👨🏿🚀TechCabal Daily – Zero to $10 billion
In partnership with Lire en Français اقرأ هذا باللغة العربية TGIF! WhatsApp is offering some respite to people who cannot stand long voice notes. The social media company announced yesterday that it is rolling out voice message transcripts. To access the new feature, select the “Chats” section in your WhatsApp settings and then tap “Voice Message Transcripts.” Once you’ve set it up, you can get a transcript for a voice message by long-pressing it and tapping the “Transcribe” option. It will not automatically transcribe every message. What’s more, you can select your transcript language from the languages supported by your phone. How cool is that? Inside Jiji’s playbook for gaining market dominance Inside Nigeria’s tech ecosystem expansion Kenya cancels $2.6 billion Adani deals after US indictment Funding Tracker World Wide Web 3 Jobs E-commerce Inside Jiji’s playbook for gaining market dominance Image source: TechCabal If you ask an American to sell something fast, they’ll list the item on eBay. For many Nigerians, that option is Jiji. The marketplace, which allows users to buy and sell across 16 different categories, has over 6 million listings with at least 21 million users monthly, according to its CEO and co-founder Anton Volianskyi. Before Jiji became the top choice for quick sales, it was the media-scorned child of the e-commerce sector for the longest time, especially during the heightened face-off between Konga and Jumia in 2020. Its uphill climb could be because it launched two years behind e-commerce behemoths like Jumia and Konga, but most users avoided Jiji for its fake listings and scams. Now, 10 years later, Jiji has beaten its competitors, including Naspers-owned OLX which it acquired in 2019. In an interview with TechCabal, Volianskyi discussed how the company scaled to success through acquisitions and cost-effective marketing. To deal with the fraud, it invested heavily in rigorous ad moderation, an anti-scam system that uses AI technology and human moderation to detect and remove fraudulent listings and verified badges for sellers. Reducing fraud was just step one for a company that at the time, its reputation preceded it. While the media’s focus was still on Konga and Jumia, Volianskyi and his team went on to gain market dominance in Nigeria and soon started to gun for regional dominance in Africa. Find out what the media missed in Jiji’s climb to e-commerce success. Read Moniepoint’s Case Study on Funding Women After losing their mother, Azeezat and her siblings struggled to keep Olaiya Foods afloat. Now, with Moniepoint, they’re transforming Nigeria’s local buka scene. Click here for a deep dive into how Moniepoint is helping her and other women entrepreneurs overcome their funding challenges. Startups Inside Nigeria’s tech ecosystem expansion Image Source: TechCabal On Thursday, TechCabal published a report by TLP Advisory, a Nigerian venture law firm, that generated significant online discourse. Per the report, 49% of Nigerian startups—venture companies that have raised one form of funding or another—founded within the last ten years make less than ₦10 million ($6,000) in annual revenue. It’s critical to note, however, that two-thirds of these startups were founded between 2019–2023. Online reactions that trailed the story argued the report’s methodology and veracity. “This is very hard to believe. Less than ₦10 million? It’s hard to believe,” wrote one user on X. This captured most of the reactions to this report. Yet, while many startups are focused on rapid growth, it’s important to consider that sustainable profitability, even with lower yields, can be more valuable than high-revenue models with excessive spending. Running a tight ship in the Nigerian market is challenging. Think the lack of growth capital, currency devaluation, macros, government policies, customer erratic behaviour, talent churn, and sometimes, simply neglect. Businesses that prioritise lower cash burn and cut costs could be winners. Yet, can Nigerian startups outcut the macros? The report also showed that half of the startups without partnerships or collaborations struggled with profitability. Partnerships and mergers and acquisitions (M&As) are another crucial aspect of Nigeria’s startup market. They are signs of a maturing tech ecosystem. One recent example is OmniRetail acquiring Traction Apps, a Nigerian payments provider. What started as a partnership became a deal that could help both companies grow. This has been received positively, showing the country’s readiness for this kind of maturity. In Nigeria, there have been 26 local M&As (with one pending) since 2019. With more partnerships, the country’s tech ecosystem can unlock more growth opportunities. Get Fincra’s Embedded Finance and BaaS Report 2024 for FREE Fincra in collaboration with The Paypers have released the Embedded Finance and Banking-as-a-Service Report 2024. This report examines the key challenges and innovative solutions defining the future of seamless cross-border payments and remittances across the continent, among other topics, with key experts. Get this valuable, free resource today! Economy Kenya cancels $2.6 billion Adani deals after US indictment Image Source: Google Opposition groups to Adani’s airport and power transmission deal in Kenya can finally have some respite. On Thursday, US prosecutors charged Gautam Adani, chairman of the Adani group, with helping drive a $250 million bribery scheme. The indictment left President Ruto with no choice but to scrap plans to award the Adani group a $2.6 billion power and airport project. Both projects—especially the airport project—have been strongly opposed in Kenya. Critics claim they were unaffordable, threatened job losses, and offered no value for money to the taxpayer. The airport project, for example, which will see Adani manage Nairobi’s biggest airport, JKIA, came with a controversial 30-year clause that stops Kenya from building or expanding other competing airports for 30 years. Aviation workers at the JKIA airport began a strike in September over that proposal, protesting the deal and disrupting flights. The Kenyan Human Rights Commission (KHRC) and the Law Society of Kenya (LSK) also filed a suit at a Kenyan high court, arguing that the 30-year concession was irrational. In its defence, the Kenyan government believed the deal was the best option to expand JKIA amid a starved development budget. Gautam Adani’s indictment and
Read MoreFrom zero to $10 billion annual transactions: How Jiji became one of Nigeria’s e-commerce leaders
When Jiji launched in 2014, it entered a competitive e-commerce market in Nigeria, joining the likes of Konga, Jumia, and OLX, which had a two-year head start. But Jiji soon positioned itself as a serious market player. It started by offering free listings for first-time users and partnered with phone manufacturers to ensure its app came preinstalled on affordable smartphones. In 2016, it inked a partnership with Airtel allowing users to access the platform without using mobile data. Jiji’s ambitions grew beyond Nigeria. In 2019, it acquired OLX Africa and took over its operations in Nigeria, Kenya, Ghana, Uganda, and Tanzania. This move helped JIji reach 300 million people across five countries, firmly establishing the company as a major online marketplace in Africa’s e-commerce space with a string of strategic acquisitions. In 2021, Jiji acquired Cars45, a platform that buys, sells, and trades used cars in Nigeria, Kenya, and Ghana. In 2022, the company acquired Tonaton, its main competitor in Ghana. TechCabal spoke to Anton Volianskyi, Jiji’s co-founder and CEO about the company’s journey and the challenges of scaling in different markets. This interview has been edited for length and clarity. TC: What problem did Jiji aim to solve in Nigeria’s e-commerce market, and how did this shape the platform’s early offerings? We identified a need for a platform where people could connect directly to buy and sell everything, from products to services. At the time, the market faced pressing issues around accessibility, affordability, and trust, with scams creating distrust in online transactions. To address this, we built Jiji to minimise the risks by facilitating direct transactions with no intermediaries. Our early offerings were shaped with this mission in mind: free listings, rigorous ad moderation, an AI-based security system, and an integrated chat feature enabling users to interact directly with sellers, all of which enhanced safety and user confidence on the platform. TC: What strategies and localised features contributed to Jiji’s growth and user adoption in Nigeria? We introduced free listings for first-time sellers, localised content in languages like Hausa, and search filters tailored to Nigerian shopping habits. Partnering with phone manufacturers, we partnered with phone manufacturers to provide affordable Android phones preinstalled with the Jiji app, eliminating the need for downloads. Optimised for low-data usage, Jiji ensures accessibility for users across diverse demographics. TC: What key challenges did Jiji face while scaling, and what measures were taken to overcome them? One of the major issues was preventing scams on the platform. To address this, we invested heavily in AI-driven tools that detect and prevent fraudulent activity, instantly blocking suspicious users. Another challenge was stiff competition from global players like Ringier and OLX (Naspers) who had huge budgets. Unlike our competitors, we focused on cost-effective performance marketing and meticulously analysed the return on every dollar spent. This approach enabled us to compete favourably and helped us achieve market leadership while staying financially agile. The COVID-19 pandemic also presented unforeseen hurdles. We had to rapidly reorganise our business to adapt to new market demands. Although the first quarter was challenging, the surge in online trading during the pandemic eventually sped up our growth. Finally, the naira devaluation had us rethinking and restructuring our financial strategy to align with new economic realities. Our commitment to cost-efficiency helped us avoid large-scale layoffs, further making Jiji a resilient and resourceful market leader. TC: With the acquisitions of Cars45 and Tonaton, how has Jiji integrated these businesses