- August 3 2023
Tanzania ignores digital IDs as East Africa pushes for wider adoption
Most East African countries are on a path to adopting digital IDs. While others express mixed reactions about the readiness for the documents, others have yet to start conversations about biometric identification. KYC processes are crucial in preventing fraud, money laundering, and ensuring compliance with local and international regulations. However, the requirements and implementations vary across African countries due to varying regulatory frameworks and technological infrastructures. Besides, Africa’s digital economy is growing fast, with a population of 1.4 billion. But according to the World Bank, around 500 million Africans still lack proper identification documents as of 2020. This highlights the importance of identity verification solutions in closing the identity gap and supporting Africa’s digital economy. Tanzania is okay with traditional IDs Tanzania is the only country in the East African region that has yet to make any notable development toward adopting digital IDs. However, the nation’s ICT regulator has since directed that SIM card registration include biometric identification. Tanzania’s sim card registration process involves biometric verification to ensure the authenticity of mobile phone users. The registration process is overseen by the Tanzania Communications Regulatory Authority (TCRA), which issued a directive in 2019 requiring all citizens to register their sim cards with their national identification documents. The registration process requires individuals to provide their fingerprints and other biometric data, which are cross-checked against the information on their national ID cards. This biometric verification aims to prevent fraudulent activities and enhance security in the telecommunications sector. In February 2023, the Tanzanian government deactivated 970,000 irregularly registered SIM cards to curb fraud. This action followed the TCRA’s directive for citizens to register their sim cards biometrically. Smile Identity’s report clarifies that the campaign achieved significant success, with 60.47 million out of 62 million mobile users registering before the deadline and a notable drop in sim card fraud cases. Kenya carried a similar campaign for the better part of 2022. Kenya’s second attempt at digital IDs Kenya, on the other hand, is set to fully embrace digital identity for its citizens. Some details have been revealed about its upcoming digital ID system. Set to launch in September 2023, the unique personal identifiers (UPI) system comes with advanced security features like iris and facial biometrics and fingerprint identification, similar to the existing identity documents. The new digital ID was first announced by Kenya’s ICT cabinet secretary Eliud Owalo, who clarified that the IDs would be official in a month. The new IDs will replace the failed Huduma Namba launched by the previous administration in 2018. Read more: Kenya discontinues Huduma Namba, takes another try at digital identities The new ID system aims to offer improved online ID authentication possibilities while giving Kenyans more control over sharing their data. Does this imply that Kenyans will not be compelled to adopt the new ID? According to Owalo, the IDs will not be mandatory. However, it should be remembered that the state said the same thing about Huduma Namba. Still, citizens were made to obtain the document because they were told they couldn’t access government services without it. Uganda isn’t too sure about digital IDs In May 2023, Uganda’s national identification and registration authority (NIRA) revealed that they had issued citizens more than 26 million National Identification Numbers (NINs). According to Smile Identity, an identity verification platform, this represents over 95% of the adult population coverage within nine years of initiating the ID program. While NIN’s coverage is extensive, many Ugandans still do not possess physical ID documents. NIRA said they printed over 19 million national ID cards, but only 16 million have been collected, leaving over three million cards unclaimed. The agency has urged registered Ugandans to collect their cards before transitioning to a digital ID system. The same issue was observed in Kenya when over 2.9 million Huduma Namba cards remained uncollected as Kenyans protested the document’s existence. In April 2023, Uganda’s auditor general, John Muwanga, expressed concerns about the country’s readiness for transitioning to new digital ID cards. The cards will have citizens’ electronic and biometric data via implanted microchips, and the transition is set to start in 2024. NIRA stated they are in advanced planning stages and have enough time to prepare. Ethiopia wants digital IDs for financial transactions In 2022, Ethiopia’s national identity program (NDIP) initiated the Fayda ID enrollment, with over 1.4 million Ethiopians already enrolled. Then in March 2023, the country approved a crucial Digital Identity Proclamation bill, paving the way for a modernised ID system and potential national development. The national bank of Ethiopia and the national identity program recently announced plans to make the national digital ID, Fayda, mandatory for all transactions. According to Smile Identity’s report, with approximately 23.7 million people having bank accounts, the Tanzanian government’s initiative aims to make the Fayda ID mandatory for bank customers. This requirement is for conducting KYC checks and remote onboarding, intending to reach 45 million enrollments by 2024. The move is expected to enhance transparency and security in Ethiopia’s financial sector. Rwanda’s approach is unique Rwanda’s approach to digital IDs takes a different approach that seeks to be all-inclusive. According to the report, the Rwandan parliament is working on a more inclusive ID system to cover children and stateless people. The proposed amendment allows the Rwanda Single Digital System (SDID), funded by the World Bank, to close gaps in the existing ID architecture within 3 years. SDID aims to address gaps and improve efficiency in Rwanda’s existing ID architecture by incorporating different identification data sources, such as biometric information, demographic details, and other relevant data. Tanzania’s hope for personal data protection Tanzania has not disclosed the reasons behind its delay in adopting digital IDs as neighbouring countries continue introducing them as standard documents. One could argue that digital IDs store extensive personal information, such as name, date of birth, address, and other identifying details, making them susceptible to data privacy concerns. Nevertheless, Tanzania has taken a step forward by enacting the Personal Data Protection Act in 2022, establishing essential
