‘Ghana is open for business—if you have guts, insight, and a long-term mindset’ – Amma Gyampo
In April 2025, Ghana became the first African country to legally mandate a minimum allocation of private capital from local pension funds to domestic private equity and venture capital firms. While other African countries have caps, Ghana’s law makes it compulsory for pension funds to invest at least 5% ($337 million) into Ghanaian PE and VC firms by 2026. When I first wrote about it, I thought it was great for Ghana’s tech industry, especially as Ghanaian startups raised only $102 million across 17 deals in 2024, amid a 7% decline in overall African venture funding from the previous year. By mandating capital allocation to the local private equity and venture ecosystem, the policy can significantly boost funding for Ghanaian startups. The law also reduces Ghana’s dependence on foreign capital, which might come with priorities misaligned with the realities and needs of the local startup ecosystem. But while the law is firm on how much should be invested, it’s not clear on how it should be done. For this week’s Ask an Investor, I spoke with Amma Gyampo, the executive director of the Ghana Venture Capital and Private Equity Association (GVCA), about how local capital should be invested in Ghana. Our conversation covers how local growth-stage businesses have been delivering real returns, what growing businesses and institutional investors do not understand about the venture capital asset class, and how Ghana’s portfolio of deals in recent years is rewriting the narrative. Many people claim that VC and PE have not delivered at scale for Africa. Too few exits and mismatched expectations. Do you think that criticism holds water in the Ghanaian context? I think that criticism misses a crucial point about the role of venture capital and private equity in Africa, especially in Ghana. Unlike grants or concessional financing, VC and PE require us to bet on ourselves—on our entrepreneurs, our markets, and our long-term potential. This means accepting that building sustainable businesses here is a longer journey with unique challenges. For example, exits are indeed less frequent compared to mature markets like the US or Europe. African markets are still emerging, infrastructure and regulatory frameworks are evolving, and scaling businesses takes more time. So while the volume and speed of exits won’t match places like Silicon Valley or London just yet, that’s a natural stage in ecosystem development, not a failure. Second, the “foreign playbook” critique is valid to some extent. Models imported from mature markets don’t always fit Africa’s unique challenges and opportunities. But rather than reject these frameworks outright, many African investors and fund managers are adapting and innovating to create locally relevant approaches that reflect our realities. Third, on mismatched expectations, there’s often a gap between what investors expect and the pace and nature of growth in African startups. Some expect quick returns or IPO-style exits, which are rare here. Instead, many exits come through strategic acquisitions, secondary sales, or longer-term value creation—all of which require patience and a deep understanding of market dynamics. Despite these challenges, venture capital and private equity are already driving significant impact in Ghana. Beyond financial returns, they foster job creation, formalise businesses, enable technology adoption, and encourage governance and operational discipline. These outcomes are essential to building sustainable companies that can scale regionally and globally. So, while it’s fair to critique areas for improvement, dismissing VC and PE as failing Africa overlooks the steady progress and evolving maturity of our ecosystem. The real work now is aligning expectations realistically with emerging market dynamics and continuing to build the infrastructure and know-how that will enable more consistent exits and lasting impact. 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Read MoreInside MTN Nigeria’s path to ₦5 trillion revenue
This is Follow the Money, our weekly series that unpacks the earnings, business and scaling strategies of African fintechs and financial institutions. A new edition drops every Monday. MTN Nigeria, the country’s largest telecom provider, is on track to record over ₦5 trillion ($3.26 billion) in revenue after posting its highest-ever half-year revenue of ₦2.38 trillion ($1.55 billion at ₦1,533.74/$) in H1 2025. This positions MTN to surpass the ₦3.36 trillion it earned in 2024, as it unlocks a new revenue benchmark, supported by its 52.33% share of the country’s 172.48 million mobile subscriptions. If MTN reaches its N5 trillion revenue target, it would be earning nearly as much as the entire telecoms sector, including internet service providers, infrastructure firms, and other telcos, made in 2023 (₦5.30 trillion), according to the Nigerian Communications Commission (NCC). The company’s improved performance follows years of economic headwinds and currency devaluation that slashed telcos’ average revenue per user (ARPU) in the country from $3.08 in 2023 to $1.89 in 2024. “Revenue in naira has stopped growing as the number of subscribers has increased. Falls in ARPUs indicate pressure on prices and reductions in average usage,” GSMA, the global body for mobile operators, said in 2024. However, macroeconomic conditions have improved in 2025, aided by a more stable naira and regulatory support for market-reflective pricing. MTN says this will support continued operational and financial momentum in H2, as demand picks up and the full effect of recent price adjustments and network investments kicks in. “Given the strong momentum in our business performance, we have revised up our FY 25 guidance and now target service revenue growth of ‘at least low-50%’,” said Karl Toriola, MTN Nigeria CEO, in the company’s H12025 earnings report. The H1 2025 performance marks a 54.5% increase from the ₦1.54 trillion ($1 billion) recorded in H1 2024, and a 200.5% surge from ₦791.26 billion in H1 2021. MTN’s income growth has been largely driven by a 50% hike in telecom service prices and a surge in data adoption. “During the period, we completed the phased implementation of the new price adjustments across voice and data bundles, largely benefiting Q2,” Toriola noted. The tariff boost After a decade of lobbying for cost-reflective pricing, punctuated by losses and investment slowdowns, the NCC approved tariff hikes on January 20, 2025. This raised the floor price of calls from ₦6.40 to ₦9.60 per minute, SMS from ₦4 to ₦6, and 1GB of data from ₦287.50 to ₦431.25. When this first kicked in, MTN projected a ‘mid-40%’ boost in service revenue for 2025. “Our tariff adjustments will take effect through the course of the coming year and will anticipate revenue growth in the range of mid-40s percent, with a similar range expected for EBITDA margins to also mid-40 percent,” Toriola said on an investors’ call in early 2025. A 40% growth would have translated to an additional ₦1.34 trillion in revenue, with the telco’s 2024 service revenue totalling ₦3.36 trillion. This would have brought total revenue for 2025 to ₦4.71 trillion. However, the