- September 27 2023
New crucial updates for SASSA SRD payment dates
The SRD (Social Relief of Distress) payments for September 2023 began recently. In this article, we will provide you with all the essential information you need to know about these payments, including the processing dates, how to check your SASSA SRD payment status, and when you can expect the funds to hit your bank account. SASSA SRD payment processing dates September 2023 For applicants who have been approved for the month of September 2023, the payment processing window which opened on the 22nd of September 2023, will be closed on the 29th of September 2023. This means that during this period, the government will initiate the transfer of funds to eligible recipients and after that you may need to wait for the October cycle to get paid if you don’t get it this month. So you are advised to check your payment status as soon as possible. Checking your SASSA SRD payment status It’s crucial to stay informed about the status of your SRD payment. To do this, applicants are strongly encouraged to visit the SRD website during the payment processing week. By logging into your account on the website, you can find out the exact date when your payment is scheduled to reflect in your bank account. This feature ensures that you have real-time information about your payment status, giving you peace of mind during these challenging times. Payment arrival time Once the payment has been processed, clients should expect the funds to appear in their bank accounts within approximately 2-3 working days. It’s important to note that this processing time is standard and may vary slightly depending on your bank’s policies and procedures. Therefore, it’s advisable to keep an eye on your account and be patient if you don’t see the funds immediately. Summary The September 2023 COVID-19 SRD payments are to be processed between the 22nd and 29th of September. Staying informed about your payment status is as simple as visiting the SRD website during this period. Remember that it may take a couple of working days for the funds to show up in your bank account after processing.
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- September 27 2023
New news on SASSA relocation of specific offices
The South African Social Security Agency (SASSA) plays a crucial role in the distribution of social grants and support services to eligible citizens. In an effort to better serve its beneficiaries and streamline its operations, the SASSA Gauteng Regional (Provincial) and Johannesburg District Offices have undertaken the relocation of their offices to a new physical address. SASSA office relocation details Effective October 1, 2023, the SASSA Gauteng Regional and Johannesburg District Offices will be relocated to the following address: Second Floor 222 Smit Street, Braamfontein This move is aimed at providing a more accessible and efficient location for beneficiaries and stakeholders in the Gauteng region. Checking SRD SASSA Status Online Also, as payments are currently ongoing for approved beneficiaries of the grant program, concerned parties are urged to check their SRD (Social Relief of Distress) status online. Here are the steps to do so: 1. Access the SASSA website: Visit the official SASSA website at https://srd.sassa.gov.za/sc19/status 2. Provide required information: You will be prompted to enter specific information such as your ID number or application reference number. 3. Submit and check: After entering the necessary information, click “Submit”. 4. View status: The website will display the current status of your SRD application, whether it is approved, pending, or declined. 5. Additional assistance: If you encounter any issues or need further assistance, don’t hesitate to reach out to SASSA’s customer support channels. Summary The relocation of the South African Social Security Agency Gauteng Regional and Johannesburg District Offices to the Second Floor, 222 Smit Street, Braamfontein, effective from October 1, 2023, is a strategic move to improve service delivery in the Gauteng region. Additionally, the availability of online tools to check SRD status underscores SASSA’s dedication to providing accessible and efficient services to its beneficiaries. You may also need to learn how to change your SASSA banking details. Read this article specially prepared for you.
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- September 27 2023
Logistics startup Sendy appoints Peter Kahi of PKF Consulting as administrator
Sendy is now under administration to save its business. If this doesn’t work, the company may be forced to liquidate its assets. Yesterday, TechCabal exclusively reported that logistics firm Sendy was going into administration; at that time, it was unclear which company had been appointed as the administrator. But a document seen by this publication has shown that Peter Kahi of PKF Consulting (K) Limited is the administrator. Peter Kahi also served as administrator of the now-defunct Nakumatt supermarket in 2018 and Britania Foods Limited in 2021. “Notice is hereby given that Peter Kahi of PKF Consulting (K) Limited, Kalamu House, Grevillea Grove. Westlands and P 0 Box 14077-00800 Nairobi was appointed as the Administrator of Sendy Group of Companies,” read the notice. “Sendy Kenya Freight Limited (Under Administration) company number PVT-Q7UDVX5. Sendy Limited (Under Administration) company number CPR/2014/140428, Sendy Store Limited (Under Administration) company number PVT-PlUQRL9 and Sendy Kenya Marketplace Limited (Under Administration) company number PVT-MKUJX57 on 20 September 2023,” read the notice. Sendy is now under administration despite its efforts to stay find a buyer and after burning through $22 million in funding. The company faced significant setbacks, such as a 20% reduction in its workforce in 2022 and the discontinuation of its operations in Nigeria. During its most challenging period, Sendy’s monthly burn rate hit $1 million. Sendy had been actively exploring buyout options with potential companies like Sabi and Wasoko. However, an insider familiar with the negotiations revealed that these companies decided against acquiring Sendy, citing concerns about assuming the company’s existing liabilities. The administrator (PKF) has assumed control over the management of Sendy’s affairs, businesses, and properties. As a result, Sendy’s directors no longer have the authority to oversee these matters. Per the notice, any party holding a claim against Sendy must submit their claim in writing, along with the necessary supporting documents and proof of debt form, to the administrator by 19 October 2023 for review. This means that the administrator is acting as a representative of Sendy and is not personally liable for any contacts made in this capacity. Have you got your tickets to TechCabal’s Moonshot Conference? Click here to do so now!