Read More- August 3 2023
Building the future of financial services
Moonshot by TechCabal is the conference that brings together Africa’s tech ecosystem in person to network, collaborate, share insights and celebrate innovation. Join us in Lagos on October 11 and 12. In this second article built around the conference, Abraham Augustine offers suggestions for designing a future for the financial services sector that is defined by government and private sector collaboration to create shared prosperity and thriving economies. What the future of financial services will look like depends on who you are talking to. Crypto advocates believe in a future where financial services are decentralised and both real-world assets and virtual assets are tokenised. Governments around the world seem to be coming to a consensus that the future of money is programmable central bank digital currencies that can rival crypto stablecoin dreams. And in the development sector, financial inclusion advocates affirm little more than simply providing access to digital wallets. No programme embodies the development sector focus on digital wallets as the future of financial services like the Better than Cash Alliance of the United Nations. And they have a point. Financial services is a broad range that includes banking, insurance and investing. The unspoken consensus is that the form in which these will be delivered will be digital. That helps us narrow it down to one overarching theme. Which is that the future of financial services is mostly digital. Digital technology has a strong presence in the back offices of the financial services sector. Banks are run on software architecture that help them manage customer and account information. Bond, equity and commodity investors all over the world rely on software to execute trades. Insurers are beginning to store massive amounts of customer information in large databases. And you pay for groceries or a Spotify subscription with your credit/debit card or digital wallet. Despite what seems like peak digitalisation, there is still a lot of room for change and growth. Even in developed economies. For example, despite the significant digitisation of its financial sector, the United States only recently launched its real-time payments (RTP) network. Almost 20 years after its southern neighbour, Mexico launched a national RTP in 2004. RTPs change what a bank transfer means—from a days-long process to a near-instantaneous activity. Clearly, the future of financial services is not only digital; it is how progress in basic areas such as faster payments will change how the everyday person interacts with the remaining pillars of financial services. With the financial services sector receiving or managing trillions of dollars in investments, transactions and system failures every day. These changes will impact: How people and businesses save and borrow. How people and businesses invest in capital markets. How people and businesses get insurance protection. And how people and businesses raise capital. Some of this is already happening. Especially in more developed countries. But in the African context, we have not made much progress beyond how digital technology has changed how people receive payments or pay for services or products. And there is a history behind this. From microfinance to digital financial inclusion From the late 1990s to the first decade of the 2000s, microfinance banking dominated the approach towards increasing participation in formal financial services. Especially in developing and low-income parts of the world. Propelled by the advocacy and example of Pakistani economist, banker and Nobel prize winner, Muhammad Yunus, development banks supported the micro-finance model as a pathway to increasing formal financial access. As big money flowed into the nascent industry, mixed results trickled out. Small successes were hailed as exemplary, social costs like increased indebtedness were downplayed, and massive profits were collected. Digital financial inclusion is an outgrowth of this era, as innovations such as M-Pesa caught on. Mobile technology and better access to the internet promised to help scale access to financial services. As a result, increasing the number of formal financial accounts mainly through digital payment wallets became a priority for the development industry. And ultimately the priority of private sector investors and entrepreneurs. From financial inclusion to financial health Unfortunately, contrary to popular narrative, access to one form of financial services that mainly sought to replace cash with digital options, has not created consistently positive upliftment. “Since 2010, financial inclusion has been a great focus for our community. Today, however, I would like to make the argument that it is time to move on from financial inclusion because it has not fulfilled its promise of helping the poor make their way out of poverty,” Iyin Aboyegi who co-founded one of Africa’s most valued payments company and has invested in several more, said at the Inclusive Fintech Forum. A lot more people now agree that Africa needs to move beyond the singular focus on payments which is only one pillar in the financial services sphere. Financial inclusion advocacy institutions, like Financial Sector Deepening Africa (FSD Africa), now use indicators that measure financial health instead of only financial access. What financial health looks like This new focus on financial health (a measure of a person’s financial soundness and economic well-being) can become the standard around which the future of financial services is built. For the payments layer, a focus on financial health will compel governments, the development industry and private companies to evolve their policies and products. Simple access models with poorly aligned incentives will be replaced by payment products that focus on facilitating commerce. And the government’s rentier taxation of digital payments will be eliminated. Instead of focusing on how many people are given loans, the future of digital financial services will see entrepreneurs using technology in line with government policy to extend credit in a way that supports an inclusive economic agenda. This will mean an increased use of data to monitor and measure progress towards economic well being. As a result, Africa’s data industry, as well as data protection standards, will need to evolve from where it is today. By the same token, poorly thought-out economic policies that disincentivise financial institutions from extending credit