revised forecast of 50% growth translates to ₦1.68 trillion, bumping total revenue to ₦5.04 trillion. Beyond recording a boost in revenue numbers, MTN’s stock prices have rallied since the beginning of 2025. An investment of ₦1 million in MTN at the end of 2024 would have grown to ₦2.4 million by August 1, 2025, driven by a 140% rise in share price from ₦200 to ₦480. Its market capitalisation crossed the ₦10 trillion mark from ₦3.29 trillion at the end of 2024, making it the second Nigerian company to do so after Dangote Cement in January 2024. “The tariff review contributed, and MTN itself has been very strategic in stabilising its earnings,” said Abiodun Keripe, the managing director at Afrinvest Consulting. More data, more money With 51 million active data users, MTN’s record revenue is driven by surging internet demand. Data revenue hit ₦1.23 trillion ($802.32 million) in H1 2025, up from ₦727.33 billion ($474.22 million) in H1 2024. Data traffic grew by 41.2%, while average usage per subscriber increased 26.3% year-on-year to 13.2 gigabytes (GB). “We added approximately 3.7 million smartphones to the network in H1, raising smartphone penetration to 62.6%,” Toriola stated, reflecting a broader trend of increasing smartphone penetration in the country. MTN’s data usage is not isolated, as data from the NCC shows that national internet usage hit a record high of 1,043,431.98 terabytes (TB) in May 2025, up from 771,993.56 TB in May 2024, despite the spike in data costs. The growth is largely driven by video streaming and social media usage. GSMA, the global body for telcos, reports that 85 percent of Nigerians using mobile internet use it for video calls, 75 percent for watching free online videos, and 54 percent for listening to free music. YouTube reported a more than 50 percent increase in watch time in Nigeria between May 2023 and May 2024, according to official figures. MTN, which already carries more internet traffic than its peers, expects to be the biggest beneficiary. While it generated ₦1.23 trillion from data in H1, Airtel Nigeria, its closest competitor, earned ₦464.72 billion ($303 million). The telco is also expanding its data offerings for enterprise customers who use most of it. It recorded a 39.7% growth in enterprise revenue, supported by growth in fixed connectivity, data services, and converged solutions. According to Toriola, data will drive revenue growth for the next 10 years. “We are positioning ourselves to capture the opportunities of growth for the next 10 years,” he said. “We are just getting started. Nigeria has one of the largest youth populations in the world — a population that is digital-native, mobile-first, and increasingly online. Broadband penetration still has room to grow. Smartphone penetration is also increasing,” Yahaya Ibrahim, chief technical officer at MTN Nigeria, added. Fintech bet begins to pay off While fintech operators like OPay and PalmPay led Nigeria’s ₦79.55 trillion mobile money market in 2024, MTN’s fintech unit is showing traction. It generated ₦83.19
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Digital Nomads: How 5 African countries tapped into the digital nomads boom of 2020
In 2025, it’s hard to recall how people worked before the pandemic. At TechCabal, we had an office chat about it: millennials shared the lore of setting out for the office at dawn and returning home late like clockwork. The Gen Zs among the bunch (myself included), the newest entrants to the corporate workforce, struggled to imagine that kind of routine. Before remote work became a lifestyle, it was a privilege. Only a handful of tech workers, freelancers, or travelling consultants (especially in big consulting firms) had the liberty of working beyond office buildings. But when the pandemic struck in 2020, the workplace was forced to reinvent itself. For the first time, millions of employees discovered that, with a laptop and a good internet connection, they could work from anywhere. This unintentional global experiment gave rise to a new breed of professionals: digital nomads—more a lifestyle than a job title—which has gained popularity over the years. In 2018, there were 4.8 million self-described digital nomads in the world; by mid-2020, that number more than doubled to 10.9 million. Most of them were creative professionals, IT and tech workers, and digital entrepreneurs. For many of these career professionals, access to a new country was through a tourist visa. These were great for short-term stays and sightseeing. Governments couldn’t keep the foreign money from these visitors circulating in the economy longer. In 2020, as digital nomadism grew in popularity, governments began to respond with specific visa categories that allowed medium to longer stays, came bundled with a work permit, and even exempted the holder from paying income tax in their host country. While digital nomads earn money elsewhere, they spend locally on small businesses (like co-working spaces), housing, food, internet, transportation, and entertainment. This keeps foreigners’ cash circulating in local economies, and governments didn’t have to bother with these foreigners competing for jobs with locals. Today, a South African digital nomad contributes $2,700 monthly to the country’s economy, per African Business. Barbados and Estonia were two of the world’s first countries to introduce the digital nomad visa in June and August 2020 respectively. These early adopters saw digital nomad visas as economic levers, and soon, other nations took notice. Today, over 60 countries across five continents offer some version of a digital nomad visa. Five of them are in Africa. Let’s take a closer look at how Africa tapped into this global shift. Get the best African tech newsletters in your inbox Country Afghanistan Albania Algeria American Samoa Andorra Angola Anguilla Antarctica Antigua and Barbuda Argentina Armenia Aruba Australia Austria Azerbaijan Bahamas Bahrain Bangladesh Barbados Belarus Belgium Belize Benin Bermuda Bhutan Bolivia Bosnia and Herzegovina Botswana Bouvet Island Brazil British Antarctic Territory British Indian Ocean Territory British Virgin Islands Brunei Bulgaria Burkina Faso Burundi Cambodia Cameroon Canada Canton and Enderbury Islands Cape Verde Cayman Islands Central African Republic Chad Chile China Christmas Island Cocos [Keeling] Islands Colombia Comoros Congo – Brazzaville Congo – Kinshasa Cook Islands Costa Rica Croatia Cuba Cyprus Czech Republic Côte d’Ivoire Denmark Djibouti Dominica Dominican Republic Dronning Maud Land East Germany Ecuador Egypt El Salvador Equatorial Guinea Eritrea Estonia Ethiopia Falkland Islands Faroe Islands Fiji Finland France French Guiana French Polynesia French Southern Territories French Southern and Antarctic Territories Gabon Gambia Georgia Germany Ghana Gibraltar Greece Greenland Grenada Guadeloupe Guam Guatemala Guernsey Guinea Guinea-Bissau Guyana Haiti Heard Island and McDonald Islands Honduras Hong Kong SAR China Hungary Iceland India Indonesia Iran Iraq Ireland Isle of Man Israel Italy Jamaica Japan Jersey Johnston Island Jordan Kazakhstan Kenya Kiribati Kuwait Kyrgyzstan Laos Latvia Lebanon Lesotho Liberia Libya Liechtenstein Lithuania Luxembourg Macau SAR China Macedonia