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- September 27 2023
TechCabal Daily – Risevest rises up to the Cha-llenge
In partnership with Share this newsletter: Lire en Français اقرأ هذا باللغة العربية Eid Mubarak Spotify has a new Jam. Yesterday, it released a new feature—Jam—that allows users create listening sessions together and add songs to queues. It’s social media, but for music. With Jam, you now can share your questionable taste in music with your friends, and get feedback in real-time! In today’s edition Risevest acquires Chaka inDrive faces ban in Botswana Sendy goes into administration Kenya sanctions digital lender The World Wide Web3 Opportunities Acquisitions Risevest acquires Chaka Image Source: TechCabal Yesterday, after months of bargaining, Nigerian trading startup Risevest announced its acquisition of digital trading startup Chaka for an undisclosed sum. Chaka was founded in 2019 with the mission of helping Nigerians buy shares of publicly traded companies in Nigeria and the United States for as little as $2. Since then, it’s faced a couple of challenges including a ban from Nigeria’s Securities and Exchange Commission (SEC) in 2020. By 2021, however, it became the first trading startup to receive a digital sub-broker licence. Mutual benefits: Talks of acquisition began early in 2023 when a mutual investor in the two startups suggested the deal to Risevest co-founder Eke Urum. Informal talks began in March, and the deal was finalised in September. Urum and Chaka founder Tosin Osinbodu said they got along quickly and shared a similar vision for the future of fintech in Africa. The investors on both sides were also supportive of the deal. What’s changing? Both companies will continue to operate as separate products, but will collaborate on product development and marketing. The acquisition will give Risevest access to Chaka’s digital sub-broker licence, which will allow it to offer its users more investment products and services. The deal is expected to benefit both companies and their users. Risevest will be able to expand its product offerings and reach a wider audience, while Chaka will be able to leverage Risevest’s expertise in wealth management and financial education. Get a working card from Moniepoint With the Moniepoint personal banking app, you get reliable payments every time and a card that always works. Enjoy seamless payments powered by the infrastructure that 1.5 million businesses trust. Download the app. Mobility inDrive faces ban in Botswana Image source: Mmegi inDrive has found itself in a holdup. The company, yesterday, responded to calls for its ban in Botswana. A ban? Yup, local public transport operators want the e-hailing service banned. Earlier in the week, the Botswana Kombi and Taxi Association urged the Department of Road Transport and Safety (DRTS) to ban inDrive, citing concerns about the platform’s lack of necessary licences. This prompted the DRTS to launch an investigation into the matter. What licence? While traditional kombis and taxis in Botswana pay operating fees to the DRTS, inDrive has largely sidestepped these fees since most of its drivers use their private cars. This distinction places inDrive outside the regulatory purview of the DRTS, which primarily governs public transport. The taxi association argues that inDrive operators should be subject to the same regulations as taxis and kombis, which pay operating fees to the DRTS. What’s inDrive doing about this? Per Vincent Lilane, inDrive’s business development representative for Southern Africa, while inDrive has yet to officially receive the complaint from the DRTS, the company is actively collaborating with pertinent stakeholders to resolve the issues raised. The taxi association has also filed a complaint with the Botswana Police Service, seeking charges against inDrive drivers for alleged piracy, which refers to operating public transport services without proper licensing from the DRTS. inDrive has said it is actively collaborating with authorities, including the Botswana Police Service, to ensure clarity regarding their operations. Events Get early-bird tickets for the Moonshot Conference! Tickets are still selling out fast for the gathering of the most audacious players in Africa’s tech ecosystem. You and your friends can get an exclusive discount to secure your seats if you haven’t yet. Get your tickets today. Logistics Sendy goes into administration GIF Source: Zikoko Memes Kenyan logistics startup Sendy has entered into administration after talks for an acquisition fell to the ground. Administration?? By going into administration, Sendy—which is currently facing