Read More- August 3 2023
The Future is Female Mentorship Program announces 20 finalists for its fourth edition
PR is crucial to the overall growth and development of any startup, and no one understands this better than Claudine Moore. Moore is a PR and communications expert with over 13 years of experience helping startups navigate media relations and shape public perceptions. In Africa, female entrepreneurs receive less funding and visibility than their male counterparts which has affected their ability to scale. This spurred Moore to create a mentorship program, The Future is Female Mentorship Program, that showed women how to gain visibility for their startups and position themselves for funding opportunities. For the fourth edition of the program this year, 20 African female-led tech startups listed below have been selected out of 490 applicants from 37 countries across Africa. During the selection process led by judges; Enki Toto, Femi Agboola, and Michelle Agbodohu, special consideration was given to startups focusing on areas like health, education, finance, agriculture, and sustainability. Startups that provide solutions and/or address African women’s and girls’ needs also received special consideration. The 2023 edition has been supported by Google for Startups Accelerator: Women Founders Africa Program, Salesforce Ventures Impact Fund and F6S expanding the scale and reach of the initiative. Here’s the complete list of all founders selected from across the continent. EGYPT Mai Shakweer, Founder of AutoMechanic, which connects car owners in Cairo with local mechanic services and workshops. KENYA Juliet (Shiro) Njoroge, founder of Mosmos Africa, a Save Now Buy Later (SNBL) platform, enabling Kenyans to save-to-buy conveniently with the Mosmos app. Celeste Tchetgen Vogel, founder of e-Waka Mobility, a full-service platform for businesses to make cheaper, eco-friendly deliveries with tried and tested electric bikes. Natasha Makindu, founder of Paydel, a social commerce fulfilment platform that aggregates logistics services on demand. Fridah Karani, founder of Hela Money, a next-generation trade platform bridging traditional and digital finance enabling businesses to build for the future. Jackie Kamau, founder of The Laundry Lady, an on-demand laundry, dry cleaning service offering convenient pick-up, wash and delivery, with a focus on high-quality service at affordable rates. Elizabeth Nduta, founder of Gwiji, a startup that empowers low-income Kenyan women with training and flexible employment. NIGERIA Al Hassan Keita, founder of EtioneraPay, an escrow payment gateway built for online and e-commerce users, processing payment and enabling payment for users. Jennifer Echenim, founder of Bloccpay, a crypto-powered payroll solution for global businesses and talents. Gold Sylvester, founder of Traddify, a global remittance platform that allows individuals and businesses to make cross-border payments seamlessly and instantly. Ngozi Nwabueze, founder of PocketLawyers, a Nigerian legal tech startup that offers access to affordable premium legal services and solutions to SMEs and startups. Sarah Odiavbara, founder of Craftmerce, a B2B e-commerce marketplace for African handcrafted enterprises. Olawunmi Akalusi, founder of Rísé NG, a digital platform that seamlessly connects artisans and vendors with consumers. Bibi Ikuemonisan, founder of FarmCorps, an agritech platform providing smallholder farmers in Nigeria with end-to-end market access, loans and more. Joy Akparobore, founder of VAMUZ, a Nigerian e-commerce and logistics platform aimed at the local market. Kemi Ogunkoya, founder of LeaderX, an innovative mobile application enabling African professional networks to bridge talent shortages, leadership gaps and more. SOUTH AFRICA Jacqui Rogers, founder of My Pregnancy Journey, an app which aims to guide and empower South African/African women with information and expertise on pregnancy, health, and parenting. TANZANIA Sophia Abeid, founder of Vide, a Tanzanian educational video-sharing technology for content creators. TUNISIA Rym Bourguiba, founder of WildyNess, an online platform that offers travellers authentic experiences in Tunisia creating social impact in rural regions ZAMBIA Vwanganji Amatende-Bowa, founder of Mightyfinance, an SME finance partner building thriving enterprises, that aim to transform lives through the provision of flexible, easy and affordable loans. PROGRAM DETAILS For the fourth edition and for the first time, Google for Startups Accelerator: Women Founders Africa Program, Salesforce Ventures Impact Fund and F6S collaborated with The Future Is Female Mentorship Program, joining TechCabal and, Africa Communications Week, long-term partners of the initiative. The program is now powered by Allison+Partners, one of the international PR industry’s fastest-growing and innovative global agencies. In August and September, the selected mentees will participate in masterclasses hosted by TechCabal, Salesforces, and Africa Communications Week, in collaboration with the program’s mentors. The program mentors are the founding team, Claudine Moore, Managing Director, Africa, Allison+Partners, David Idagu, Africa Regional Consultant, Allison+Partners and Tope Adubi, Digital Marketing Consultant, Allison+Partners. From October to December, the mentors will host customised one-on-one sessions with the mentees focusing on sharing insights into PR and communications fundamentals for early-stage tech startups, such as corporate storytelling and communications, media relations, digital marketing, and more. For more information on the finalists and details of the Program, visit the website or follow CMooreMedia, or Allison+Partners on Twitter and LinkedIn.
