<figure class="image"><a href="https://assets.renewcapital.com/where-capital-flows" target="_blank" rel="noopener noreferrer"><img src="/uploads/Where_capital_flows_blog_16e02a3ff1.webp"></a></figure><h4><a href="https://assets.renewcapital.com/where-capital-flows" target="_blank" rel="noopener noreferrer">Download</a></h4><h1>Capital Is Missing the Story</h1>African venture capital remains concentrated.Founder activity does not.That is the central finding of our latest report,&nbsp;Where Capital Flows: Africa's Venture Ecosystem 2023-2025.Renew Capital analyzed 1,704 venture transactions across 39 African countries to understand how African venture capital has evolved since the funding boom of 2021 and 2022.The data confirms that Nigeria, South Africa, Kenya and Egypt continue to attract most venture funding. But it also reveals something less obvious: startup formation is spreading well beyond the continent's traditional venture hubs.Markets such as Ghana, Rwanda, Morocco, Uganda, Senegal and Ethiopia continue generating meaningful startup activity despite receiving a much smaller share of institutional capital.The report also highlights the recovery of B2B investment, the emergence of AI and manufacturing as growing categories and the widening gap between founder activity and capital allocation.For investors, founders and policymakers, the question is no longer whether capital remains concentrated.It does.The question is whether capital is keeping pace with where entrepreneurs are building.Our research suggests it is not.<h3>Download the Report</h3>Where Capital Flows: Africa's Venture Ecosystem 2023-2025<ul><li>$5.4B invested</li><li>1,704 deals analyzed</li><li>1,339 companies</li><li>39 countries</li></ul>Available to the first 500 readers.Download the full report <a href="https://assets.renewcapital.com/where-capital-flows" target="_blank" rel="noopener noreferrer">here</a>.

African venture capital remains concentrated.

Founder activity does not.

That is the central finding of our latest report

Perspectives

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Where Capital Flows

<figure class="image"><a href="https://assets.renewcapital.com/hubfs/General/Trade%20Begins%20With%20Finance.pdf" target="_blank" rel="noopener noreferrer" download="download"><img src="/uploads/blog_graphic_trade_c9221fa348.webp"></a></figure><h4><a href="https://assets.renewcapital.com/hubfs/General/Trade%20Begins%20With%20Finance.pdf" target="_blank" rel="noopener noreferrer" download="download">Download</a></h4><h2>Why Canada’s Next Major Economic Opportunity May Be in Africa</h2>For years, the global conversation around Africa has been trapped in an outdated framework: aid, extraction or “future potential.”But the numbers increasingly point somewhere else entirely.Sub-Saharan Africa is projected to be the world’s fastest-growing region through the remainder of the decade. Africa’s fintech sector alone could reach $65B in annual revenue by 2030. More than 600 million people still lack access to reliable electricity. Cross-border payments remain fragmented and expensive. Financial infrastructure gaps continue to constrain trade, energy and SME growth across the continent.That combination of growth, friction and unmet demand is creating one of the world’s largest infrastructure opportunities.And increasingly, that infrastructure is financial.At Renew Capital, we believe the next phase of Canada-Africa trade will not begin with extractive projects or development assistance. It will begin with payment rails, embedded finance, settlement systems, energy financing and the digital infrastructure that allows commerce to scale.That is the argument behind our latest report:Trade Begins with Financial Services: The Case for Canada in AfricaThe report explores:<ul><li>Why Africa’s demographic and urbanization trends are structurally changing global markets</li><li>The rise of embedded finance and digital payments across the continent</li><li>Why fintech is becoming foundational infrastructure for trade and energy</li><li>The emerging Canada-Africa financial corridor</li><li>Three sectors where Canadian firms are uniquely positioned: fintech, clean energy and Natural Resources 2.0</li><li>The operational realities investors need to understand before entering African markets</li></ul>The broader point is simple: Africa is no longer a future story. It is an infrastructure story already underway.The firms helping build the rails today will help define the terms of tomorrow’s trade.Download the full report <a href="https://assets.renewcapital.com/hubfs/General/Trade%20Begins%20With%20Finance.pdf" target="_blank" rel="noopener noreferrer" download="download">here</a>.

Discover why Africa’s fast-growing fintech and financial infrastructure sectors are creating major opportunities for Canadian investors, businesses and trade leaders in the global economy.

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Trade Begins With Financial Services