and what unique value have they added to the platform? Cars45 and Tonaton have complemented Jiji’s growth and diversified our offerings. For instance, Cars45 has helped simplify automotive transactions. For our buying customers, they can browse a wide selection of vehicles, access detailed inspection reports covering over 200 checkpoints, and schedule physical inspections. For selling customers, we can now provide a platform that offers insights into potential selling prices backed by over 8 years of market data. Sellers can book appointments at any of our 70+ experience centres for quick, efficient inspections and sales. Dealers benefit from an online onboarding process, complete with free product training. Tonaton, on the other hand, has reinforced our foothold in Ghana, helped to expand our user base and consolidated our market position. With Tonaton and Cars45 under Jiji’s umbrella, we are getting closer to becoming a regional leader in classifieds. These acquisitions have enriched our marketplace by providing niche expertise and extending our service range. TC: How does Jiji ensure operational efficiency across logistics, payments, and customer support in its various markets? We achieve operational efficiency at Jiji by leveraging technology and a customer-led approach. While Jiji doesn’t handle logistics or payment services directly, we empower buyers and sellers to connect and manage transactions independently. This way, we ensure a flexible and user-driven marketplace experience for our users. We also have a customer support system, which includes managers who are just a call away, an AI chatbot system, and a support team ready to assist both buyers and sellers across our markets. TC: How is Jiji’s platform monetised across different regions, and have recent acquisitions and job listings diversified its revenue streams? Jiji has a couple of revenue streams that support our growth across markets. Primarily, sellers pay for Premium Services, which allow them to have more listings and reach more clients, resulting in more leads and sales. We also tap into additional digital advertising income by generating ad revenue from Google through banner ads. Recent acquisitions, such as Cars45, have diversified Jiji’s revenue streams even further. Through Cars45, we facilitate verified car sales and optimise our automotive offerings while adding another revenue channel. TC: What systems and processes are in place to maintain quality control and ensure a safe experience for users? We prioritise quality control and user safety. We have moderation teams localised across our markets. They review ads and ensure compliance with our policies, and those of our host countries. Additionally, through our security systems, our AI-driven algorithms detect and flag suspicious activity on the platform, automatically blocking
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👨🏿🚀TechCabal Daily – Magnificent 5
In partnership with Lire en Français اقرأ هذا باللغة العربية Happy pre-TGIF! Big Cabal Media just turned 10. It’s been a decade of redefining storytelling, shaping conversations that drive meaningful change, and spotlighting African innovation and culture across tech, business, and youth. Our CEO, Tomiwa Aladekomo, reflects on the journey, the milestones, and what’s next for BCM. Read Tomiwa’s full note here. The ‘Big 5’ take the lead in most private deal inflows to Africa Nigeria expected to raise interest rates Yellow Card secures crypto licence in South Africa World Wide Web 3 Events Funding The ‘Big 5’ take the lead in most private deal inflows to Africa Image source: Zikoko Memes When you think of startup funding in Africa, you think of the Big 4 —South Africa, Egypt, Nigeria, and Kenya. These were countries where all the private capital flowed into. Think private equity, debt, venture capital deals, and mergers and acquisitions (M&As). The Big 4 raised at least 80% of all the continent’s capital since 2021. Slowly, another West African country has risen through the ranks. In 2024, Ghana has solidified its position as a new entrant in Africa’s “Big 5” private capital destinations. Startups like Fido, Kofa, and Complete Farmer have driven this growth, raising a combined $45 million in the third quarter of the year. Beyond startup activity, Ghana has attracted interest in private equity and debt financing, with notable deals in renewable energy and agribusiness. The country’s consistent focus on policy reforms and financial sector innovation has made it an attractive destination for broader private capital opportunities. M&A activity has also increased, particularly in consumer goods and logistics, as businesses expand regional operations. There were 73 private capital deals in Africa in Q3 2024, according to a report by Stears. Thirty-nine of these deals were worth $2.27 billion. The Big 5 claimed 85% of those deals, reinforcing their dominance. Financial services led the pack, accounting for 33% of investments, while consumer services followed at 19%. Notably, 90% of consumer goods investments targeted e-commerce, a promising sign for Africa’s digital trade growth. Yet, that’s not all. Rwanda, another tech ecosystem upstart