Read More- August 3 2023
Gender inequality is obstructing Ghana’s path to a larger digital economy
Ghana has an ambitious digital policy that is set to make it a leading digital economy in Africa. However, the existing digital gender gap in the country may obstruct the achievement of the levels of digital literacy required for universal e-government service delivery. In May, the Ghanaian parliament approved a $200 million loan agreement with the World Bank to help push Ghana’s Digital Acceleration Project. This project, slated to run till 2027, is part of Ghana’s larger digital economy policy. The project is aimed at increasing access to internet services for six million people by encouraging private sector investment in last-mile connectivity in underserved rural areas. The digital economy policy, launched in 2020 in collaboration with the World Bank, is hinged on five pillars: universal access and connectivity, digital skills, digital entrepreneurship and innovation, digital government, and data and emerging technologies. Other objectives of the Digital Acceleration Project include accomplishing 1.5 million digital service transactions completed annually, as well as an 85% user satisfaction rate of its Ghana.GOV portal which was launched to provide a single point of access to all government services. Currently, Ghana ranks eighth on the list of digital leaders in Africa, and this Digital Acceleration Project is poised to take it even higher. However, while this ambitious project could improve the digital literacy and economic standing of the larger population, it currently faces a formidable obstacle: the digital gender gap. Women are left behind At an estimated 16.8 million, women make up an equal percentage (50%) of Ghana’s population, but that is where the gender equality ends. In Ghana, women earn, on average, less than one-third of what their male counterparts earn. This significant disparity has far-reaching effects, impacting women’s access to property ownership, including houses, and limiting their ability to possess items like smartphones, hindering their full participation in the country’s digital economy. This especially affects poorer women. According to a report by the United Nations on gender inequality in the digital space, only about 60% of Ghanaian women own smartphones, compared to 72% of men. The average cost of a smartphone is estimated to be $41, which translates to about a quarter of the average monthly income in the country. According to a survey participant in a study done by the Groupe Spécial Mobile (GSMA), respondents felt spending money on data for a smartphone sounded like a waste when there were other more pressing needs to be attended to. “I cannot go and buy an expensive phone and also be paying for data when I need to provide food for my hungry children,” one participant shared. Another factor that affects Ghanaian women’s ability to own smartphones is inadequate literacy and digital skills. According to findings from the GSMA study, at least three-quarters of women who do not use mobile internet services in Ghana only have a primary school education or less. This coincides with the national gender ratio for completion of senior high school in the country; 68 girls for every 100 boys. Additionally, more than one-third of the women surveyed who do not use mobile internet attribute insufficient skills as a barrier to being digitally included. “I do not know how to use the phone to make calls properly, how much more using the internet and or even visiting these government websites you are talking of,” a survey participant responded when asked why she didn’t use the country’s official payments website. “My education is limited and I cannot send or read messages. So I feel I may make a mistake and make the wrong payment, so I do not take the risk of making payment on an e-government platform, where I might lose my money and not get my refund,” another participant shared. Potential solutions to lessening the gap While the Ghanaian government has taken some steps to reduce digital illiteracy with the launch of digital literacy initiatives, these initiatives frequently target younger people with the aim of getting them into the formal sector. This neglects people in the informal economy—the majority of which are women—who make up the bulk of the country’s workforce. For literacy training to have a wider impact, women in the informal sector must be focused on, with training programs scaled across the country. An example is the ICT Skills for Entrepreneurial Women Empowerment (ISEWE) which has trained 15,000 artisans (including hairdressers, tailors, market women, and mechanics) and 720 female entrepreneurs in basic digital skills. But while such initiatives have recorded some success in improving digital literacy, beneficiaries are often unable to practise new skills beyond the training sessions due to a lack of device ownership. Another way to lessen the digital gender gap is through financial inclusion. Ghana has made significant progress in promoting financial inclusion in recent years, but not for women. The country has one of the most mature mobile money markets in the world and has a financial inclusion rate of 68.2%, one of the highest in sub-Saharan Africa. Despite these impressive numbers, credit consumption remains appallingly low (only 13%), due to a lack of collateral and high interest rates on loans, which directly affect people in the informal economy. Beyond giving women more control over their finances, financial inclusion can also give more women access to tools to expand their businesses and increase their purchasing power. Ghana has the highest number of female entrepreneurs in the world but the majority of them still operate at the small-scale level because they lack the resources and education to scale up. Financially empowering women puts them in better positions to participate more fully in the digital economy. Unless the contributing factors behind the gender gap and digital exclusion, in general, are addressed, it will be impossible to drive large-scale adoption of e-government services. As the digital gender gap shrinks, Ghana’s digital economy policy will have a significant number of benefits for women. To read the full report on Ghana’s e-Government services from Groupe Spécial Mobile (GSMA), download it here.