<h1 style="text-align:justify;">Why Africa Should be “Anything But Zero”</h1>Investors and global tech should pay attention to Africa. Here’s why.&nbsp;From the ecommerce titans of Silicon Valley to the fintech hubs of Utah’s Silicon Slopes, the map of innovation has long been a closed loop. Raise capital and build at home. Scale across the country. Expand into Europe. Only then look at emerging markets as a Phase 4 opportunity.Some are starting to see the missed opportunities in that strategy.At Renew Capital, we have spent more than a decade investing on the ground across African markets. What we have seen is not only growth. We are seeing a shift in where real product development happens. Africa is no longer just the world’s favorite charity or a consumer frontier. It is becoming one of the most intense, accessible and high-stakes testing grounds for innovation.If you are a global tech company or an investor with a serious innovation budget, your allocation to Africa should be “anything but zero.”Here is why what some call the most “extreme” market on earth may be your greatest competitive advantage.<h3>1. Africa’s Challenges Are Your Opportunity: If It Works Here, It Could Work Everywhere</h3>The challenges facing African consumers, infrastructure gaps, fragmented payment systems and high-cost logistics are not unique. They are concentrated versions of global friction.In developed markets, innovation often optimizes for convenience. In Africa, innovation is forced to optimize for price, fragmentation, disruptions, funding constraints… and the list goes on. The emerging environment requires companies to contend with so many factors that any startup which survives could become the strongest in the world.&nbsp;The scale of those constraints is real. Power outages alone cost African economies 1% to 5% of GDP each year (World Bank). Roughly half of adults in Sub-Saharan Africa still lack formal financial accounts, even as mobile phones have become nearly ubiquitous across much of the continent (World Bank, GSMA). This is the ultimate startup testing environment.&nbsp;When you build a product that works through unreliable power, low connectivity and fragmented rails, you are not just building for Africa. You are building a battle-hardened system.By the time your product reaches developed markets, it is leaner, the UX is sharper and your system is more resilient than competitors who’ve only ever tested in soft conditions.If it works in Africa, it could work everywhere.<h3>2. Speed of Testing: The Zipline Model</h3><figure class="image"><img src="/uploads/zipline_700d1a8265.png"></figure>Source:&nbsp;<a href="https://en.wikipedia.org/wiki/Zipline_%28drone_delivery_company%29">Zipline’s Wikipedia page</a>One of the greatest barriers to new technology in developed markets is regulations.In the U.S. or Europe, to even begin testing could take a startup years until it has the right approvals. Africa offers something different: access.Governments are often more approachable and more willing to partner on solutions to immediate challenges. Take the case of&nbsp;<a href="https://www.zipline.com/about">Zipline</a> and their early start in Rwanda. While regulators in the U.S. were still debating drone delivery, Zipline was already operating at scale, completing tens of thousands of medical deliveries and building years of real-world flight data.In Rwanda, they did not just test. They proved their innovation.By the time Zipline approached more restrictive markets, they did not arrive with a pitch deck. They arrived with years of delivery data to show their business worked. Listen to the story here:&nbsp;<a href="https://open.spotify.com/episode/7qmfnrCPt9UxIcKEMdnbeN?si=UFthjEo6R5GKFDU5c8Mizw">LINK</a>Africa gave them the space to make the impossible real.<h3>3. Underdevelopment is a Huge Advantage: Building Without the Ghost of Legacy</h3>Our opinion is this: What many see as Africa’s weakness, underdevelopment, is its greatest advantage.In developed markets, innovation is layered on top of decades-old infrastructure. In Africa, many systems are being built from the ground up using architectures that are mobile-first, API-driven and increasingly AI-enabled.The clearest example is financial services. Sub-Saharan Africa accounts for more than half of global mobile money accounts and more than 65% of global transaction value (GSMA). This is not a game of catch-up. An entirely different system has been built.<img src="/uploads/growth_in_africa_2025_3f60c85552.png">Source:<a href="https://www.gsma.com/sotir?utm_campaign=africa-in-brief-april-03-2026&amp;utm_medium=referral&amp;utm_source=theafricabrief.beehiiv.com">&nbsp;GSMA</a>There are fewer incumbents to fight and fewer legacy systems to work around. That allows companies to design what the next generation of systems should look like, not just improve what already exists.Africa is not retrofitting the past. Instead it is prototyping the future. While startups in other parts of the world are thinking about how to improve banking, innovators across Africa can invent an entirely new model of banking by leveraging modern technology.&nbsp;<h3>4. Massive Scale and Impact Are the Cherries on Top&nbsp;</h3>Africa is not just a testing ground. It is becoming one of the largest and most dynamic markets in the world.By 2050, the continent will account for about one quarter of the global population, with one in three new entrants to the global workforce coming from Africa (United Nations); and the IMF projects Africa’s growth to outpace Asia’s at least through the end of the decade.At the same time, innovation is not confined to a few major hubs like Lagos, Nairobi, Cairo and Johannesburg. It is spreading to Kinshasa, Tunis, Addis Ababa and Abidjan. The share of sub-$1M startup deals outside the continent’s Big Four markets has grown from 28% in 2019 to 43% in 2025 (Renew Capital analysis of Pitchbook data).<img src="/uploads/by_deal_size_4c96473f38.png">Source: Renew Capital’s analysis of data from PitchBook, a Morningstar companyThis is what makes the opportunity unique. You are not testing in a niche market. You are testing in a fast-growing, increasingly distributed system of markets where real adoption happens.You are building with the future, not just for it.<h3>A More Honest View</h3>None of this eliminates risk. Markets are fragmented. Currency volatility is real. Regulation varies widely.But these are not edge cases. They are the conditions that increasingly define the global operating environment.In many cases, the rest of the world is catching up to constraints Africa is already solving for. Next time the power goes out in the U.S. see how people react. Do the same in Africa.&nbsp;<h3>Our Philosophy: The World Should be “Anything But Zero” with Africa</h3>We’re not suggesting you move your headquarters to Nairobi. But in a world where AI is accelerating change, having zero exposure to one of the most dynamic testing grounds on the planet is a strategic mistake.An allocation to Africa, whether through a pilot, a partnership or an investment, is not just a bet on a region. It is an investment in learning.In less than a decade, a significant share of the global workforce will come from Africa. Much of the world is not yet Africa-smart. The fastest way to close that gap is to engage directly.<h3>Bottom Line</h3>The next 20 years will be defined by who can solve the hardest problems. Those problems are already being solved in Africa.Do not sit on the sidelines with a zero on the board.