continues to quietly grow. The East African country saw more private capital deals (15%) in Q3 2024 than Ghana (12%). Could there be a Big 6 soon? With Rwanda’s emergence, it’s hard to bet against it. Read Moniepoint’s Case Study on Funding Women After losing their mother, Azeezat and her siblings struggled to keep Olaiya Foods afloat. Now, with Moniepoint, they’re transforming Nigeria’s local buka scene. Click here for a deep dive into how Moniepoint is helping her and other women entrepreneurs overcome their funding challenges. Economy Nigeria expected to raise interest rates at next MPC meeting Image Source: TechCabal Nigeria’s Central Bank is expected to raise interest rates on November 26 at its next Monetary Policy Committee (MPC) meeting. The MPC raised the interest rates five times this year to fight the country’s inflation rate. Nigeria’s headline inflation quickened to 33.8% in October after a hike in fuel prices and floods in food-producing areas affected consumer prices. Analysts predict that the unrelenting inflation may cause the MPC to nudge interest rates up by 25–100 basis points. The Central Bank governor, Olayemi Cardoso, said at the last MPC meeting that the regulator was committed to taming inflation and attracting foreign investment by implementing a positive real interest rate. While the governor has opted to continuously raise interest rates to tame inflation, analysts suggest that there might be a need for complementary fiscal measures. “In the long run, I don’t think continuous hiking will tame inflation significantly. There are other areas we should look at as a nation and economy to manage our inflation,” one analyst told me. Banks will be the biggest beneficiaries if the CBN raises interest rates. Four of Nigeria’s largest banks by market cap—Guaranty Trust Holding Co., Zenith Bank Plc, United Bank for Africa Plc, and FBN Holdings Plc—all reported that net interest income had more than doubled since the last time the CBN raised rates. Get Fincra’s Embedded Finance and BaaS Report 2024 for FREE Fincra in collaboration with The Paypers have released the Embedded Finance and Banking-as-a-Service Report 2024. This report examines the key challenges and innovative solutions defining the future of seamless cross-border payments and remittances across the continent, among other topics, with key experts. Get this valuable, free resource today! Startups Yellow Card secures crypto licence in South Africa Image Source: Semafor One month after it raised $33 million from investors, Yellow Card, the stablecoin infrastructure company, has secured a crypto licence in South Africa. The licence will allow Yellow Card to offer financial services related to crypto assets that are not regarded as legal tender in South Africa. Yellow Card joins over 138 other companies with crypto licences in South Africa as the country softens its stance on cryptocurrency after $26 billion flowed through crypto between June 2023 and 2024. Yellow Card launched in South Africa in 2020 and operates as a payment rail across 20 African countries. The company enables users to send money using stablecoins pegged to the dollar. The startup does not charge transaction fees but makes money from FX spread during transactions. Since its inception in 2016, it claims to have facilitated over$3 billion in transactions. While getting a licence is good news for Yellow Card, it may need to brace up for a stricter regulatory environment. The Financial Intelligence Centre (FIC), the country’s anti-money laundering regulator now mandates crypto platforms to verify the identities of both senders and recipients in cryptocurrency transactions. This is part of efforts to fight money laundering and terrorist financing since South Africa is on the FATF Greylist. South African regulators may have welcomed crypto with open arms, but the scepticism on crypto remains. Introducing Paystack transfers in Kenya Paystack merchants in Kenya can now send single and bulk transfers to any Kenyan bank or MPESA account (including customer wallets, Paybills, and Tills) Learn more → CRYPTO
Read More49% of Nigerian startups founded in the last 10 years make less than ₦10 million in revenue
Nearly half of venture-backed Nigerian startups founded within the last ten years make less than ₦10 million ($6,000) in annual revenues, according to a new report by TLP Advisory, a venture capital law firm. 49% of startups surveyed in the report generate less than ₦10 million a year, while only 15% generate above ₦250 million ($149,000) annually. These startups attributed their financial struggles to the lack of sufficient capital which slows their ability to grow and expand, limited market reach due to poor marketing, lack of clear regulatory policies, and their revenue models needing revamp. 16% of them say they have not grown in the last decade and 8% say they’re unsure if they’re growing at all. “One thing you learn as a founder in Africa is the resilience and grit that’s required, because the market moves crazy, and you need to be crazier than it in some way,” said Ifeoluwa Dare-Johnson, CEO of health-tech startup, Healthtracka. Raising capital is a challenge for most Nigerian startups, with 30% of the startups stating that it took them at least four years to secure their first funding. Founders cited stress, complex processes, and lack of information and access to investors as reasons why they’ve been unable to raise capital. 