financial difficulty—is seeking protection from its creditors while it sorts out its future. What this means is that an independent person or firm will take control of the startup, investigate its finances, and make recommendations for a resolution. Sendy was considering a firesale in August after the company was reportedly burning $1 million per month. A $1 million burn rate? Rising fuel prices and Kenya’s election contributed to Sendy’s rise in operating costs. Many manufacturers who use Sendy’s service scaled down their production in the run-up to Kenya’s election, leading to reduced order volumes for the company. Continuous fuel hikes also meant that Sendy was making deliveries at a loss. Sendy’s road to administration: Sendy’s sad tale began after COVID pandemic. The sectors with Sendy’s clients—manufacturing and retail industries—were grossly affected by the travel and lockdown restrictions which affected Sendy’s revenue. The company began cutting costs and adjusting its business model to extend its runway. Sendy prioritised end-to-end fulfilment and stopped operations in Nigeria. On its Kenyan side, it laid off about 20% of its staff and announced plans for a pivot to connect online buyers with logistics providers. Zoom out: TechCabal reported in August that Wasoko and Sabi were likely buyers of Sendy, but acquisition talks broke down when both companies were unwilling to take on Sendy’s liabilities. The administration affords Sendy a chance to put its house in order and potentially find a new buyer in the process. Get a working card from Moniepoint FSDH Merchant Bank has partnered with the IFC (of the World Bank) and WEAV Capital for a female accelerator and investment readiness programme for female founders. Selected startups will partake in a world-class Investment Readiness Programme designed to support high-potential female-led tech companies to raise capital. The programme will end with a Pitch Day and a $10,000 non-equity
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- September 26 2023
New CBN governor faces an uphill task in tackling inflation
The Nigerian Senate has confirmed the nomination of Yemi Cardoso as the 11th governor of the country’s central bank. The new CBN governor is tasked with tackling record inflation and saving a battered currency. The Nigerian Senate on Tuesday confirmed Yemi Cardoso as the next governor of Nigeria’s Central Bank after an hours-long screening process. The accomplished banker succeeds Godwin Emefiele whose controversial policies called into question the CBN’s independence. Also confirmed were four deputy governors: Emem Nnana Usoro, Muhammad Sani Abdullahi Dattijo, Philip Ikeazor, and Bala M. Bello. While Cardoso’s political affiliations may be called into question, he is now tasked with tackling record inflation and saving a battered currency. Controlling inflation in a cash-strapped economy will be a major test for the new CBN governor. Since Emefiele’s reign, the Central Bank has struggled with controlling inflation which hit an 18-year high of 25.80% in August, driven by food prices. Cardoso is betting that evidence-based policies will make a difference. “We will revamp the infrastructure in the central bank with respect to data and to ensure that the data gathering capacity is significantly enhanced,” he told senators during the screening. Last week, the central bank postponed the Monetary Policy Committee (MPC) meeting to decide the nation’s interest rates—for the first time in eight years. Experts have predicted that the CBN will elect to raise interest rates from 18.75% to 20% in response to mounting inflation. Two months ago, the apex bank hiked interest rates by 25 basis points. Despite currency reforms by President Bola Tinubu notably the unification of the foreign exchange market, the naira fell to N1000 to a dollar on the parallel market on Tuesday. With a significant arbitrage in the FX market, the CBN governor already has work on his hands. The apex bank had failed to fulfill an earlier promise to clear the current FX backlog—estimated at $10 billion—in two weeks. The big question on the lips of many observers is how the new CBN governor hopes to tackle this. “We are aware there are unsettled obligations. Our immediate priority will be to verify the authenticity of the figure. And then of course, once we do that, we need to frankly find a way to take care of it,” Cardoso said in response to questions on how the new CBN leadership will address the FX backlog. He, however, didn’t provide additional details on the measures to be taken. Have you got your tickets to TechCabal’s Moonshot Conference? Click here to do so now!