Investors and global tech should pay attention to Africa. Here’s why. 

Business Growth

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Why Africa Should be “Anything But Zero”

<h1>Press Release: Renew Capital Launches Renew Venture Lab: The EmFi Series, a Program for African Tech Founders Building the Future of Finance in Africa&nbsp;</h1>Program launches at GITEX Africa 2026 in Marrakech; applications open April 9<a href="https://latest-api.renewcapital.com//uploads/FINAL_Renew_Capital_Launches_Renew_Venture_Lab_The_Em_Fi_Series_88967f2e0c.pdf">Download Full Press Release</a>MARRAKECH, Morocco, April 9, 2026 — Renew Capital today announced the launch of Renew Venture Lab: The EmFi Series, a program designed to identify the best African tech founders who will shape the future of finance on the continent. The program was announced at GITEX during an exclusive investor breakfast hosted by the Renew Capital and AfricaNext BPI teams.Founders can apply online starting today at&nbsp;<a href="http://venturelab.renewcapital.com">venturelab.renewcapital.com</a>. Apply by April 30 for early consideration.&nbsp;<figure class="image"><img src="/uploads/image_arrow_partners_c3955563cf.png" alt="Renew Capital Launches Renew Venture Lab: The EmFi Series, a Program for African Tech Founders Building the Future of Finance in Africa "></figure><h3>Why Renew Capital is Focusing On Embedded Finance&nbsp;</h3>Across Africa, small and medium-sized businesses are systematically excluded from formal financial services, not because they are too risky, but because the data to assess them is underutilized. Africa represents a $330B untapped credit opportunity: SMEs make up 90% of all private sector businesses on the continent, yet the vast majority remain locked out of formal banking. In sub-Saharan Africa alone, fewer than one in five can access a loan from a traditional financial institution.Renew Capital believes tech companies are not only helping small businesses with innovative solutions to run their business, but they are giving their customers a data footprint that can be used to help them access credit. AI is allowing companies to use data in new ways to understand their customers; and one of the best applications of this data in Africa is to understand if they are worthy of a loan. The EmFi Series is built to help startups begin building or improving the systems to offer their customers credit."Africa's most important financial story is not being written by banks," said <a href="https://www.linkedin.com/in/matthew-davis-a948772/">Matthew Davis</a>, co-CEO of Renew Capital. "It's being written by tech founders who know their small business customers better than traditional lenders. The EmFi Series exists to help those founders build new financial products for their customers, and to back the best of them with real capital."<h3>About the Program</h3>The Renew Venture Lab: EmFi Series is a virtual, competitive program combining self-paced learning modules with live expert sessions featuring global practitioners who have built embedded finance products, credit models and lending books at scale.The program maintains Renew Capital’s focus on discipline and habits, a core element the firm has consistently argued is the key differentiator that separates successful founders from mediocre ones.&nbsp;Renew Capital's investment team is engaged throughout the program, and the firm’s founders and executives will be active in selecting the top companies for potential investment from Renew Capital.The program is supported by innovative government partners that believe Africa’s future will be defined by technology, including: Tamwilcom of Morocco, Global Affairs Canada and Norway’s NORAD. Where others have pulled back, these governments are investing in the future.&nbsp;<h3>How to Apply</h3>Apply at&nbsp;<a href="http://venturelab.renewcapital.com">venturelab.renewcapital.com</a> by April 30 for early consideration.<h3>About Renew Capital</h3>Renew Capital is a pan-Africa investment firm. We back the bold founders using technology to pursue Africa’s greatest opportunities.With more than a decade of investing on the continent, Renew Capital is among the most active venture capital investors building Africa’s thriving private sector.&nbsp;For more information visit&nbsp;<a href="http://renewcapital.com">renewcapital.com</a>.

Renew Capital announced the launch of Renew Venture Lab: The EmFi Series, a program designed to identify the best African tech founders who will shape the future of finance on the continent.