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- August 3 2023
TechCabal Daily – Weirdcoin
In partnership with Share this newsletter: Lire en Français اقرأ هذا باللغة العربية Happy pre-Friday Nigeria’s tech ecosystem found a ray of hope last night. Bosun Tijani, founder and CEO of pan-African incubator CcHub, was nominated as the country’s new minister of communications and digital economy. It’s not set in stone yet, but if he’s approved, the ecosystem will have one of its own leading the policy development and innovation in the tech space, and yes, that includes the implementation of the Nigeria Startup Act! Let’s keep our fingers crossed! In today’s edition Kenya suspends Worldcoin Safaricom has a new BNPL product Flutterwave’s $end rebrands to Send app Remedial Health raises $12 million The World Wide Web3 Event: Get early-bird tickets for the Moonshot Conference Opportunities Crypto Kenya suspends Worldcoin Kenya’s interior ministry has suspended the operations of Worldcoin, a blockchain product which requires users to scan and register their eyeballs. The parent company of Worldcoin, Tools for Humanity, is a registered data processor in the country, but the ministry says it needs to investigate the authenticity and legality of its activities. Image source: Odhiambo Ogola (@PhilipOgola) ICYMI: Worldcoin launched In Kenya and 26 other countries to collect the iris scans of people. The Worldcoin project has been popular in Kenya, with long queues forming at several scanning venues. Participants receive 25 Worldcoin tokens (WLD) as compensation, and several crypto exchanges are present at the venues to convert the digital tokens into local currency. Currently, in Kenya, the 25 tokens are worth Ksh7,000 ($50). So far over 350,000 Kenyans have queued up to get scanned. Why does Worldcoin need this data anyway? Worldcoin’s parent company, Tools for Humanity, says it wants to protect humans from impersonation by AI bots. Interestingly the founder of popular chat or ChatGPT, Sam Altman, is one of the founders of Worldcoin. Since each individual’s iris data is unique, the scanned iris data will be registered on the blockchain, creating a unique identity that can serve as proof that the user is a human being. These scans will then form digital identities, serving as a KYC to access essential financial services. Bright red flags: Globally, there’s quite a buzz about the motive behind this blockchain-based and AI-fighting digital passport project. Before it launched, the project was accused of taking more data than what it disclosed to users. The founder of the Ethereum blockchain, Vitalik Buretin, still holds that opinion and other privacy concerns about the project. In Africa, there are questions about why they are creating such an ID in countries where AI and blockchain tech aren’t yet part of everyday life. Secure payments with Monnify Monnify has simplified how businesses accept payments to enable growth. We are trusted by Piggyvest, Buypower, Wakanow, Fairmoney, Cowrywise, and over 10,000 Nigerian businesses. Get your Monnify account today here. Fintech Safaricom and Craft Silicon launch BNPL products in Kenya Kenyan telecom Safaricom and software development company, Craft Silicon, have launched similar products in the Kenyan market: Faraja and SpotIt. Faraja, which is a partnership between Safaricom and financial services firm EDOMx, is a Buy Now Pay Later (BNPL) product, while SpotIt is setting itself apart from Faraja as a “Get Now Pay Later (GNPL)” product. Both products are similar but have different terms and target customers. Craft Silicon CEO Kamal Budhabhatti (R) during the launch of SpotIt Safaricom’s Faraja: Faraja empowers businesses to grow their sales by enabling their customers to buy now and pay later. The product has been in development for over a year and was launched a few days ago after approval from the Central Bank of Kenya (CBK). Customers can make purchases ranging from Ksh20 ($0.14) to Ksh100,000 ($703) without any interest fee, and have a 30-day period to repay the loan. Faraja’s services, however, are limited to Kenya, so customers cannot use it for international purchases. Craft Silicon’s SpotIt: SpotIt presents consumers with the chance to engage in credit-oriented shopping, followed by the option to gradually repay their loans through instalments. Unlike Faraja, SpotIt allows customers to create virtual cards for international purchases and payments. The credit limits are determined based on the customer’s credit score, a parameter evaluated by the bank that serves as the gateway to SpotIt. For customers who choose to acquire products on credit via SpotIt, the repayment schedule spans a span of six to twelve months. SpotIt is revolutionising BPNL services in Africa: Unlike other BNPL services, SpotIt is a mini app integrated into existing banking apps rather than a standalone service. So far, the model has approximately 30–40 merchants. Craft Silicon has also partnered with four banks, including NCBA, to integrate SpotIt as a mini app, and others like Equity Bank are expected to join soon. Discover Trends with Smile Identity Download the Smile ID State of KYC in Africa Report on the latest trends in identity verification across Africa, highlighting the power of biometric verification and document verification in combating fraud. It is a must-read for any business looking to acquire users across Africa and keep up with fraud trends. Fintech Flutterwave’s $end Mobile rebrands to Send App GIF Source: Tenor Payments company Flutterwave has rebranded its $end Mobile product to Send App. When it initially launched in 2021, Send App enabled payments to various countries, including the UK, EU, Nigeria, and other African countries. With the recent update, the app has expanded its recipient countries to include Egypt and Sénégal. Additionally, users in the US and Canada can now send money through the app to other countries. The product also got a new look and is available for download on Android and iOS. Zoom out: This news comes after Flutterwave launched Tuition, a product that enables Africans to make quick payments of school fees to educational institutions abroad. Healthtech Remedial Health raises $12 million in Series A funding round Remedial Health Founders Samuel Okwuada and Victor Benjamin Remedial Health, a Nigerian health tech startup is remedying Nigeria’s drug counterfeit problem. The health tech startup secured
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- August 2 2023