Madagascar Malawi Malaysia Maldives Mali Malta Marshall Islands Martinique Mauritania Mauritius Mayotte Metropolitan France Mexico Micronesia Midway Islands Moldova Monaco Mongolia Montenegro Montserrat Morocco Mozambique Myanmar [Burma] Namibia Nauru Nepal Netherlands Netherlands Antilles Neutral Zone New Caledonia New Zealand Nicaragua Niger Nigeria Niue Norfolk Island North Korea North Vietnam Northern Mariana Islands Norway Oman Pacific Islands Trust Territory Pakistan Palau Palestinian Territories Panama Panama Canal Zone Papua New Guinea Paraguay People’s Democratic Republic of Yemen Peru Philippines Pitcairn Islands Poland Portugal Puerto Rico Qatar Romania Russia Rwanda Réunion Saint Barthélemy Saint Helena Saint Kitts and Nevis Saint Lucia Saint Martin Saint Pierre and Miquelon Saint Vincent and the Grenadines Samoa San Marino Saudi Arabia Senegal Serbia Serbia and Montenegro Seychelles Sierra Leone Singapore Slovakia Slovenia Solomon Islands Somalia South Africa South Georgia and the South Sandwich Islands South Korea Spain Sri Lanka Sudan Suriname Svalbard and Jan Mayen Swaziland Sweden Switzerland Syria São Tomé and Príncipe Taiwan Tajikistan Tanzania Thailand Timor-Leste Togo Tokelau Tonga Trinidad and Tobago Tunisia Turkey Turkmenistan Turks and Caicos Islands Tuvalu U.S. Minor Outlying Islands U.S. Miscellaneous Pacific Islands U.S. Virgin Islands Uganda Ukraine Union of Soviet Socialist Republics United Arab Emirates United Kingdom United States Unknown or Invalid Region Uruguay Uzbekistan Vanuatu Vatican City Venezuela Vietnam Wake Island Wallis and Futuna Western Sahara Yemen Zambia Zimbabwe Åland Islands ?> Gender Male Female Others TC Daily Events TC Scoop <!– Next Wave –> <!– Entering Tech –> Subscribe How Africa tapped into the trend Mauritius was Africa’s first country to introduce a version of the digital nomad visa, called the Premium Visa, in October 2020. It promised remote workers a tropical work-life balance with a year-long stay and no local income tax. Cape Verde joined a few months later, in December 2020, rolling out a Remote Working Programme that targeted European and American expatriates, hoping to lure them with low living costs and visa flexibility. Seychelles followed in 2021 with its Workation Retreat Programme, offering similar perks under the same banner of “work in paradise.” Namibia came next in October 2022, framing its visa as a gateway to the sun’s warmth, silence, space, and safaris. Then, in May 2024, South Africa entered the fray—later than most—launching its “Remote Work Visa” with a higher income threshold and a more formal tax framework, but with the same intent: to attract wealthy, mobile professionals
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“I didn’t know if Tix had a future. But I knew I wanted to survive”: Day 1 to 1000 of Tix
If you’ve ever bought a ticket to an event in Nigeria, chances are that the ticket was purchased on Tix, a 6-year-old company that has grown to become the de facto platform for ticketing and event management in Nigeria and beyond. But it didn’t all start smooth. Tix was born out of frustration and was nearly snuffed out by COVID before it found its footing. “We just wanted to survive,” says Folayemi Agusto, the company’s co-founder and CEO. “Everything after that was a choice.” In today’s edition of Day 1–1000, Agusto tells TechCabal how a side project evolved into a continent-spanning ticketing platform, how execution—not vision—became her moat, and why staying alive through a pandemic was the ultimate founder test. Day 1 – Solving my own problem I didn’t start Tix because I had some grand vision to revolutionise event tech in Africa. We started Tix because we needed it. Simple. Before Tix, I co-founded Eat.Drink.Lagos, which began as a humble food blog. Back then, my co-founder and I just wanted to document our eating adventures. But then strangers on the internet started asking to eat with us. Weird? Yes. But also an opportunity. That food blog turned into supper clubs, which evolved into a full-blown food festival. And that’s when the pain began. Selling tickets was hell. There was no good way to process payments locally. We’d use a Fidelity bank account. We’ll tell people “pay in 15 minutes or lose your spot.” We’ll monitor manually. Cancel unpaid reservations. Do customer support over Gmail. Eventbrite didn’t support Naira. Shopify helped, but paying in dollars? Unsustainable. We got dragged online when we couldn’t handle crowds. I still remember 2018—15,000 people showed up. We collected no data. People couldn’t pay at the gate. POSs failed. It was chaos. So we said: let’s fix this. That’s how Tix was born. Get the best African tech newsletters in your inbox Country Afghanistan Albania Algeria American Samoa Andorra Angola Anguilla Antarctica Antigua and Barbuda Argentina Armenia Aruba Australia Austria Azerbaijan Bahamas Bahrain Bangladesh Barbados Belarus Belgium Belize Benin Bermuda Bhutan Bolivia Bosnia and Herzegovina Botswana Bouvet Island Brazil British Antarctic Territory British Indian Ocean Territory British Virgin Islands Brunei Bulgaria Burkina Faso Burundi Cambodia Cameroon Canada Canton and Enderbury Islands Cape Verde Cayman Islands Central African Republic Chad Chile China Christmas Island Cocos [Keeling] Islands Colombia Comoros Congo – Brazzaville Congo – Kinshasa Cook Islands Costa Rica Croatia Cuba Cyprus Czech Republic Côte d’Ivoire Denmark Djibouti Dominica Dominican Republic Dronning Maud Land East Germany Ecuador Egypt El Salvador Equatorial Guinea Eritrea Estonia Ethiopia Falkland Islands Faroe Islands Fiji Finland France French Guiana French Polynesia French Southern Territories French Southern and Antarctic Territories Gabon Gambia Georgia Germany Ghana Gibraltar Greece Greenland Grenada Guadeloupe Guam Guatemala Guernsey Guinea Guinea-Bissau Guyana Haiti Heard Island and McDonald Islands Honduras Hong Kong SAR China Hungary Iceland India Indonesia Iran Iraq Ireland Isle of Man Israel Italy Jamaica Japan Jersey Johnston Island Jordan Kazakhstan Kenya Kiribati Kuwait Kyrgyzstan Laos Latvia Lebanon Lesotho Liberia Libya Liechtenstein Lithuania Luxembourg Macau SAR China Macedonia Madagascar Malawi Malaysia Maldives Mali Malta Marshall Islands Martinique Mauritania Mauritius Mayotte Metropolitan France Mexico Micronesia Midway Islands Moldova Monaco Mongolia Montenegro Montserrat Morocco Mozambique Myanmar [Burma] Namibia Nauru Nepal Netherlands Netherlands Antilles Neutral Zone New Caledonia New Zealand Nicaragua Niger Nigeria Niue Norfolk Island North Korea North Vietnam Northern Mariana Islands Norway Oman Pacific Islands Trust Territory Pakistan Palau Palestinian Territories Panama Panama Canal Zone Papua New Guinea Paraguay People’s Democratic Republic of Yemen Peru Philippines Pitcairn Islands Poland Portugal Puerto Rico Qatar Romania Russia Rwanda Réunion Saint Barthélemy Saint Helena Saint Kitts and Nevis Saint Lucia Saint Martin Saint Pierre and Miquelon Saint Vincent and the Grenadines Samoa San Marino Saudi Arabia Senegal Serbia Serbia and Montenegro Seychelles Sierra Leone Singapore Slovakia Slovenia Solomon Islands Somalia South Africa South Georgia and the South Sandwich Islands South Korea Spain Sri Lanka Sudan Suriname Svalbard and Jan Mayen Swaziland Sweden Switzerland Syria São Tomé and Príncipe Taiwan Tajikistan Tanzania Thailand Timor-Leste Togo Tokelau Tonga Trinidad and Tobago Tunisia Turkey Turkmenistan Turks and Caicos Islands Tuvalu U.S. Minor Outlying Islands U.S. Miscellaneous Pacific Islands U.S. Virgin Islands Uganda Ukraine Union of Soviet Socialist Republics United Arab Emirates United Kingdom United States Unknown or Invalid Region Uruguay Uzbekistan Vanuatu Vatican City Venezuela Vietnam Wake Island Wallis and Futuna Western Sahara Yemen Zambia Zimbabwe Åland Islands ?