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With boundless possibilities and a growing entrepreneurial spirit, Africa's SMEs are driving innovation, creating jobs and paving the way for a prosperous and inclusive future.

African SMEs: Driving Transformation, Empowering Youth and Promoting Equality.

By Margaret Mandeya | Tue Jun 27 2023
Africa is rapidly emerging as the new frontier for business, brimming with immense possibilities and opportunities, with SMEs playing a central role in driving this narrative forward. Lesley Lokko, curator of the 2023 Venice Architecture Biennale and prominent entrepreneur who founded the African Futures Institute, eloquently captured the prevailing sentiment in Africa by affirming the widespread belief that "It is our time." This sentiment is resonating across the continent, igniting optimism and resolute determination.
Africa's young population and the role of SMEs
With a youthful and dynamic population, Africa has a tremendous opportunity for job creation and economic growth through SMEs. The continent's median age of 19 highlights the potential of its young workforce. SMEs already account for approximately 80% of jobs in Africa, making them critical for socio-economic development. Moreover, by harnessing the entrepreneurial spirit of the continent, young people can actively participate in Africa's progress.
SMEs as drivers of innovation and sectoral growth
SMEs play a crucial role in driving innovation and filling gaps in key sectors. They bring agility and creativity to effectively introduce new ideas and approaches to address challenges. By building successful businesses, African entrepreneurs actively shape the future of their communities and contribute to the overall development of the continent.
Empowering women and promoting gender equality
A positive trend across African countries is the increasing involvement and recognition of the pivotal role of women in the business sector. As entrepreneurs, women are stepping forward, demonstrating their readiness to make a positive impact and shape the future of their communities. This progressive shift promotes gender equality by providing women with equal opportunities for economic participation and leadership roles.
Supporting African SMEs
At Renew Capital, we recognize the potential of Africa as a thriving hub for businesses. By providing support and guidance to entrepreneurs, we aim to unlock their full potential and pave the way for a prosperous and inclusive future in Africa.
Renew Capital is an Africa-focused impact investment firm that backs innovative companies with high-growth potential. Renew Capital manages investments made on behalf of the Renew Capital Angels, a global network of angel investors, foundations and family offices who seek financial returns and sustainable social impact. For the latest on investing in Africa, subscribe and follow us at our social links below.

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