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Press Release: Renew Capital Launches Renew Venture Lab: The EmFi Series, a Program for African Tech Founders Building the Future of Finance in Africa

<h1>The Future of Africa’s Private Sector</h1>Still small, but massive, fast-moving and digital<img src="/uploads/Skyline_Landscape_Mobile_Money_50beba7137.avif">For decades, the "African growth" narrative has been stuck in a time loop. From development banks to global financial journals, the message has been consistent: for Africa to prosper, it must industrialize through factories, infrastructure, commercial agriculture and a formal manufacturing base capable of absorbing the millions of young people entering the workforce each year.But one possible view from the ground, and I should note that my husband and I have lived in Africa and invested in startups across the continent for more than 14 years, suggests something different. Our sense is that the factories are not arriving fast enough, and the formal jobs are not appearing at the scale many hoped. The reality we see as we travel across Africa often looks quite different.This reality raises a broader question:&nbsp;should we stop trying to fit Africa into a 20th-century development model? At a moment when technology is reshaping nearly everything we do, could Africa instead be at a point where it develops a different model of growth altogether?&nbsp;<h2>The Myth of the Industrial Savior</h2>Publications such as&nbsp;The Economist (<a href="https://www.economist.com/special-report/2025/01/06/africa-has-too-many-businesses-too-little-business?utm_medium=cpc.adword.pd&amp;utm_source=google&amp;ppccampaignID=17210591673&amp;ppcadID=&amp;utm_campaign=a.22brand_pmax&amp;utm_content=conversion.direct-response.anonymous&amp;gclsrc=aw.ds&amp;gad_source=1&amp;gad_campaignid=17210596221&amp;gbraid=0AAAAADBuq3IrrOn13siii2pkXA3wnZ7mz&amp;gclid=Cj0KCQjwgr_NBhDFARIsAHiUWr7_yQi40h-TXYi0hqjfcZ3hQxFQ7EkeXhfRVA0alVZMFTq3LsSuJekaAqEYEALw_wcB">Africa has too many businesses, too little business</a>) point to Africa’s "disappointing" manufacturing performance. The continent’s share of&nbsp;<a href="https://futures.issafrica.org/blog/2025/Unlocking-Africas-manufacturing-potential#:~:text=Energy%2C%20transport%20and%20reforms%20are,the%20global%20manufacturing%20value%20chain.">global manufacturing value-added is less than 2%</a>. The argument is straightforward: without a large manufacturing base to drive growth, Africa risks remaining stuck in low-productivity informal work.&nbsp;But this is the 20th-century model. It overlooks recent developments, such as the massive, mobile tech-surge happening across the continent and, more recently, AI.Some interesting news that points to a new development model could be first, that sub-Saharan Africa has more&nbsp;<a href="https://www.forbesafrica.com/current-affairs/2025/04/09/sub-saharan-africa-dominates-global-mobile-money-landscape-with-1-1-billion-accounts-new-report-finds">mobile money accounts than any other region of the world, combined.</a> Another development is smartphone adoption — Africa is one of the fastest growth markets in the world. Young Africans are building and running businesses on their phones, skipping right over laptops.&nbsp;<figure class="image"><img src="/uploads/image_6089a72815.png"></figure>Source:&nbsp;<a href="https://ourworldindata.org/mobile-money-why-it-matters">Our World in Data</a><h2>From Micro-Shop to Tech-Enabled Business</h2>In the past, an entrepreneur running a small shop in a local market might spend 30% to 40% of their time dealing with friction. Closing the shop to travel to wholesalers. Waiting in long lines at the bank to wire cash to a loved one or a supplier. Operating without records that could demonstrate creditworthiness.Technology is removing much of that friction.<ul><li>Inventory at the fingertips: Apps now aggregate wholesaler inventories, allowing entrepreneurs to browse and order products directly from their place of business.</li><li>Frictionless payments: Transactions move through digital wallets rather than cash boxes, creating a record that was previously invisible to the financial system.</li><li>Embedded finance: That digital transaction history, the everyday "data exhaust" of commerce, is increasingly being used to unlock credit.</li></ul>What once looked like informal trading increasingly resembles mobile-first, data-rich small businesses.<h2>The Surge: Why "Small" May Be Huge</h2>All this leads me to wonder if Africa will not develop the same way as other emerging markets. By moving directly from limited infrastructure to smartphones and high-speed connectivity, many entrepreneurs are adopting tools and market access faster than previous generations of business owners ever could.At Renew Capital, this is one place we see momentum building within Africa’s private sector. Rather than waiting for a perfectly formalized market to emerge, we invest in tools that make the existing market more efficient. Portfolio companies such as&nbsp;<a href="https://www.hypeo.ai/en">Hypeo AI</a> in Morocco and&nbsp;<a href="https://www.njiapay.com/">NjiaPay</a> in South Africa are examples of this approach, building technology that helps founders scale businesses without the constraints of legacy infrastructure.Africa’s jobs challenge is real. The continent needs to&nbsp;<a href="https://www.afdb.org/en/topics-and-sectors/initiatives-partnerships/jobs-for-youth-in-africa/what-is-the-jobs-for-youth-in-africa-strategy">absorb 10-12 million new workers</a> each year to keep pace with population growth.But the solution may not look like a traditional industrial park. It may instead emerge from a decentralized, tech-enabled network of millions of entrepreneurs gaining access to better information, better tools and, increasingly, smarter capital.One possible future for Africa’s private sector may not be defined by large factories, but by millions of digitally connected businesses growing from the ground up.If that future is unfolding already, the question becomes: are investors, policymakers and institutions prepared to recognize it?&nbsp;We’d love to hear your thoughts. Please share what you’re seeing and what models you think will work in what we believe will be the most exciting market to emerge in the next 50 years.&nbsp;