Access to credit financing for PPMVs in Nigeria
Image source: The Guardian Nigeria Patent and proprietary medicine vendors (PPMVs) are known as individuals without formal pharmacy training who sell orthodox pharmaceutical products on a retail basis for profit. They are often the primary healthcare providers for a significant portion of the Nigerian population, especially in rural areas where access to formal healthcare facilities is limited. These vendors offer various services, including treatment for malaria and diarrhea and family planning services. There are a number of challenges facing PPMVs. However, given the informal nature of their business, limited access to credit remains one of the most pressing issues. Financial institutions often hesitate to extend credit to PPMVs due to perceived risks, lack of collateral, and limited credit histories, hindering their ability to expand their businesses and invest in essential resources. Charity Ukwo Abah, deputy director of the enterprise development and promotion department at Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), emphasized the significance of access to sustainable financing schemes for PPMVs to expand their businesses and offer a wider range of quality medications. “Empowering PPMVs with access to credit financing is essential for their growth and ability to provide improved healthcare services to the communities they serve. This will lead to better healthcare outcomes for Nigerians, especially those in underserved areas,“ Mrs Abah said during a TechCabal Live event held in partnership with Solina Group that discussed the role of technology in enhancing access to credit for PPMVs. The event had in attendance key stakeholders in the health sector interested in strengthening health inclusion in Nigeria. “PPMVs play a critical role in delivering healthcare services, but their effectiveness is hampered by challenges such as counterfeit medications and lack of clear regulatory frameworks, Emeka Okafor, project director at IntregratE, said. “By working together with regulatory bodies and pharmaceutical companies, we can strengthen PPMVs’ capabilities and enhance access to quality healthcare for all citizens,” he added. He also highlighted the need for improved regulation and collaborations with pharmaceutical companies to build a more robust and inclusive healthcare system. According to industry leaders, it is crucial for financial institutions to integrate technology in providing credit to PPMVs. Technology can be used to build a digital credit scoring system specifically for PPMVs. This will provide access to relevant data such as sales performance, customer feedback, and inventory which will help financial institutions better assess the creditworthiness of these vendors. This data-driven approach will enable lenders to make informed decisions, reducing perceived risks and facilitating access to much-needed financing. This, in turn, will empower PPMVs to expand their businesses and improve healthcare services nationwide.
Read More- August 2 2023
Breaking: Bosun Tijani nominated for ministerial position in Tinubu’s cabinet
Bosun Tijani, the CEO and co-founder of CcHub, a pan-African tech incubator, has been unveiled as a ministerial nominee for President Tinubu’s administration. Earlier today, Senate President Godswill Akpabio shared 19 more ministerial nominees submitted by President Bola Tinubu’s administration. For stakeholders in Nigeria’s tech ecosystem, one name struck a chord, Bosun Tijani, the CEO and co-founder of CcHub, one of the most influential incubators on the continent. Tijani is the only name on the list from within Nigeria’s tech ecosystem, suggesting that he is being nominated for the Minister of Communications and Digital Economy role. TechCabal had earlier reported that four names were being considered for key roles in Tinubu’s administration, especially as the President had focused on Nigeria’s tech ecosystem during his campaign. Bosun Tijani, Oswald Osaretin Guobadia, Olumide Soyombo, and Idris Alubankudi Saliu were the names TechCabal reported to be in the running for the ministerial position. However, only Tijani’s name has appeared on the list. Tijani’s nomination is a break from the norm of civil servants and career politicians being appointed as the minister responsible for Nigeria’s budding tech ecosystem. For the tech ecosystem, it means a seat at the table and some support from the government in building an even bigger ecosystem. Just as Nigeria’s Startup Act had shown that the government was willing to consult with the ecosystem, this nomination shows a continuation of that policy. Bosun Tijani’s profile Tijani holds two degrees from the University of Jos, Nigeria: a Bsc. in Economics and a Diploma in Computer Science. He subsequently obtained an MSc. in Information Systems and Management from the Warwick Business School in England. In March this year, Tijani completed a PhD program in Innovation and Economic Development at the University of Leicester. He has led the expansion of CcHub across Nigeria, Kenya, and more recently, Namibia. From its humble beginnings in Yaba, CcHub has grown to become a significant catalyst of tech advancement in Africa by empowering young people with the tools, communities and capital they need to launch impactful ventures. With a billion naira growth fund, CcHub has committed to impacting over 95 early-stage businesses including those bringing innovation to Africa’s education and healthcare systems. In 2017, New Africa Magazine named Tijani as one of the 100 most influential people in Africa. Exclusive: Tinubu eyes Nigeria’s tech experts for key roles
Read More- August 2 2023
This YC-backed startup wants to be the “Amazon” for second-hand smartphones