11% of the founders surveyed who started their companies in 2024 said they did not require external capital—funding their operations through personal savings or alternative forms of financing. Other founders said the high interest rates have deterred them from seeking funding opportunities with venture capital (VC) firms. “People who raised money in US dollars, who are earning in Naira, and who have to report to investors who invested in US dollars, need to be doing almost three times more work and earning three times more income because the currency has devalued by more than 70%,” said Femi Longe, co-founder and non-executive director of Nigeria-based accelerator, CcHub. Yet, there are signs that founders are adjusting to the whole process of raising capital, as nearly one-third of them raised money to run their startups during their first year. Beyond VC funding, alternative funding sources have played a role in driving growth for Nigerian startups. Angel investors (including family and friends) have been the most significant contributors, supporting 43% of startups, while 18% have turned to debt financing, and 15% have relied on grants to lift off. Talent churn, another problem particularly common in marketing departments which has led to inadequate marketing activities, has stalled visibility and growth for these startups. This could be due to the lack of any identifiable company culture as they struggle to retain talent. 20% of these Nigerian startups admitted to not having any identifiable company culture. The flying remote work culture and the transferability of tech skills into different roles and industries have made job-hopping easier. Companies without a strong culture that prioritise employee welfare, stability, job engagement and satisfaction, as well as offer no clear route to career advancement, will bear the brunt of talent loss. “Culture is what your company rewards and what your company punishes. So, the kind of behaviours that get you promotions and bonuses are the behaviours that, over time, get embedded into the company culture,” said Tomiwa Aladekomo, CEO of Big Cabal Media. Founders also highlighted the regulatory environment of Nigeria as one of the barriers to business growth. Taxes, compliance requirements, and licencing processes are particularly challenging for these businesses. Yet, founders hope that things will change soon, with some calling for stronger collaboration with policymakers under the Nigerian Startup Act, aimed at simplifying regulations and supporting innovation. “It’s still day zero because if you look at our trajectory against other markets like India and Latin America, they’re probably 10-15 years out so it’s still a journey to go,” said Olumide Soyombo, founder of Voltron Capital.
Read MoreKCB Group grows profits by 49% as total assets hit $15.4 billion
KCB Group, Kenya’s biggest bank, grew its profits by 49% in the first nine months of 2024, driven by income growth. It reported KES 45.8 billion ($354 million) in profits compared to KES 30.7 billion ($238 million) in the same period last year. Its revenue also jumped by 22% to KES 142.9 billion ($1.1 billion), including contributions from both lending and non-lending activities such as foreign exchange income and transaction fees. The bank’s total assets—including cash, loans, investments, and property—also grew to KES 2.0 trillion ($15.4 billion), led by customer deposits of KES 1.5 trillion ($11.5 billion). Net loans and advances rose to KES 1.1 trillion ($8.5 billion) following a sharp rise in retail sector lending. KCB’s ability to grow deposits and loans at this scale shows strong customer confidence and operational capacity amid currency volatility that pressures foreign-denominated loans, one banking executive told TechCabal. KCB’s subsidiaries outside Kenya accounted for 36.6% of profits and 34% of total assets, KCB said in its financial report, indicating a shift toward regional markets. The performance of Trust Merchant Bank in the Democratic Republic of Congo—a lender KCB Group acquired in December 2022—shows the impact of geographic diversification, though it also brings exposure to markets with varying economic and political conditions. Bad loans rose to KES 215.3 billion ($1.67 billion). Provisions for these non-performing loans (NPLs) increased by 12.2%, but high NPLs show ongoing problems in sectors like real estate and manufacturing. Fixing these bad loans remains problematic, the bank said. Shareholders saw better returns, with return on equity growing to 25.6% from 19.6% last year. Shareholders’ funds grew to KES 249 billion ($1.9 billion). The bank’s capital remains strong, well above regulatory limits at KES 10 billion, but one subsidiary—the National Bank of Kenya (NBK)—has not met this standard. In October 2024, Access Bank received approval from the Competition Authority of Kenya (CAK) to acquire NBK in a deal thought to be worth $100 million.