Still small, but massive, fast-moving and digital

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The Future of Africa’s Private Sector

<h1>Press Release: Technopark and Renew Capital Partner to Strengthen South–South Cooperation and Launch Renew Capital’s North and West Africa Headquarters in Morocco</h1><a href="https://latest-api.renewcapital.com/uploads/FINAL_Technopark_and_Renew_Capital_Partnership_Press_Release_e2880a489f.pdf">Download Full Press Release</a>CASABLANCA, Morocco, December 4, 2025 — <a href="https://www.technopark.ma/">Technopark</a> and Renew Capital today announced a strategic partnership marking the official launch of Renew Capital’s North and West Africa Headquarters in Morocco.<figure class="image"><img src="/uploads/MOU_Signing_Renew_Capital_Technopark_Partnership_e105b9c379.png" alt="Photo of Matt, CEO of Renew Capital, signing the partnership agreement during the Technopark and Renew Capital partnership event."></figure>This partnership reinforces Morocco’s leadership in promoting South–South cooperation, particularly in entrepreneurship, technology and investment. As a pan-African firm that has grown from East Africa for more than a decade, Renew Capital is now expanding westward and northward, connecting Morocco to fast-growing innovation ecosystems across the continent. This approach aligns with His Majesty King Mohammed VI’s vision to deepen African integration and foster productive cross-continental collaboration.Through this collaboration, Renew Capital will support Moroccan and North African entrepreneurs in expanding into sub-Saharan and East African markets, while also connecting Moroccan institutions to emerging opportunities across Africa. The goal is to help turn Moroccan and African startups into regional champions capable of scaling beyond their home markets.“Our ambition is to back bold entrepreneurs and help them grow across Africa,” said&nbsp;<a href="https://www.linkedin.com/in/laura-davis-25764430/">Laura Davis</a>, Managing Partner and Co-CEO of Renew Capital. “Morocco’s entrepreneurial spirit and strategic position make it the ideal base for our operations in North and West Africa. With this partnership, we are building a bridge between Morocco, East Africa and other dynamic regions of the continent.”The signing ceremony, held at Technopark Casablanca, brought together leaders from the innovation ecosystem, diplomatic representations and the private sector, reaffirming Morocco’s role as a gateway for technology, investment and cross-African collaboration.About TechnoparkTechnopark Casablanca is Morocco’s leading hub for technology and entrepreneurship, supporting hundreds of startups and SMEs and advancing Morocco’s digital economy and Africa-focused innovation.About Renew CapitalRenew Capital is a pan-Africa investment firm with a presence in 13 countries.&nbsp;We back the bold founders using technology to pursue Africa’s greatest opportunities.With more than a decade of investing on the continent, Renew Capital is among the most active investors building Africa’s thriving private sector.&nbsp;

Renew Capital opens its North and West Africa headquarters in Morocco through a strategic partnership with Technopark.

Morocco

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Press Release: Technopark and Renew Capital Partner to Strengthen South–South Cooperation and Launch Renew Capital’s North and West Africa Headquarters in Morocco