> Gender Male Female Others TC Daily Events TC Scoop <!– Next Wave –> <!– Entering Tech –> Subscribe Day 50 – The group chat where It all began Tix started in a Twitter DM between myself, Nosa (Eat.Drink co-founder), Timmy of BuyCoins, and Ope of Paystack. If I’m being honest, I was the least committed. I had a good job at Andela and was only half-paying attention. But when we had something usable—a prototype where someone could actually buy a ticket—I got serious. We tested it at Eat.Drink.Lagos Festival in December 2019. You could land on a page, click a picture, buy a ticket, and receive a QR code. It was basic. Sometimes people got debited but no ticket. Still, it was progress. Guests liked how easy it was. We even did NFC wristbands so you could tap to pay. On March 1, 2020, we hired our first mobile dev (part-time) and a full-stack engineer. And then 15 days later, on March 15, 2020, COVID hit. We had just leased office space. We were building an event company for an era where nobody could gather. I didn’t know if Tix had a future. But I knew I wanted to survive. Survival became the goal. We slashed salaries by 50%. We got scrappy. During COVID, I learned Figma. I built discount code UIs. I learned SQL and built dashboards in Retool. We did Instagram Lives with creators, partnered with chefs, and integrated Zoom into our platform so you could host virtual events without a Zoom account. Total revenue from paid events during COVID? Between ₦100,000
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Africa’s procurement problem isn’t tech, but intelligence
Africa’s startup ecosystem has successfully scaled ventures in digital payments, lending, and logistics, drawing substantial global attention and billions in venture capital. Yet one vital area, procurement, is not just the technology behind it, but the intelligence needed to drive strategic decision-making. Because of this blind spot, firms are inadvertently limiting their next level of enterprise growth. Spreadsheets, price lists, and vendors based on alphanumeric order characterise how most mid-level African firms source important items. The further one goes into energy, construction, or manufacturing, the more apparent this is. Procurement, the one area that is critical to fostering the growth of an enterprise, is something largely unaddressed. This is also true, and we have built fintech, advanced logistics, and even integrated lending. A system stuck in the past Typically, emerging markets tell a single story: procurement divisions lag dangerously behind the pace of risk, the complexity of the global supply chain, and the rising international standards. What do all these lead to? Businesses are responding too late after third-quarter damages have been done due to spikes in diesel prices. Unsightly scandal eruptions as ESG-defying Tier-2 suppliers blithely misuse ESG policies without anyone noticing. Lack of visibility on alternatives when sourcing input from multiple countries suddenly makes their inputs inaccessible. All these examples paint far more than ‘mild operational efficiency’. This reveals a firm’s edge in escaping competitors’ clutches. Price, risk, and ESG: The strategic procurement trinity By 2025, we expect procurement to have earned the right to be referred to as a ‘strategic nerve centre’ for organisations globally instead of a cost centre. However, much of Africa continues to view procurement, simply, as ‘admin work.’ These are the problems procurement teams in Africa today need to solve. Pricing is volatile for both local and global supply nodes. Supply chain ESG violations. Climate disruption, geopolitical risks, and regulatory shocks. Accomplishing this doesn’t simply require ERP systems; it requires having machine learning, real-time data, and tier-level visibility. Why intelligence > Digitisation The digitisation of processes allows for tracking purchase orders, while intelligence enables forecasting potential disruptions. Digitisation also keeps track of price fluctuations, and intelligence brings attention to patterns in advance, along with modeling the risk. During the 2022 energy crisis, many Nigerian businesses, particularly in manufacturing and logistics, were caught off guard by a sudden diesel price spike that pushed costs above ₦800 per liter in some regions. The Lagos Chamber of Commerce and Industry (LCCI), for instance, warned that SMEs were either shutting down or cutting production due to the high cost of diesel. These firms relied heavily on diesel for operations but had no procurement forecasting systems or market intelligence tools to anticipate the price shocks. Procurement teams, using only historic price lists and static vendor relationships, could neither respond quickly nor switch to alternatives like hybrid energy or volume-based contracting. The result? Massive operational disruption, increased costs, and layoffs. Had these firms deployed AI-powered procurement intelligence platforms, they could have spotted early market signals hinting at the diesel surge, modeled risk scenarios to estimate exposure and plan options, and engaged backup suppliers or renegotiated key contracts. This crisis showed that the problem wasn’t access to procurement platforms; it was a lack of predictive, strategic insight in procurement. I believe that Africa, in its next leap in supply chain sophistication, will not come from enhancing automation. It will stem from an AI-powered insight that gives reversal authority to procurement executives so they can act before a crisis occurs rather than during the crisis. What we’re missing New data-centric, bold, and value-driven procurement leaders are emerging in Africa, but they find themselves with inadequate machinery that was not designed for their realities. Standardised frameworks and global software targeting Fortune 500s do little to address the local context of emerging markets. This reality calls for the creation of sub-Saharan platforms that synthesise insights from disconnected supplier levels, uncover ESG threats ahead of public awareness, and anticipate commodity price surges and provide rationale for them. It isn’t only about prospecting for lower-cost suppliers; it is now about prospecting with intelligence. From pain to platform For about a decade, procurement has been my reality. The gaps that I have witnessed firsthand range from diesel volatility, price volatility, supplier failures, and regulatory exposure. What I’ve also witnessed is the impact that data paired with domain expertise and machine learning has had. Being in reactive mode doesn’t have to be the norm. We can create the future, and it all begins with intelligence. It’s time to stop digitising broken processes and start empowering procurement leaders with the foresight to act before disruption hits. The tools exist. The question is: who will lead Africa’s procurement intelligence revolution? ______ Ikechukwu Torti is a doctoral researcher in procurement and supply chain strategy, with about a decade of experience across Africa’s industrial and digital sectors. He explores how AI, ESG, and risk intelligence can reshape global sourcing and resilience. Mark your calendars! Moonshot by TechCabal is back in Lagos on October 15–16! Join Africa’s top founders, creatives & tech leaders for 2 days of keynotes, mixers & future-forward ideas. Early bird tickets now 20% off—don’t snooze! moonshot.techcabal.com