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The Big 5 economies are shaping Africa’s private capital future, says Stears report
Private capital investment in Africa is a key driver of economic growth, with significant potential to transform businesses and sectors across the continent. However, this growth is not evenly spread. In Q3 2024, five countries—South Africa, Kenya, Nigeria, Ghana, and Egypt— emerged as the primary hubs for private capital, according to a new Stears report. These ‘Big 5’ economies alone accounted for 85% of all private capital deals, highlighting their dominant role in shaping the region’s investment landscape. The dominance of the Big 5 economies is no accident as they offer conducive environments for investment, more stable economic conditions, and policies that promote business growth. For example, Nigeria’s recent strides in fintech regulations and Kenya’s robust mobile money ecosystem are two factors that have attracted international venture capital. Technology is a crucial area of private capital investment, and the Big 5 countries are again at the forefront. For instance, in Q3 2024, Terrapay raised $95 million in debt financing to expand its remittance operations across Africa, demonstrating the appeal of these economies for tech-focused investment. With well-developed ecosystems that foster innovation, these countries continue to attract significant technology-driven capital. In Q3 2024, 73 private market deals were recorded across Africa, with 39 deals disclosing a combined value of $2.27 billion. Most private capital activity was concentrated in Southern, East, and West Africa, with Southern Africa leading at 45%, followed closely by East Africa at 41%. West Africa accounted for 33% of the deals, while Central Africa lagged with only 8% of total transactions. Sector-wise, financial services led the pack, contributing 33% of all private capital deals. Consumer goods followed closely, accounting for 19% of deals, with e-commerce making up 27% of that category as trade and commerce expanded across Africa. In contrast, the technology sector, while still growing, ranked fifth behind agriculture and energy, though 90% of tech deals were equity-based, signalling strong investor confidence in Africa’s tech future. While the Big 5 dominate private capital flows, smaller economies are also seeing growth despite facing different challenges. Deals outside the Big 5 rely more on debt financing, accounting for 28% of transactions, compared to 18% in the Big 5. The agricultural sector, for instance, remains highly localised, with 91% of its deals confined to a single country. However, the energy sector saw more activity in non-Big 5 countries, with renewable energy projects attracting significant investment, driven by the need to address energy shortages and spur economic growth. By improving policy frameworks, fostering stronger financial ecosystems, and addressing infrastructure deficits, smaller African economies position themselves as viable alternatives for private capital. The future of Africa’s investment climate will be shaped by both the pace set by the Big 5 and the emerging opportunities across the continent.
Read MoreYellow Card secures crypto licence in South Africa
Yellow Card, a pan-African stablecoin infrastructure company that raised $33 million in October, has secured a Crypto Asset Service Provider (CASP) licence in South Africa, a significant step in its regional expansion. This comes as South Africa continues to relax its regulatory stance on cryptocurrency in 2024, with over 138 companies now licensed to operate within the country’s regulated crypto ecosystem. “The CASP license … reflects our dedication to providing secure, compliant, and transformative solutions for our customers both in South Africa and across Africa,” Chris Maurice, Yellow Card’s co-founder and CEO, said in a statement. Yellow Card, which entered South Africa in 2020, operates in 20 African countries, allowing users to use stablecoins to send money across these countries. The startup claims to have facilitated over $3 billion in transactions since its inception in 2016. South African regulators began licensing providers of advisory services, exchanges, payment gateways, and wallets to bring oversight to the country’s growing crypto industry as the industry processed $26 billion in transactions between June 2023 and June 2024. This regulatory framework has enabled the South African government to tax crypto returns and reduce risks related to money laundering and terrorist financing. However, the FSCA’s authority is limited to licensing and overseeing Crypto Asset Service Providers (CASPs) for financial services involving crypto assets and does not equate to recognising crypto assets as legal tender or as “cryptocurrency.” The South African Reserve Bank also does not currently recognize crypto assets as currency. The earliest step in liberalising South Africa’s crypto regulatory landscape came in November 2018 when the South African Reserve Bank (SARB), in collaboration with the Financial Sector Conduct Authority (FSCA), South African Revenue Services (SARS), and the Financial Intelligence Centre (FIC), established the Crypto Assets Regulatory Working Group. In October 2022, the FSCA declared crypto assets as financial products, bringing them under its regulatory jurisdiction. This move paved the way for the FSCA to open applications for licenses in June 2023 and began the welcoming of crypto in South Africa.
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SASSA December payment dates & more for 2024
The South African Social Security Agency (SASSA) has announced its December 2024 payment dates and schedule for social grants. Beneficiaries, including older persons, those with disabilities, and children, can expect their December grants on scheduled dates, ensuring timely support during the festive season. December 2024 payment dates for all SASSA classes For the SASSA payment in December 2024, specific dates have been set for each grant category: Older Persons’ Grants: Payments for older persons will commence on Tuesday, 3 December 2024. This includes grants for the elderly and any linked grants for beneficiaries. Disability Grants: Recipients of disability grants will receive their funds starting on Wednesday, 4 December 2024. Children’s Grants: Payments for children’s grants, covering child support and care dependency, will be made on Thursday, 5 December 2024. These set dates for the SASSA payment December 2024 allow beneficiaries to plan accordingly, particularly with the holiday season approaching. Importance of the December SASSA payment The December SASSA payment plays a crucial role in supporting vulnerable groups during a period when expenses often increase. It ensures that beneficiaries have access to funds for essential needs, providing stability and security at the year’s end. Points to remember for December payments Timing: Each grant has a designated payment day, so beneficiaries should follow the schedule to avoid long waits or crowded collection points. Collection options: Beneficiaries can collect funds from their chosen bank accounts, ATMs, or designated retailers. For those collecting in person, it’s advisable to visit payment points early in the day. Contact information: For any queries related to the SASSA payment December 2024, beneficiaries can call SASSA’s toll-free number, 0800 60 10 11, or visit the official website at www.sassa.gov.za. With the SASSA December payments in place, recipients can prepare to collect their grants smoothly. SASSA remains committed to providing efficient service, ensuring every beneficiary receives their due support promptly.
