“Boost Africa” or “Alliance for Entrepreneurship in Africa”, many national or international initiatives complement each other to advance the emergence of a truly entrepreneurial universe on the continent. At the same time, African startups are trying to work their way up fun, which has succeeded in ever -increasing fundraising. Details.
Boost africa: 1 billion euros for entrepreneurship
Launched in 2016, “Boost Africa” is a joint initiative of the African Development Bank (AfDB) and the European Investment Bank. Its aim is to support young African entrepreneurs. For AfDB, it is “one of the key initiatives of the Bank’s Strategy for Jobs for Youth in Africa, which aims to harness the continent’s potential and create opportunities on the ground”.
Boost Africa’s benefits from funding from partners such as the EU, which has already provided an envelope of 60 million euros. But, it is estimated that Boost Africa will benefit more than € 1 billion in total investments through additional funding provided by third-party public and private funding partners, as well as funding raised by end- recipient.
“Since its launch in November 2016, Boost Africa has helped support high -impact investments made across the continent by venture capital partners located in Dakar, Abidjan, Nairobi, Lagos and Tunis”, welcome welcoming the partners ’initiative.
The initiative has supported the emergence of innovative companies in Africa specializing in agribusiness, fintech, e-commerce and cybersecurity. About 1,080 professional organizations and 3,267 business leaders from 32 African countries have benefited from the initiative in various forms.
Alliance for Entrepreneurship in Africa: focus on SMEs!
This is the latest in a series of major pro -entrepreneurship initiatives in Africa that have just been launched. This is the “Alliance for Entrepreneurship in Africa”. It was launched last March by the world’s financial heavyweights: the African Development Bank (AfDB), the European Bank for Reconstruction and Development (EBRD), the European Investment Bank (EIB), the Association of European Development Finance Institutions (EDFI) , the French Treasury, the International Finance Corporation (IFC) and Proparco, the French Development Agency’s (AFD) branch dedicated to the private sector.
This “Alliance for Entrepreneurship in Africa” aims to “support the private sector and the current entrepreneurial dynamics in Africa”. The Alliance emphasizes the development of VSEs/SMEs and African startups, vectors of growth, employment and innovation.
In this regard, it should be noted that according to the World Bank, SMEs represent almost 90% of businesses in sub-Saharan Africa and 38% of regional GDP. In addition to funding, the Alliance will support reforms aimed at improving the business and investment climate in Africa, and support the development of private sector initiatives in the sustainable green and digital sector.
Funding: Rising African startups
They are a key indicator of the entrepreneurial dynamic on the continent. In 2021 alone, startups were able to raise encouraging amounts, with $ 5.2 billion. This confirms the interest of investors. For 2022, the tech -savvy platform, “Africa The Big Deal”, expects amounts of up to $ 7.3 billion in venture capital investment among African startups.
Since the Covid crisis, the health sector has been gaining momentum. The amount injected into health start-ups during 2020 is estimated at almost 102 million euros.
On the other hand, few African countries have invited themselves to the table of “startup countries” in recent years. These include Kenya, Nigeria and South Africa. In 2017, South Africa received nearly $ 168 million in investments for 42 companies, while Kenya received $ 82 million.
Abdellah Benahmed / ECO Inspirations