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South Africa’s tech startups don’t export much to U.S., but 30% tariff still stings
Starting today, the U.S. is charging a 30% tariff on certain goods coming from South Africa. This is a big jump from the previous 10% rate and puts South Africa among the countries most affected by the U.S.’s new global tariff changes. South Africa has been trying to negotiate a way around the tariffs, but despite ongoing discussions, no agreement has been reached. The U.S. is South Africa’s second-largest export market after China as of 2023. However, the bulk of South Africa’s U.S. exports are not technology goods; the main exports remain metals, minerals, automotive, and agricultural products. In the tech space, software and cloud services are less affected since tariffs typically apply to physical goods. South African developers, SaaS providers, and BPO firms can still serve U.S. clients without direct tariff penalties. But for the few South African tech companies that do export physical products like electronics or hardware, the new 30% tariff presents a unique challenge: adding pressure to stay competitive, and forcing companies to rethink how they do business. Alan Dickson, Group CEO of Reunert, a diversified industrial group with interests in electrical engineering, ICT, and applied electronics, told TechCabal that while tariff hike has “little to no impact” on their ICT and applied electronic segments, which do not export to the US, but the electrical engineering arm, CBi-electric: low voltage, is not so lucky. The company exports circuit breakers to the U.S. via its wholly owned subsidiary, CBi Inc., and has already made pricing and cost adjustments in response to the interim 10% tariff introduced in April. With the new 30% rate, Dickson says the long-term impact is still being assessed, especially in light of competition from Mexico and China. “Mitigation strategies have already been implemented, including value-engineering to reduce costs, flexible manufacturing options, further potential price increases, and continued investment in delivery reliability, which remains a key differentiator in project-based markets,” Dickson noted. The executive order published by the U.S. government states that the new tariff will not apply to goods that were already shipped before 8 August and processed before 5 October. Those will still be taxed at the old, lower rate. But everything else will now face a higher charge, putting pressure on South African exporters and trade officials. The South African government said it is still hopeful about securing a deal that could reduce or limit the tariffs. On July 31, it submitted a last-minute trade proposal, but there has been no response from Washington. “The government has been engaging the United States, and has submitted a Framework Deal that aims to enhance mutually beneficial trade and investment relations. All channels of communication remain open to engage with the U.S., and our negotiators are ready, pending invitation from the U.S.,” the government said in a statement on Friday The tariffs are part of a broader wave of new US trade measures affecting dozens of countries, but the 30% tariff on South Africa is especially severe, compared to countries like Kenya, Ghana, and Ethiopia. For now, the government claims it is putting together a support plan for businesses hit by the new US tariffs. The plan will include help for affected companies, producers, and workers, with more details to be released soon. The Department of Trade, Industry and Competition (DTIC) has set up an Export Support Desk to help companies affected by the US tariff increase. It will offer updates, advice on finding new markets, support with entry requirements, and help with rules and regulations. The Desk will also connect businesses with South African embassies and high commissions in other countries. But the uncertainty is already rippling through key sectors. The automotive and agriculture industries—especially citrus and wine—are bracing for impact, with some analysts warning of up to 100,000 jobs at risk While South Africa’s tech exports may not be in the least impacted, the broader implications for industrial innovation, supply chains, and investor sentiment are worth watching. Mark your calendars! Moonshot by TechCabal is back in Lagos on October 15–16! Join Africa’s top founders, creatives & tech leaders for 2 days of keynotes, mixers & future-forward ideas. Early bird tickets now 20% off—don’t snooze! moonshot.techcabal.com
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Nigerian court blocks sale of 54gene’s assets, as founder claims investor wrongdoing
A Federal High Court in Lagos has granted an injunction blocking the sale of 54gene’s assets, preventing the dissolution of what was once one of Africa’s most promising startups, according to court documents seen by TechCabal. Assets slated for sale included the biodata of 100,000 Nigerians priced at $3 million. In a petition filed in July 2025, Dr. Abasi Ene-Obong, 54gene’s founder, accuses the company’s largest investors, the Cathay AfricInvest Innovation Fund and Adjuvant Capital, of orchestrating its collapse. He alleges they sidelined the startup’s board and made decisions on behalf of 54gene, rejected a $110 million rescue package, threatened to spread rumours of a fraud investigation against him, forced the Nigerian operating company into bankruptcy, and rejected his offer to buy them out. “At 54gene, our mission—to harness African genomic insights for better health—rests on the highest standards of ethics and community trust,” Ene-Obong said in a statement to TechCabal. “We should hold ourselves accountable to every study participant, business partner, investor, creditor, and the broader communities we serve.” The case marks one of the most dramatic unravelings of a high-profile African startup, raising questions about investor control and founder rights. Once valued at $170 million and backed by prominent investors, 54gene shut down in 2023 in a cloud of controversy over internal power struggles, failed fundraising, and disputed governance. “We are unable to comment on specific matters that will be addressed via the court system,” said an Adjuvant Capital representative. “However, we only act in the best interests of our partner companies. As an impact investment firm focused on global public health, our priority is also to work with local partners to ensure the safety and