Eze, a YC-backed B2B marketplace, is connecting retail stores dealing in second-hand smartphones and electronics with global electronics manufacturers and suppliers. In June, the startup raised $3.7 million in an oversubscribed seed round. For over two years, Joshua Nzewi and David Iya ran a smartphone wholesale business in the U.S. and decided to begin shipping second-hand devices outside their base. But they soon realised deeper issues that plagued the second-hand smartphone market, especially in Nigeria, where the duo originally hail from. Thousands of retailers in Nigeria sell refurbished smartphones shipped from other countries and sold in markets like Computer Village in Lagos. But these retailers deal with problems such as logistics, limited supply, pricing uncertainty as well as payment and trust issues. So in 2020, Nzewi and Iya founded Eze, a B2B marketplace that connects global ma suppliers with retailers dealing in second-hand smartphones and electronics such as laptops, tablets, wearables, and other devices. “Think of us as eBay or Amazon or even like a Jumia. A buyer comes to our platform and sees all the different prices for several devices and makes a bid. If the seller accepts the offer, payment is made and the transaction is done,” Nzewi told TechCabal over a call. Eze takes a cut from each transaction done on the platform. According to Nzewi, the YC-backed startup has sold over 500,000 devices since its launch in early 2021 and built a presence in over 15 countries including the United States and Nigeria, its biggest market. He claimed over 50 businesses in Computer Village are currently registered on the platform. Though devices listed on Eze are priced in dollars, Eze offers currency conversion: buyers can pay in their local currency including naira while sellers are paid in their settlement currency. Nzewi added that Eze has a fintech subsidiary currently available in the United States, Eze Capital designed to help businesses in the smartphone wholesale business scale their operations. What’s different with Eze? Buying second-hand electronics is tricky considering the risk of getting sold substandard or fake products. To overcome consumers’ trust issues, Eze operates a grading process to confirm that all gadgets up for sale are in good condition and genuine, according to Nzewi. “We vet all the devices and test them before they are shipped to the buyers. For every transaction, we safely hold the funds in escrow until the buyer confirms the delivery. We also do a rigorous check on all sellers on our platform to ensure that they are legitimate,” he said. Nzewi added that there’s a standard 30-day warranty on the products and a return policy for customers in situations where gadgets get damaged in transit. The company partners with FedEx for logistics in the U.S., Europe, and Southeast Asia while using third-party logistics services across its Latin American and African markets. Though Eze is a B2B marketplace, Nzewi said the company has the consumers in mind. According to Counterpoint Research’s Global Refurb Smartphone Tracker, refurbished smartphone sales grew 5% globally in 2022, with Apple gaining 49% of the second-hand market. “We know that the people that these retail stores are selling to are the consumers. And so if we can reduce the costs as much for the retail stores, and we can improve the quality as much of the retail stores, the end consumers are the ones that benefit at the end of the day,” he said. Expanding operations In June, the YC-backed startup raised $3.7 million in an oversubscribed seed round with backers such as Y Combinator, Right Side Capital, C2 Ventures, Boro Capital, EVPI Investments, Itochu, Jack Greco, and other angel investors. Nzewi told TechCabal that much of the funding has gone to getting new hires and expanding the company’s sales operations. “And then we’re also looking to set up a second facility, although we’re not sure of the location yet,” he added. According to the International Data Corporation (IDC), shipments of used smartphones will reach a market value of $99 billion by 2026, Eze is betting that it will take advantage of this projected growth by adding new products and creating fresh partnerships with shipping companies to improve sales on its platform, according to Nzewi.
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- August 2 2023
Entering Tech #36: How Web3Bridge is training African devs
And how you can be a Web3 and blockchain developer for free! 02 || August || 2023 View in Browser Brought to you by Issue #36 Communities: Web3Bridge is training African devs Share this newsletter Greetings ET people If you’re looking to dive into the exciting world of Web3 development, this edition is for you. Today, we’re discussing Web3Bridge, a mentorship and training community created to bring together individuals who want to master the art of Web3 development. This is for the ones who want to unlock the potential of blockchain, decentralized applications, and smart contracts to build a future that’s more secure, transparent, and decentralized. So, whether you’re a seasoned developer or just taking your first steps into the Web3 realm, today’s edition will provide you with the info on Web3Bridge so you can go on to fuel your growth and progress. Here’s to coding the future of the decentralized world. by Pamela Tetteh and Timi Odueso. Tech trivia Some tech trivia to get the brain juices flowing. How many Web3 apps exist presently? What is Web3Bridge? On October 10th, 2019, after a global Ethereum Devcon conference, one of the co-founders of Ethereum Foundation announced that Ethereum needed a million developers. After seeing the tweet, Ayodeji Awosika, the founder of Web3Bridge, saw the opportunity to train blockchain developers because he believed Nigeria and Africa had enough intellectual and human capital to supply that number of developers. And so Web3Bridge was built. A Web3Bridge Cohort in 2022 The programme is a mentorship and training community established in 2019 to train blockchain developers in Africa. Web3Bridge aims to develop a sustainable Web3 economy in Africa through remote and onsite development training, supporting developers and startups, and lowering barriers to entry in the Web3 ecosystem. Since its establishment, it has successfully trained over 880 students on Web3 technology, specifically how to use EVM-compatible languages like Solidity to create decentralised applications on the blockchain. Its graduates have gone on to work for notable blockchain companies like Polygon, Nestcoin, Nahmii, Aavegotchi, Nethermind and Consensys. The programme is bridging the gap between skills and industry demands. Web3Bridge believes that Africa can contribute to the digital revolution that Web3 presents, and they’re contributing to that vision by training the next wave of blockchain developers on the continent. Web3Bridge is committed to helping these blockchain engineers launch their careers and become founders within the blockchain industry. How does Web3Bridge work? Blockchain engineers/developers, frontend engineers 3,500 Nil. Absolutely free Telegram Web3Bridge offers three unique pathways to people seeking career opportunities in the industry. These