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👨🏿🚀TechCabal Daily – JADA’s AI dream
In partnership with Lire en Français اقرأ هذا باللغة العربية Good morning! Imagine being able to sound just like yourself in a different language. Microsoft is introducing a new interpreter feature that allows real-time speech-to-speech translation during meetings on Microsoft Teams. So, here’s to more seamless global meetings! In other news, Google’s Gemini chatbot now has a memory. Like ChatGPT’s memory, Googlea’s Gemini chatbot can now remember information about your life, work, personal preferences, and those weird things you ask regularly. The feature is available only to Google One AI Premium $20-per-month subscribers. Google will release the feature soon in the Gemini app on iOS and Android. What do you think about this new feature? JADA launches talent hub for AI and data talents Big Kenyan firms are not tax-transparent South Africa’s fight against crypto money-laundering World Wide Web 3 Opportunities Startups JADA launches talent hub for AI and data talents Image source: FourthCanvas/ Olamide Fawole In August 2024, Google paid an undisclosed amount to hire the cofounders and other team members of personalised chatbot developer, Character. The acqui-hire continued what has been a war for AI talents across several global companies. While the tussle continues for talents that would build out future and present AI systems, African talents seem to be missing out on the fun. Global AI companies often relegate low-level tasks like data annotation and data cleaning to talents on the continent. Renowned Nigerian investor Olumide Soyombo and ex-Jumia Nigeria CEO, Massimiliano Spalazzi, want to change that narrative. Together, they have launched JADA, a data & analytics talent hub that will train and export AI talents to the rest of the world. Think of it like Andela for Data and AI talents. “We are betting big on an AI workforce out of Africa—one that can build for the world, starting here,” Olumide tells me during our hour-long chat in Lagos. JADA, which has started selection, its first cohort will select and train data professionals with at least two years of experience in data and analytics, machine learning and AI, or generative AI. “Our goal is to fill the data & AI talent gap by identifying and upskilling professionals who can be the right arm for businesses pursuing data and AI transformation,” says CEO Piero Trivellato, who brings over 10 years of experience in C-suite data & AI roles and management consulting at McKinsey & Co. Read more about JADA, its talent selection process, and its business model here. Read Moniepoint’s Case Study on Funding Women After losing their mother, Azeezat and her siblings struggled to keep Olaiya Foods afloat. Now, with Moniepoint, they’re transforming Nigeria’s local buka scene. Click here for a deep dive into how Moniepoint is helping her and other women entrepreneurs overcome their funding challenges. Regulation Kenyan firms fall short on tax transparency Image Source: Forbes Kenya-based multinationals and publicly-listed companies have come under fire for poor tax transparency, according to a new PricewaterhouseCoopers (PwC) report. The study looked at the tax disclosures of 10 top companies and found major gaps—none of them shared their tax strategies, transfer pricing practices, or how their tax policies connect to sustainability goals like ESG. The timing is key, as the Kenyan government, in recent weeks, has been pushing harder on tax policies to expand its tax base. Yet, the lack of transparency from the big companies could communicate a different message to taxpayers—one the government will be keen to avoid. PwC, a global consulting firm, urged Kenyan companies to follow frameworks like GRI 207 to improve accountability and help economic growth. While new rules like the 2023 Transfer Pricing Rules seek to prevent tax avoidance, enforcement is still a problem. For businesses, improving tax transparency is not just about following the rules—it’s also a chance to improve their reputation and support Kenya’s development. Without better transparency and following global best practices, Kenya risks losing trust in its tax system. Get Fincra’s Embedded Finance and BaaS Report 2024 for FREE Fincra in collaboration with The Paypers have released the Embedded Finance and Banking-as-a-Service Report 2024. This report examines the key challenges and innovative solutions defining the future of seamless cross-border payments and remittances across the continent, among other topics, with key experts. Get this valuable, free resource today! Cryptocurrency South Africa tightens crypto rules to fight money laundering Image Source: Google As more African countries move closer to regulating crypto, the next logical step would be to closely monitor transactions involving crypto assets that have previously blindsided these countries. South Africa issued the first set of crypto licences in April 2024 to 59 exchanges, including market leaders Luno and VALR. Now, the Financial Intelligence