viability of the biobank such that it remains available for the benefit of Nigeria and the broader African continent.” Cathay AfricInvest Innovation Fund did not respond to requests for comments. Exclusive: After raising $45m in two years, 54gene is shutting down After a significant drop in revenue—due to the drop in demand for COVID-testing—the investors insisted that 54gene raise a $100 million Series C round in April 2022, refusing Ene-Obong’s advice for a bridge round. Within a month of fundraising, it became clear that the startup could not raise the funding due to the constant and sharp drop in its revenue post-COVID. Ene-Obong claims that he secured a $200 million pre-money valuation and $80 million in investment commitments, but the company’s board blocked funding and sent an email asking him to stop fundraising for 54gene. The accused investors, who both sat alongside Ene-Obong and three independent directors on 54gene’s board, then appointed a Lagos-based lawyer as the receiver of 54gene Nigeria. He alleges that he was forced to resign as CEO by the investors, who also forced the company’s valuation from $170 million to $50 million and demanded four times their original investment back before any proceeds from a liquidity event, guaranteeing their loan to the company. The board also refused to allow external funding until 54gene received follow-on capital from their firms, shut down revenue-generating business lines, blocked a $500,000 contract, and took over the company. 54gene had three independent directors, with Ene-Obong as the common director, and Cathay AfricInvest Innovation Fund and Adjuvant Capital as preferred directors, completing the board. How the cracks at 54gene started to appear When 54gene raised money from investors, they got equity in 54gene Inc., the U.S.-incorporated holding company, which owned 99% of 54gene Nigeria, its Nigerian operating subsidiary, while Ene-Obong owned the other 1%. Ene-Obong claims that after his resignation in October 2022, the investors transferred all the assets and intellectual property into the Nigerian subsidiary so they could sell off the assets without proper accountability or oversight. Adjuvant and Cathay AfricInvest combined own 29.4% of the startup and control the company following Ene-Obong’s exit. Adjuvant led 54gene’s Series A round in 2020, but a few weeks after agreeing to a $60 million valuation, it told Ene-Obong that a limited partner in its firm decided that the deal should only proceed at a $50 million valuation. Ene-Obong agreed. Two weeks before signing the contract, the firm again reduced its valuation to $30 million, acquiring 22 % of 54gene instead of 15 %. 54Gene CEO, Dr. Abasi Ene-Obong. Cathay AfricInvest led 54gene’s $25 million Series B round the following year for 4.77% of the company, while Adjuvant participated in the Series B round and got 2.66% of the company. Ene-Obong claims that Cathay AfricInvest still owes 54gene $1 million. 54gene’s problems began in 2022 after the COVID-19 vaccine became widespread and a business pivot to advanced molecular diagnostics failed. This double whammy led to a drop in revenue, forcing the company to raise money to survive. Ene-Obong claims that after his resignation, he secured $35 million, but it was also turned down. Instead, the board asked that 54gene be acquired for $6 million, split equally between cash and stock. One year after resigning as 54Gene CEO, Abasi Ene-Obong is back in the arena By September 2022, with 54gene’s runway almost exhausted, the board presented a loan facility to 54gene with conditions that included a new board chair and that only Adjuvant and Cathay invest at a $50 million valuation, but with a 4× liquidation preference. Common shareholders would also lose veto rights, giving Adjuvant and Cathay the power to force a sale. The loan would also rank as the most senior debt of 54gene and would be secured against all of 54gene’s assets, including the biobank and intellectual property. The company agreed when Ene-Obong was still CEO, as he resigned the following month. After Ene-Obong left the company, the investors took control of the company with a supervisory committee that operates above the board. When it became clear that the loan would not come through, Ene-Obong said he was asked to prepare a buyback offer for 54gene for $3 million. Ene-Obong’s proposal was initially accepted but later rejected after he refused to wire $100,000 in cash within 24 hours to an investor who claimed it was needed for legal costs,
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“We fix it, they steal it”: How relentless vandalism cripples Nigeria’s telecom sites
When Yahaya Ibrahim, Chief Technical Officer of MTN Nigeria, checked his phone on Wednesday afternoon, July 30, 2025, yet another telecom site had been vandalised. It was 12:30 p.m., but the Abia State-based site was the second incident of the day. The first happened at 6:05 a.m. There were two incidents the previous day. And the day before that. “It’s a constant daily occurrence, at least two sites are vandalised every day,” he told TechCabal, staring at his phone in disbelief. Theft and sabotage have become an epidemic in Nigeria’s telecommunications industry, with operators like MTN, IHS Towers, and Equinix reporting staggering site vandalism, cable theft, and fibre cuts nationwide. The attacks are especially rampant in states like Abia, Akwa Ibom, Ekiti, and Rivers State, where criminals target telecom towers for everything from power cables and backup batteries to the core transmission and radio equipment. At first, it was just the power cables and batteries. “We suspect they’re being used for solar systems,” Ibrahim noted. But in recent months, the theft has become more sophisticated and damaging. “Now, they’ve started taking the actual transmission and radio equipment. Some even melt down circuit boards and extract chips. It’s worrying.” Since May 2025, operators across the industry have recorded at least five vandalism incidents daily compared to two incidents per day before May, according to the Association of Licensed Telecommunications Operators of Nigeria (ALTON). A chain reaction of blackouts The implications are severe. One vandalised site doesn’t just affect that immediate area. Many telecom towers act as hubs, linking and powering other nearby sites. If a single hub is compromised, three or four sites could go offline. For residents and businesses relying on mobile internet or voice services, these disruptions are sudden and unpredictable. But the costs go far beyond inconvenience. MTN, like other operators, budgets annually for spares and upgrades. “We’re exhausting spare parts far quicker than projected,” Ibrahim explained. “To fix vandalised sites, we’re now diverting equipment originally meant for upgrades in other regions.” The company is also exhausting what has already been budgeted for an entire year within seven months, according to Ibrahim. 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In many cases, security guards or vigilante groups stationed at sites are assaulted when criminals strike. When engineers try to restore service at night, they are often met with threats, violence, or even kidnapping. In areas like Omoku and Elele in Port Harcourt, Ibrahim described a disturbing pattern: gangs deliberately cut fibre cables, then demand payment before allowing repair teams to fix them. “We pay, we fix it. Then they cut it again. It’s a cycle,” he said. “At one site, while we were still fixing it, the boys came and told us, ‘When you finish, we’ll still take it.’ And two hours later, they did.” Some sites have been hit more than 10 times. In Abuja, one tower has been vandalised so often that engineers are now reluctant to replace its equipment. Sector-wide crisis IHS Towers, which manages 16,398 telecom towers in Nigeria as of March 2025, confirms the crisis. In a statement to TechCabal, IHS acknowledged that vandalism is a “major challenge” causing service interruptions, increased repair costs, and long-term degradation of service quality.