Read More- September 26 2023
Kenya fines three digital lenders $60,000 for abusing user data
Some digital lenders have resumed harassing borrowers on their platform, even in cases where laws protect them against personal data abuse. The Office of the Data Protection Commissioner (ODPC) has stepped in. The Office of the Data Protection Commissioner (ODPC) has fined three entities a total of KES 9.3 million ($63,500) in a move set to further enforce sanity in the online lending space in the country. Mulla Pride Ltd, which operates two online credit platforms, KeCredit and Faircash, has received a KES 2.9 million ($20,000) million penalty. According to the ODPC, the company used personal contact information from third parties to shame borrowers into paying their loans. “The Digital Credit Provider (DCP) was found culpable of using names and contact information of the complainants which were obtained from third parties, and subsequently used to send threatening messages and phone calls. This penalty will ensure that Digital lenders and financial institutions notify data subjects when collecting and processing their data, and the intention of processing the said data,” the ODPC said in a statement. The penalty is interesting because Mulla Pride Ltd. has not received a licence to operate as a digital credit provider. The two lenders – KeCredit and Faircash – do not appear in the approved list by the Central Bank of Kenya (CBK). Kenya has a list of registered 32 digital lenders, including Branch, Tala, and Zenka. Existing data law requires data to come directly from the individual, but digital lending apps also collect and process data from the borrower’s smartphone and other sources without consent. Consent, as defined by the law, must be clear and informed. Many consumers are unaware of this data collection method. The Data Protection Act, 2019 requires data processors to inform data subjects about processing activities. This includes informing them about their rights, data collection purposes, sharing with third parties, contact details of entities receiving the data, security measures, mandatory and voluntary data collection, and consequences of not providing certain data. However, it is apparent that Mulla Pride Ltd. did not adhere to this law, thus the fine. A few months ago, the ODPC was uncertain how to fine digital lenders that misuse personal data. By law, these companies can be fined up to KES 5 million ($33,800), which isn’t big enough a punishment for highly profitable lenders. However, data commissioner Immaculate Kassait hinted at possible future changes. Kenya’s unregulated online lending industry allowed loan apps to harass people for years. The absence of regulations may have prompted the Data Protection Act, 2019. Before the bill, online lenders could offer loans to locals at high-interest rates, targeting anyone with a mobile money account (M-PESA) and a smartphone. These lenders, however, started abusing the personal data they collected, resorting to shaming and predatory tactics against defaulting borrowers.
Read More- September 26 2023
Exclusive: Risevest completes the acquisition of digital trading fintech Chaka
Months after conversations began between both companies, TechCabal can now confirm that fintech startup Risevest has fully acquired digital trading startup Chaka. Tosin Osinbodu, Chaka’s founder and Eke Urum, the founder of Risevest, confirmed the deal was concluded and approved on Tuesday morning. “We’re excited, especially from the perspective of people; high level and strategically, this deal makes sense,” said Osinbodu. “I’m excited about how Chaka’s product will evolve and how we’re going to learn from the Risevest team.” While both companies declined to comment on the transaction’s cost, they told TechCabal that Chaka and RiseVest will remain separate products. Per Eke, while Chaka’s ownership and cap table will get updated, “everything else remains; the team stays the same.” Both companies will continue to work on their product roadmaps and collaborate to improve products. According to Eke, deals like this are essential to Nigeria’s tech ecosystem and present an opportunity for collaboration. One person familiar with the matter said that both companies hold complimentary licences, providing a glimpse into why the acquisition was perfect for RiseVest. Eke and Osinbodu declined to comment. Founded in 2019, Chaka calls itself an “investment passport” for users. With the Chaka app, users can buy shares of publicly traded companies in Nigeria and the United States for as little as $2. Users can also buy fractional shares, reducing the cost of entry to investing. Chaka has had an interesting existence and faced an existential scare in December 2020 when the Security and Exchange Commission (SEC) banned the company from operating and advertising to customers in Nigeria. The SEC said Chaka did not have a licence for the service it was promoting. Yet after engagement with the regulator, Chaka became the first trading startup to receive a digital sub-broker licence in March 2021. How the deal happened Eke told TechCabal that a mutual investor first suggested the idea of a deal to him early in the year. Informal talks began in March 2023; Tosin and Eke shared that they got along quickly and joked about how they could have been cofounders in a different life. “The first conversation we had about this was: this is where Chaka is trying to go; I wonder if this could happen. Investors on both sides have also always been aware. To my knowledge, all investors bought in when we spoke to them about this deal.” “Knowing how much we have put in, the investors understand that we’re committed to it. I think the investors are really glad about this outcome and what the future holds,” Osinbodu concluded.
