focus helps entrepreneurs connect with investors whose expertise aligns with their stage of growth and goals.
Sector-Specific Investment Trends
Fintech leads all sectors in venture capital funding in Africa, accounting for 39% of total startup funding in 2022 [9]. Current investment priorities address pressing market needs, including:
- Embedded Finance: Startups offering API-first solutions to integrate financial services.
- Cross-Border Payments: Platforms simplifying payments and remittances.
- Sector-Specific Fintech: Solutions tailored to industries like agriculture and healthcare [11].
- B2B Infrastructure: Tools designed for SME financing [12].
These focus areas align with portfolios like Quona Capital’s emphasis on APIs and 54 Collective’s interest in mobile money solutions.
Value Addition Beyond Capital
Investors go beyond funding by offering mentorship, market access, and specialized support. For example, 54 Collective aids technical infrastructure development, while TLcom supports cross-border scaling. There’s also a growing emphasis on ESG principles and sustainable business models, as seen in MaC Venture Capital’s approach to blending financial returns with social impact [12].
Next Steps for Startups
For fintech startups looking to secure investment in Africa’s fast-evolving ecosystem, it’s essential to highlight progress and offer solutions tailored to local needs. Areas like Banking-as-a-Service (BaaS) and decentralized finance hold immense promise, with the BaaS market expected to grow at a 30% annual rate between 2025 and 2030 [9]. These trends align with investor interests, such as Catalyst Fund’s focus on embedded finance and 54 Collective’s emphasis on mobile money.
Strategic Preparation
To improve their chances of attracting investors, startups should focus on three main areas:
Regulatory Compliance and Risk Management
From the start, build a solid compliance framework. Investors value startups that show a deep understanding of regulatory demands across their target markets. For example, MaC Venture Capital and Catalyst Fund stress the importance of regulatory sandboxes. In countries like Kenya and South Africa, these sandboxes offer a way to test new products while staying compliant [9].
Strong Partnerships and Infrastructure
Form key alliances with established financial institutions and telecom providers. This approach, similar to 54 Collective’s collaboration with Standard Bank, can enhance market positioning and scalability.
Clear Path to Profitability
Shift focus from pure growth metrics to sustainable unit economics. With investors paying closer attention to financial sustainability, this is more critical than ever [6].
Investment Readiness Checklist
| Key Component | Critical Elements |
|---|---|
| Technical Infrastructure | Security, scalability |
| Financial Model | Unit economics, revenue paths |
| Regulatory Strategy | Licenses, sandbox experience |
With investor interest at an all-time high, startups must balance localized innovation with strong financial practices. By emphasizing governance and building diverse teams, they can seize the opportunities in Africa’s fintech landscape [17].