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Lagos to Tokyo: Global startup lessons from Iyin Aboyeji and Akio Tanaka
At the fifth edition of Pitch2Win on July 30, Iyin Aboyeji, founding partner at Future Africa, and Akio Tanaka, founding partner of Headline Asia, a global venture capital firm, shared critical insights on the future of startups in emerging economies. The discussion, moderated by Osarumen Osamuyi, the founder of research publication, The Subtext, highlighted key lessons from their experiences as investors, including the fundamental role of a founder’s mindset and the transformative potential of artificial intelligence. The founder is the most important variable To start the conversation, Osamuyi asked both investors what their biggest lessons have been in the span of their careers. In response, Aboyeji said: “The founder is the most important variable in a transaction.” While a market might be great and the team and funding might be in place, Aboyeji argued that if the founder is not truly dedicated to building a large company, all is lost. He has seen people “squander unbelievable opportunities” because the founder lacked the necessary drive. Tanaka immediately agreed, reinforcing the point with a powerful story of his own mistake. In the early days of his career, he had the chance to co-invest with Jack Dorsey, the founder of Twitter, in a new fintech business, Square. The idea didn’t make sense to Tanaka at the time because the US market already had a giant like PayPal, so he passed on the opportunity. But six years after its founding, Square, now known as Block, went public with a market capitalisation of $2.9 billion. “Had I known this insight—you have to look at the entrepreneur—back then, I would have probably made a different choice,” Tanaka said. L-R: Osarumen Osamuyi, Akio Tanaka, Iyin Aboyeji. Image source: TechCircle Scaling beyond Nigeria: Opportunities and pitfalls The path to building a successful startup is rarely straightforward. Osamuyi noted that even the brilliant founder can have a vastly different outcome in a different market. This is especially important to think about in Nigeria, where the weakening naira is pushing founders to chase foreign currency and “build for the world.” Aboyeji noted that this trend comes with a significant risk. He cautioned against the temptation to scale globally without a deep understanding of the target market. As he bluntly put it, you can’t build a product for London if you’ve never been there and don’t understand the local culture, payment systems, or what customers truly care about. The core advantage of any startup, he argued, is its ability to solve a problem for a customer that everyone else has overlooked or forgotten. Aboyeji used the experience of Moove, one of his portfolio startups set to raise money at a billion-dollar valuation after expanding across Africa, to illustrate this point. In Lagos, Moove addressed a specific local problem: talented drivers lacked the financial means and credit access to purchase a car. By providing financing solutions, Moove filled a critical gap. When the startup looked to expand internationally, it recognised a universal truth it had unlocked in Nigeria. “We unlocked something that everybody else seemed to be forgetting, which was that, well, if the first job most people will do is driving on Uber, they probably don’t have enough money to buy a car, you know,” he said of the portfolio company’s strategy. This insight became the foundation for Moove’s global strategy. They successfully replicated their model in London, Dubai, and Germany because they had discovered a problem that resonated across different markets. Aboyeji advises that, like Moove, international expansion should be driven by a profound understanding of a local problem that has global relevance, not a blind chase for foreign currency. Tanaka offered a contrasting perspective from Japan, where many founders fail to scale globally. He explained that a common strategy is to “build for Japan first because we know this market well. Then, once we figure out Japan, we’ll go overseas.” However, he noted that most of these startups get stuck in Japan and never achieve the scale of companies like Uber. While Japan is a large market, it’s not big enough for companies to become global giants. Tanaka contrasted this with Germany, which has produced more unicorns than Japan in the last decade. He attributes this to a shift that occurred in Berlin about ten years ago, where founding teams became more international, including people from Africa, Latin America, and the U.S. This diversity enabled them to build global businesses with an international DNA from day one. Tanaka noted this lesson is particularly relevant for founders in Lagos, as it highlights that for startups in smaller markets, success lies in building a diverse, international team from the start. The problem with a “local-only” mindset Reiterating Tanaka’s point, Aboyeji noted that many Lagos-based companies and founders operate under the belief that everything must be built by Nigerians for the Nigerian market. This approach, however, has a significant downside, he says. A lack of diverse perspectives can stifle creativity and innovation, making it difficult for companies to scale beyond national borders. “If you look at the table of unicorns, most of those teams are not entirely Nigerian. Maybe except for Flutterwave, most of the founding teams are all international teams,” Aboyeji said. This diversity brings a wider range of experiences, knowledge, and perspectives, which are crucial for building globally competitive products and services. Despite these opportunities in Nigeria’s tech ecosystem, bureaucratic and infrastructural challenges deter many from coming to Lagos. The visa process is often expensive and unclear, making it difficult for foreign professionals to live and work in the country. Additionally, the city’s real estate market needs significant improvement to provide the kind of living and working environments that international talent expects. Aboyeji’s Itana is building free zones to attract global talent. Aboyeji says he has directly appealed to government officials, including the governor and commissioner of tech, to take action. “If Lagos wants to remain relevant in the next 5 years, the biggest issue it has to tackle is how it gets global talent to build from Lagos?”