pathways are offered to aspirants of different skill sets and technical experiences. The first two pathways are free of charge, while the third is a premium programme for paying participants. A. Web3 Cohort: The programme introduces the students to blockchain technology and programming in EVM-compatible languages like Solidity. At the end of the programme, trainees will understand blockchain fundamentals, smart contract creation and blockchain programming. Duration: 16 weeks Target Audience: Web2 experts seeking Web3 knowledge Mode of Delivery: In-Person (Lagos, Nigeria) & Virtual Pricing: Free A Web3 Cohort in 2022 B. Web2 Cohort: Web2 Cohort is a fully remote training program for people looking to break into the web development space. This free programme introduces the students to HTML, CSS, JavaScript and React.js. Duration: 16 weeks Target Audience: Tech newbies and non-wen programmers Mode of Delivery: Virtual Pricing: Free C. Masterclasses: The masterclass is strictly for Web3 professionals looking to upskill as the industry evolves and grows. The training will expose the participants to new and emerging technologies within the space. The masterclass is designed to help the students familiarise themselves with new skills to advance in the blockchain industry. The training curriculum is constantly evolving to accommodate the advances in Web3 technology. Duration: 6 weeks Target Audience: Web3 professionals and Web3Bridge’s alumni Mode of Delivery: In-Person & Virtual Pricing: Paid What people say about Web3Bridge Speaking of community, here’s what a few developers who have passed throgh Web3Bridge have to say: Want to learn more about Web3Bridge? Follow the community on Twitter @Web3Bridge. You can also email the team at support@web3bridge.com. Join Web3Bridge on Telegram Attend The Web3 Lagos Conference Web3 Lagos Conference is a 3-day physical and virtual event comprising of the hackathon, workshops, networking, career fair and panel sessions. The Conference will hold between August 31 and September 2, 2023, at The Zone, Gbagada, Lagos State. The Web3Lagos conference is powered by Web3Bridge in Conjunction with Ayagigs. Register for free at event.web3bridge.com Ask a techie Q. What advice would you give to someone who wants to start a career in blockchain development, and how can Web3Bridge help them achieve their goals? Our advice to anyone interested in starting a career in blockchain development is that the best time to start is now! Learning blockchain development, like any other skill, requires time, commitment and sacrifice so anyone who wants to venture into the space should make up their mind to give it what it takes. Web3bridge runs two cohorts in a year and we are open to working with anyone with interest. The community is also open to supporting everyone that is interested and needs help while learning. That’s all we can take this week. Have any questions about working in tech? Ask away and we’ll find answers for you. Ask a question Here’s where to find your first tech job If you’re interested in kicking off your career in tech, here’s a list of job boards that regularly upload their platform with African tech jobs. The TechCabal Job Board The Fuzu Job Board Plenty Tech Jobs Kaleta Job Consultancy Careers in Africa Remote Africa AOJ: Africa on Jobs Tech trivia answers Already, there are over 14,300 Web3 apps globally. Opportunities The Kenyan Revenue Authority (KRA) is open for applications from undergraduates and diploma students for its three-month long Industrial Attachment Programme (This comes with a Ksh.7,000 monthly stipend). Apply by August 6. The Thomson Foundation Young Journalists Award 2023 is open
Read More- August 2 2023
SA’s national ID one of the most targeted by fraud attempts, according to report
South Africa’s national ID has seen more fraud attempts compared to other IDs on the continent, according to a report by Smile Identity. According to Smile Identity’s H1 2023 State of KYC in Africa report, South Africa’s national ID is one of the most targeted by fraud attempts on the continent. In the first half of 2023, the national IDs of Kenya, Nigeria, and South Africa were the three most frequently targeted types of IDs for fraud relative to other forms of identification across Africa. Specifically, in these three countries, national ID cards experienced a higher fraud rate than any other form of ID during the first half of 2023. The report states that scammers frequently attempt to use forged or stolen national IDs to gain fraudulent access to regulated services. The majority of fraud attempts comprise one of the following three formats; selfie spoofs, face mismatches, and fraudulent IDs. In a selfie spoof, scammers with stolen IDs attempt to pass themselves off as the owners of the documents by using a photo to impersonate someone else. This can include using a picture of a printout, a saved image or video from a device, a printed face mask, or even a lifesize cardboard cutout. In a face mismatch, a valid ID number is provided, but facial biometrics do not match the ID while in the case of fraudulent IDs, these could be counterfeit IDs, unacceptable ID types, tampered documents, expired IDs or times when an actual ID card was not provided. Of the three, in South Africa, selfie spoofs were the most common form of ID fraud, followed by face mismatches and fraudulent IDs. However, despite leading the national ID fraud trend, overall, fraud rates in South Africa dropped from 17% to 8% in the period between January 2023 and June 2023. The figures make South Africa the lowest-ranking country for onboarding fraud and the only country with a single-digit percentage of fraud attempts. In February 2023, South Africa’s ministry of home affairs announced a new National Identification and Registration Bill that aims to introduce a single, integrated biometric national identification system for all persons living in South Africa. Currently, South Africa has three independent databases for people: the national population register, the biometric national identity system, and the visa adjudication system. The newly proposed integrated database will homogenise all three databases and contain the identity information of everyone resident in South Africa, including citizens, legal residents, and visitors. In addition to the integrated database, the new bill proposes reducing the legal age for obtaining a national ID card from 16 to 10 years.
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