<h1 style="margin-left:0px;">The Franc Zone Advantage</h1>Republished from&nbsp;<a href="https://theafricabrief.beehiiv.com/p/africa-in-brief-november-7-2025">Africa in Brief - November 7, 2025</a><figure class="image"><img src="/uploads/The_Franc_Zone_Advantage_Graphic_of_the_Week_November_07_9294b4ee5e.png" alt="Chart showing real GDP growth forecasts for rated WAEMU economies, highlighting strong economic growth across West Africa’s CFA franc zone over the next two years."></figure>Source: <a href="https://www.spglobal.com/ratings/en/regulatory/article/250331-waemu-sovereigns-can-weather-mounting-global-geopolitical-and-trade-risks-s101617317?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-november-7-2025">S&amp;P Global</a>I was in Togo last week and now I’m curious about everything West African Economic and Monetary Union (WAEMU/UEMOA), an eight-country bloc of roughly 140 million people sharing the CFA franc (XOF) and a single central bank, the Central Bank of West African States (BCEAO). The union seems to be quietly tightening financial integration while modernizing its digital infrastructure. From Dakar to Lomé, UEMOA is rolling out instant payments and pulling fintechs into the formal system under one rulebook.Why it matters:<ul><li>Shared rails, shared currency: The BCEAO launched an instant payments platform (PI-SPI) linking all eight members for 24/7 cross-border transactions — a major step toward a unified digital market.</li><li>Fintech legitimacy: The BCEAO has now licensed about 30 fintechs, including 10 new approvals in September 2025.</li><li>New rulebook: Instruction 001-01-2024, issued in January 2024, introduced tougher standards on capital, governance and compliance for fintechs and payment firms.</li><li>Innovation bridge: The BCSF-UEMOA, BCEAO’s fintech unit, tracks 130+ startups and mediates between innovators and regulators — rare coordination on the continent.</li><li>Currency credibility: The CFA franc’s peg to the euro has kept inflation among Africa’s lowest and built investor confidence in the zone’s stable members.</li></ul>Dose of reality:<ul><li>Uneven integration: Stronger economies like Côte d’Ivoire and Senegal lead, while landlocked states lag.</li><li>Security strains: Coups in Mali, Niger and Burkina Faso threaten cohesion and confidence.</li><li>French ties linger: The euro peg ensures stability but fuels political resentment over perceived loss of monetary sovereignty.</li></ul>Quick take:&nbsp;According to fintechs I spoke to last week in Togo, like&nbsp;<a href="https://gozem.co/en/?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-november-7-2025">Gozem</a> and&nbsp;<a href="https://solimi.co/?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-november-7-2025">Solimi</a>, UEMOA is an incredibly functional monetary union: one currency, one central bank and one fintech framework.&nbsp;Sources:&nbsp;<a href="https://www.imf.org/en/Publications/CR/Issues/2025/05/19/West-African-Economic-and-Monetary-Union-Staff-Report-on-Common-Policies-for-Member-567030?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-november-7-2025">IMF 2025 West Africa Staff Report</a>,&nbsp;<a href="https://www.uemoa.int/en/presentation-of-uemoa?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-november-7-2025">UEMOA</a>,&nbsp;BCEAO (<a href="https://www.bceao.int/sites/default/files/inline-files/Instruction-No001-01-2024_relative_aux_services_de_paiement_dans_l-UMOA.pdf?utm_source=chatgpt.com">Instruction No. 001-01-2024 PDF</a>, <a href="https://www.bceao.int/fr/communique-presse/lancement-de-la-plateforme-interoperable-du-systeme-de-paiement-instantane-de?utm_source=chatgpt.com">PI-SPI Launch Press Release</a>, <a href="https://www.bceao.int/fr/content/fintech-et-digitalisation-des-services-financiers-dans-luemoa?utm_source=chatgpt.com">Fintech and Digitalization Overview</a>).<figure class="image"><img src="/uploads/The_Franc_Zone_Advantage_2_e4a1e19ac8.png"></figure>Source: <a href="https://www.imf.org/en/Publications/CR/Issues/2025/05/19/West-African-Economic-and-Monetary-Union-Staff-Report-on-Common-Policies-for-Member-567030?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-november-7-2025">IMF</a>

West Africa’s Franc Zone is quietly building a digital financial powerhouse — one currency, one rulebook and one central bank.