Centre (FIC), the country’s anti-money laundering regulator, has issued Directive 9, mandating that crypto platforms must verify the identities of both senders and recipients in cryptocurrency transactions. The directive aligns with the Financial Action Task Force’s (FATF) “travel rule,” a global standard aimed at combating money laundering and terrorist financing. Compliance is part of South Africa’s efforts to exit FATF’s greylist. Starting from April 30, 2025, FIC will introduce a tiered system—based on transaction value—to collect information on people and organisations that send and receive crypto. For transfers under R5,000 ($277), it has directed crypto platforms to record the names and wallet addresses of the sending and receiving parties. For crypto transactions that exceed this amount, the crypto exchanges must record and submit personal details of the senders and receivers, their account information, residential addresses, wallet addresses, and any valid means of identification used during KYC. Intermediary platforms that help crypto companies provide on-ramp and off-ramp services must also securely transmit and store this data to ensure money can be traced. South Africa is not acting alone on this. A few other countries, like Nigeria and Kenya, have previously shown interest in closely monitoring crypto transactions. South Africa, too, will tax crypto users. Crypto—dubbed the dark horse of financial assets—is notorious for being untraceable, so governments cannot monitor what happens in or out
Read MoreJADA, AI startup backed by ex-Jumia CEO, wants to bridge global talent gap
AI talents are in global demand. Yet, Africa has not fully capitalised on its potential to produce such AI professionals. Despite its youthful population, the continent is often relegated to low-level AI tasks like data annotation and labeling. JADA, a data & analytics talent hub focused on staff augmentation founded in 2024 by Massimiliano Spalazzi, former Jumia Nigeria CEO and Olumide Soyombo, wants to change that narrative. The startup has raised $1 million from Soyombo, co-founder of Bluechip Technologies and Voltron Capital, Spallazi, and other investors. “We are betting big on an AI workforce out of Africa—one that can build for the world, starting here,” says Soyombo, a founding partner at JADA. JADA’s pitch to clients is twofold: they can access a wider pool of talent in regions they might not typically recruit from without the liability of labor laws. The startup will select and train data professionals with at least two years of experience in data and analytics, machine learning and AI, or generative AI. JADA enters the market at a time of global AI talent shortages. According to Google’s Data & AI Trend Report 2024, 54% of digital leaders face a skills shortage in these areas. JADA, led by Piero Trivellato (CEO) and Azeez Busari (VP of Operations), aims to train over 100 professionals annually in different cohorts, each undergoing a 4-month training. During the program, trainees will receive stipends—although the firm declined to share the exact figure. “We are building an academy that is designed to select and develop world-class talent,” said Trivellato, who brings over 10 years of experience in C-suite data & AI roles and management consulting at McKinsey & Co. “Our goal is to fill the data & AI talent gap by identifying and upskilling professionals who can be the right arm for businesses pursuing data and AI transformation.” The startup, which operates from Lagos and has begun selecting its first cohort, claims that commercial considerations drove its decision to prioritize experienced data analysts and scientists. “Most clients complain that inexperienced candidates lack the skills to get the work done. But the way to scale is to find people who can deliver projects that generate significant cash flow that you can then invest back into a pipeline,” said Soyombo. To select candidates for each cohort, JADA follows an ultra-selective screening process using an AI-backed algorithm. Candidates are initially screened based on their profiles, followed by technical and non-technical assessments. The most promising candidates are invited to participate in case studies and live presentations. Finally, successful candidates undergo a culture-fit interview and a comprehensive background check. JADA’s revenue model is based on commissioned projects from clients and will primarily serve businesses in Europe and the Middle East. The company will compete with software outsourcing companies globally, especially those focusing on AI and data talents. like BairesDev and Tatvasoft. “We have a cost advantage, we have a language advantage, we have a geographical advantage, and we have a talent advantage,” said Spalazzi. The company is currently taking cohorts from Nigeria but plans to expand to fit the needs of its clients. “Our geographical expansion will also follow the footprint of the clients. We will make sure that we get to the language that they ask for,” said Trivellato.
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