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LemFi CEO shares origin story and lessons for founders at Pitch2Win
At the fifth edition of Pitch2Win on July 30, a yearly event where aspiring entrepreneurs showcase their ideas and learn from industry experts, Ridwan Olalere, CEO of remittance startup LemFi, shared the riveting origin story of his startup. Serving over 30 countries, Lemfi allows Africans in the diaspora to send money home. The global remittance market, valued at about $800 billion annually (with Africa accounting for roughly $100 billion), is rife with opportunity and complexity. LemFi’s success lies in navigating both. Olalere’s journey to founding Lemfi wasn’t a straight line. A decade ago, he was a developer at Hotels.ng, a Nigerian booking platform. He then founded ForLoop, a developers’ community. He went on to work as a senior software engineer at Flutterwave, and later moved to OPay, where he was director of payment. Eventually, Olalere became Uber’s country manager in Nigeria before going on to found his startup. In a candid, engaging keynote, Ridwan walked the audience through LemFi’s evolution from a pre-seed idea to a Series A success, revealing the scrappy journey of building a borderless banking platform for Africans in the diaspora. Minutes later, Pitch2Win convener Oo Nwoye—who also wrote LemFi’s first pitch deck—joined him for a lively Q&A. If you missed the event, here’s a deep dive into Olalere’s story and the top ten takeaways from his speech. L-R: Ridwan Olalere in a fireside chat with Oo Nwoye, convener of Pitch2Win. Image source: TechCircle The pre-seed: Embrace assumptions and start small LemFi is currently a leading remittance app for the African diaspora. But the idea wasn’t born fully formed. “We kept evolving the entire idea,” Olalere admitted, recounting how in 2020 the concept shifted from stock trading, inspired by Robinhood’s hype, to digital banking, and he finally settled on building a remittance app for Africans in the diaspora. The idea stemmed from his time at OPay, where he worked as payment director and launched an unsuccessful remittance product. “We didn’t like the P&L of Nigerian banking startups,” he explained. At OPay, charging 20 naira per transaction yielded an average revenue per user (ARPU) of just $10–$15, while acquiring agents cost $20. “Your payback period was going to be the second year,” he said. Remittances, with higher transaction values, promised better economics. But the pre-seed phase was chaotic. Ridwan and Nwoye, who wrote the first pitch deck, started with a blank slate and a lot of guesswork. “We were trying to raise a $3 million valuation, $500,000, without any product,” Nwoye recalled. Olalere pointed to the slide that claimed 170 million Africans were in the diaspora. “It’s a lie,” he laughed. They also listed giants like Western Union and TransferWise as competitors, prompting one investor to scoff: “You’re in Lagos. You’re telling me we should give you $500,000 to beat these guys. Please don’t waste our time.” Embrace imperfect circumstances The app’s early design was equally rough. “If you’re not embarrassed about your design pre-seed or when you’re starting the company, then you’re not starting early enough,” Ridwan quipped. The colour palettes were unsophisticated, bugs abounded, and the app did just one thing: move money between Canada and Nigeria. Olalere also pointed out that the choice to focus on Canada was more pragmatic than ideal. Only 100,000 Nigerians lived there, compared to over a million in the UK or US, but a Canadian licence was the easiest to obtain. “Should we wait six months to get the UK license, which was a 50/50 chance, or start in Canada, where we had a license within that month?” Ridwan asked. Starting a team in too many places at once can set you up for failure. While you might be tempted to launch in several markets simultaneously and spend a lot on marketing, this often leads to high user churn. At this early stage, your service isn’t great, and you miss the opportunity to learn and build confidence by perfecting your product for a smaller, more focused market. They chose the Nigeria-Canada corridor, a narrow scope that allowed LemFi to “build the muscle” for marketing, distribution, and debugging. In the early days, they also made wrong assumptions about their burn rate. The deck’s 12-month runway was optimistic. It lasted six months. A projected 2% transaction fee led to losses, and Flutterwave’s 4.5% processing costs ate into margins. The pre-seed deck, flaws and all, embodied Ridwan’s mantra: “The most important thing is just to start, no matter how small. Then you can figure out the rest later on.” Assumptions were okay, even necessary, as long as you kept moving. L-R: Ridwan Olalere and Oo Nwoye. Image source: TechCircle Have savings Years earlier, a mentor had given him a crucial piece of advice: have substantial savings before launching a startup. At the time, Ridwan had brushed it off. “I didn’t think it made sense,” he admitted. In hindsight, it was a lifeline. In a country like Nigeria, where safety nets like health insurance are often thin, personal savings provided the freedom to take a leap of faith. This was never more evident than in 2020, when Ridwan made his biggest personal sacrifice, leaving his role at Uber just one month before a significant amount of his restricted stock units (RSUs) were set to vest. There was a lot of money at stake. But for Olalere, the decision was simple. “I just felt too excited about the project,” he said. “This is it. This will work. We have to go all in.” He resigned, unwilling to be “dishonest with Uber” by juggling his startup with his corporate life. His savings, from his time at Uber and OPay, became the startup’s initial lifeline. He recalls wiring £19,000 to consultants and engineers, using some of it for licenses, which showed investors a level of commitment crucial for attracting their attention. “When you have savings, you have that to use to live your life while embarking on this very painful journey,” he reflected. It was this personal investment that signalled seriousness to investors and allowed LemFi
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