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The Franc Zone Advantage

<h1>The $2T Crypto Current</h1>Republished from&nbsp;<a href="https://theafricabrief.beehiiv.com/p/africa-in-brief-october-24-2025">Africa in Brief - October 24, 2025</a><figure class="image"><img src="/uploads/Screenshot_2025_10_28_at_13_07_44_64f6a3c280.png"></figure>Source:&nbsp;<a href="https://www.imf.org/en/Publications/WP/Issues/2025/07/11/Decrypting-Crypto-How-to-Estimate-International-Stablecoin-Flows-568260?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">IMF Working Paper</a>The IMF’s&nbsp;<a href="https://www.imf.org/en/Publications/WP/Issues/2025/07/11/Decrypting-Crypto-How-to-Estimate-International-Stablecoin-Flows-568260?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">Decrypting Crypto (July 2025)</a>&nbsp;is supposedly the first study to use AI to track where&nbsp;$2T in stablecoins actually flowed in 2024 and Africa is relevant.What the study found<ul><li>As expected, stablecoin activity was highest in North America ($633B) and Asia-Pacific ($519B) but&nbsp;Africa and the Middle East ranked second globally relative to GDP (6.7%), showing how quickly the region is embracing digital dollars.</li><li>In Africa, only&nbsp;14% of flows stayed within the region, suggesting that most activity supports cross-border remittances, trade and dollar access.</li><li>Users leaned heavily on Binance (74%) over Coinbase (26%) and favored Tether’s USDT (57%) over USDC (43%), reflecting Africa’s tilt toward emerging market exchanges and tokens.</li><li>Average transaction size: $13,108; median: $100—evidence that small-value transfers drive much of the activity.</li><li>Globally, $54B in net outflows from North America show that stablecoins are now meeting global dollar demand, especially when local currencies weaken.</li><li>The March 2023 U.S. banking crisis sharply disrupted flows from North America, exposing how closely crypto rails depend on traditional banks.</li></ul>Why it matters for Africa:&nbsp;The data confirms what’s visible on the ground. Africans are using stablecoins as a digital dollar lifeline—for remittances, trade and inflation protection but it also signals new dependencies. As access to exchanges and off-ramps shapes who can move money, Africa’s financial future may hinge as much on crypto connectivity as on banking reform.Here’s a quick rundown of African countries that have begun regulating virtual assets.Enacted frameworks<ul><li>South Africa: Crypto is a regulated “financial product.” The Financial Sector Conduct Authority has issued dozens of licenses and keeps approving new ones, including recent news on exchange/derivatives activity (<a href="https://www.reuters.com/world/africa/south-africas-financial-conduct-regulator-approves-59-crypto-licences-2024-03-13?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">Reuters</a>,&nbsp;<a href="https://www.moneyweb.co.za/moneyweb-crypto/valr-becomes-sas-first-licensed-crypto-derivatives-issuer/?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">MoneyWeb</a>,&nbsp;<a href="https://www.itweb.co.za/article/financial-regulator-expands-crypto-investment-choices/wbrpOqg2OKVMDLZn?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">ITWeb</a>).</li><li>Mauritius: Full regime for virtual assets and token issuers under the Virtual Asset and Initial Token Offering Services Act, with licensing by the Financial Services Commission (covers stablecoin issuers too) (<a href="https://charltonsquantum.com/mauritius-virtual-assets-regulation/?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">Charlton's Quantum</a>,&nbsp;<a href="https://www.zitadelleag.com/news/initial-token-offering-licensing-in-mauritius-stablecoin-digital-yuan-lssuers?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">Zitadelleag</a>).</li><li>Botswana: Virtual Assets Act, 2022, in force; licensing of Virtual Asset Service Providers (VASP) under the Non-Bank Financial Institutions Regulatory Authority&nbsp;(<a href="https://botswanalaws.com/consolidated-statutes/principle-legislation/virtual-assets-act?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">Botswana Laws</a>,&nbsp;<a href="https://www.webberwentzel.com/News/Pages/virtual-assets-regulation-in-southern-africa-a-regional-comparative-analysis-article.aspx?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">Webber Wentzel</a>).</li><li>Namibia: Virtual Assets Act, 2023 in force with detailed rules (custody, capital, disclosure, cybersecurity). Bank of Namibia is the regulator (<a href="https://www.afriwise.com/blog/namibia-the-virtual-assets-act-10-of-2023---what-should-you-know?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">Afriwise</a>,&nbsp;<a href="https://bowmanslaw.com/insights/the-virtual-assets-act-10-of-2023-what-should-you-know?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">Bowmans Law</a>).</li><li>Nigeria: Securities and Exchange Commission rules exist and banks may serve licensed crypto firms after the central bank revised its 2023 circular. Enforcement has tightened around unregistered platforms (<a href="https://www.elibrary.imf.org/view/journals/002/2025/158/article-A002-en.xml?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">IMF</a>,&nbsp;<a href="https://www.reuters.com/technology/nigeria-plans-additional-rules-combat-illegal-trading-digital-assets-2024-05-07?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">Reuters</a>,&nbsp;<a href="https://www.ft.com/content/333309a5-196c-494a-8d68-506f6a19ba81?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">FT</a>).</li></ul>New or near-final laws<ul><li>Kenya: The parliament passed the Virtual Asset Service Providers Bill in October 2025. It creates licensing for exchanges under the Capital Markets Authority (CMA) and assigns stablecoin licensing to the Central Bank (awaiting presidential assent) (<a href="https://www.reuters.com/business/media-telecom/kenya-parliament-passes-crypto-asset-law-boost-investments-2025-10-13/?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">Reuters</a>,&nbsp;<a href="https://www.parliament.go.ke/sites/default/files/2025-04/THE%20VIRTUAL%20ASSET%20SERVICE%20PROVIDERS%20BILL%2C%202025%20%282%29.pdf?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">Parliament of Kenya</a>).</li><li>Rwanda: In March 2025, the National Bank of Rwanda and the CMA introduced a draft framework for virtual assets and VASPs (<a href="https://www.newtimes.co.rw/article/24694/news/economy/rwanda-moves-to-regulate-virtual-assets-with-new-draft-law?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">The New Times</a>).</li><li>Morocco: A nationwide ban remains but Bank Al-Maghrib has prepared a draft crypto law now moving through adoption; Central Bank Digital Currency work is also underway&nbsp;(<a href="https://www.reuters.com/technology/morocco-preparing-law-allow-cryptocurrencies-central-bank-chief-says-2024-11-26/?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">Reuters</a>).</li></ul>Exploring or signaling next steps<ul><li>Ethiopia:&nbsp;Crypto remains illegal for payments but the National Bank of Ethiopia and Financial Intelligence Service are developing a framework to regulate virtual assets and VASPs as part of new anti-money laundering reforms (<a href="https://www.ainvest.com/news/ethiopia-finalize-crypto-framework-2025-bans-payments-2506/?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">AI Invest</a>).</li><li>Ghana:&nbsp;The Bank of Ghana required VASPs operating in the country to register by August 15, 2025, ahead of the planned VASP Act expected later this year (<a href="https://www.bog.gov.gh/wp-content/uploads/2025/07/NOTICE-NO.-BG-GOV-SEC-2025-18-NOTICE-ON-MANDATORY-REGISTRATION-OF-VIRTUAL-ASSET-SERVICE-PROVIDERS-OPERATING-IN-GHANA.pdf?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">Bank of Ghana</a>).</li><li>Zambia: Authorities have flagged a forthcoming framework; public materials note draft work on crypto and stablecoins for stakeholder review in 2025 (<a href="https://www.boz.zm/Zambanker_June_2024_Edition.pdf?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">ZamBanker</a>).</li></ul>Still prohibitive<ul><li>Egypt: Trading and promotion require a Central Bank of Egypt license, which has not been issued; effectively, a prohibition remains in place (<a href="https://iclg.com/practice-areas/fintech-laws-and-regulations/egypt?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">ICLG Business Reports</a>).</li></ul>And for those still asking, “how do the flows actually work?”:&nbsp;<figure class="image"><img src="/uploads/Screenshot_2025_10_28_at_12_52_27_95000be7c3.png" alt="Global Crypto Flow Map: How Digital Currencies Move Across Borders"></figure>Source:&nbsp;<a href="https://www.imf.org/en/Publications/WP/Issues/2025/07/11/Decrypting-Crypto-How-to-Estimate-International-Stablecoin-Flows-568260?utm_source=theafricabrief.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=africa-in-brief-october-24-2025">IMF Working Paper</a> &nbsp;

IMF data shows $2T in global stablecoin flows, with Africa among the fastest-growing regions, using crypto for remittances, trade and dollar access as more nations regulate digital assets.

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The $2T Crypto Current

<h1>Renew Capital's 2025 Annual Report</h1>The past year was one of progress and reflection on our ongoing work to back ideas that drive business growth, employment and development.&nbsp;Learn more in our&nbsp;<a href="https://latest-api.renewcapital.com/uploads/Renew_Capital_Annual_Report_2025_b3bcb1bfd4.pdf">2025 Annual Report</a>, featuring highlights across the continent.&nbsp;<figure class="image"><img src="/uploads/Updated_4ad99ea323.png"></figure>

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Renew Capital's 2025 Annual Report

<h1>Press Release: Hypeo Ai Supercharges Influencer Campaigns</h1>Renew Capital invests in Hypeo Ai to streamline how brands and creators collaborate, using AI avatars and smart campaign tools to transform digital influence in the region.<a href="https://latest-api.renewcapital.com/uploads/FINAL_Hypeo_Ai_Press_Release_4f7d84f252.pdf">Download Full Press Release</a>CASABLANCA, Morocco, August 14, 2025 — Hypeo Ai is helping brands across Africa and the Middle East run faster, more efficient influencer campaigns by eliminating manual tracking and fragmented tools.<figure class="image"><img src="/uploads/Hypeo_Ai_c397a7229f.avif"></figure>The Morocco-based company connects brands with both human and AI-powered creators in under 15 minutes. It delivers a seamless end-to-end campaign workflow with smart matching, pricing insights and real-time performance tracking.At its core, Hypeo Ai recognizes that influencer marketing in the region is booming but bogged down by inefficiency. With most campaigns still managed manually through agencies or spreadsheets, Hypeo Ai is building the smarter, faster way forward.In 2024, influencer marketing helped make social media the world’s largest advertising channel, surpassing paid searches and driving global ad spend to $247B, projected to reach $267B by the end of 2025.“Our region has no shortage of talent. What’s been missing is smart infrastructure,” said&nbsp;<a href="https://www.linkedin.com/in/meriam-bessa-a33b4028/">Meriam Bessa</a>, co-founder and CEO of Hypeo Ai. “We’re building tools that allow brands and creators to meet faster, match better and work smarter with the power of AI.” Meriam co-founded the company alongside&nbsp;<a href="https://www.linkedin.com/in/oussama/?utm_source=share&amp;utm_campaign=share_via&amp;utm_content=profile&amp;utm_medium=ios_app">Oussama Sekkat</a> and&nbsp;<a href="https://www.linkedin.com/in/salah-eddine-mimouni/?utm_source=share&amp;utm_campaign=share_via&amp;utm_content=profile&amp;utm_medium=ios_app">Salah Eddine Mimouni</a>.Hypeo Ai also builds AI Meta Humans: virtual influencers that speak to local audiences and support global campaigns. Its most well-known digital persona, Kenza Layli, has built a following of more than 200,000 and was recently nominated as a finalist for Miss AI 2024, a global competition celebrating AI-powered creators.“Hypeo Ai is tackling a clear gap in how influencer marketing works in this region,” said&nbsp;<a href="https://www.linkedin.com/in/nihal-grii-phd-9278a8ab/">Nihal Grii</a>, Investment Ecosystem Development Manager at Renew Capital. “We see potential in their approach to simplifying the process for both brands and creators, and we’re glad to support their next stage of growth.”With support from Renew Capital, Hypeo Ai will expand its platform features, onboard more creators and brands and build its B2C product, an AI-powered coaching companion aimed at wellness and lifestyle users.Hypeo Ai BioHypeo Ai connects brands with human and virtual creators in minutes. Its AI-powered platform streamlines influencer campaigns with smart matching, pricing insights and real-time tracking, replacing manual workflows with a seamless and scalable solution.&nbsp;Visit&nbsp;<a href="https://www.hypeo.ai/en">www.hypeo.ai</a> to learn more.

hypeo.ai

Hypeo Ai connects brands with human and virtual creators in minutes. Its AI-powered platform streamlines influencer campaigns with smart matching, pricing insights and real-time tracking, replacing manual workflows with a seamless, scalable solution.

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Hypeo.avif

Renew Capital, an early stage venture capital firm in Africa invests in Hypeo Ai.