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- September 26 2023
How incubators and accelerators can propel innovation in Africa
Noel K. Tshiani is the founder of the Congo Business Network, an organisation committed to building the rising startup ecosystem in the Democratic Republic of Congo. As a fervent advocate for innovation, he actively drives transformation across a diverse spectrum of sectors including fintech, edtech, medtech, agritech, insurtech, and regtech, both in Kinshasa and abroad. Africa is a continent full of young people with business ideas and creative solutions. However, turning these ideas into real, growing businesses often comes with many challenges. This is where incubators and accelerators play a crucial role. These programmes provide a holistic environment that fosters learning, mentorship, and access to essential networks. They bridge the gap between ideation and implementation, enabling startups to leap from concepts to market-ready solutions. By offering a blend of resources, expertise, and industry connections, incubators and accelerators play a pivotal role in amplifying the impact and sustainability of startups. One clear example is the story of African fintech startups. They have grown partly because of helpful programmes that guide and support them. These fintech ventures have gone on to ease financial access, propel financial inclusion, and foster a culture of innovation in a banking sector traditionally resistant to change. The ripple effect of their success reverberates across various sectors, demonstrating the power of a well-nurtured startup ecosystem. Moreover, incubators and accelerators serve as conduits attracting global investments into the African startup scene. They are the touchpoints for international investors seeking to tap into the boundless potential that African startups offer. By showcasing the high-quality products and services that come from their programmes, these incubators and accelerators are essentially attracting a lot of foreign investment, which is essential for startups to survive and grow. As the narrative of Africa continues to shift from a continent of challenges to a hub of innovation, the role of incubators and accelerators will only become more seminal. To encourage more new ideas, these programmes need to change to address the special challenges and opportunities found in the different African markets. It is very important to have a more tailored approach when creating and launching these support programmes. Additionally, fostering a culture of collaboration over competition among incubators and accelerators could unlock a treasure trove of synergies beneficial to the startup ecosystem. Creating a community where people share knowledge, good methods, and connections can make a bigger positive impact together. It is up to people within and outside of Africa to work together to provide more support, resources, and policies that will help incubators and accelerators be more effective and reach more startups. As we continue to track the success of African startups, we need to make sure that the support systems they rely on are also improving. This will help African innovation to be heard around the world. Here are some specific recommendations for how incubators and accelerators in Africa can drive the next wave of innovation in countries such as Nigeria, Kenya, South Africa, and the Democratic Republic of Congo: 1. Tailor programmes to the unique needs of African markets Incubators and accelerators should take a contextual approach to their programs, taking into account the specific challenges and opportunities faced by startups in different African countries and industries. 2. Promote a culture of collaboration Incubators and accelerators should work together to create a supportive ecosystem for startups. This could involve sharing resources, best practices, and business networks. 3. Attract institutional investors Incubators and accelerators can play a key role in attracting foreign investment into the African startup scene. By showcasing the high-quality startups that emerge from their programmes, they can help to build trust and confidence among international investors in Europe and America. 4. Support startups throughout their journey Incubators and accelerators should provide startups with support not only during the early stages of development, but also as they grow and scale. This could include mentorship, access to funding, and help with market entry into French-speaking Africa. By taking these steps, incubators and accelerators can play a pivotal role in driving the next wave of innovation in Africa going forward in a way that leads to economic growth and improvements in social living conditions. Have you got your tickets to TechCabal’s Moonshot Conference? Click here to do so now!
Read More- September 26 2023
inDrive in talks with regulators as Botswana taxi association calls for its ban
inDrive has responded to calls for its banning in Botswana following complaints by local public transport operators. On September 26, members of the Botswana Kombi and Taxi Association asked the Department of Road Transport and Safety (DRTS) to ban the ride-hailing platform inDrive. The taxi association claimed that inDrive, launched in Botswana in December 2019, is operating without the necessary licences. While Kombis and taxis in Botswana pay operating fees to the DRTS, inDrive has sidestepped those fees as most of its drivers use their cars. Their use of private cars means they don’t fall under the mandate of DRTS which specifically regulates public transport. The taxi association argues that inDrive operators should be subject to the same regulations; the DRTS confirmed that it is investigating the complaint. inDrive told TechCabal that it is aware of the complaints levelled against the service. “The Ministry of Transport in Botswana currently does not have a specific registration requirement for companies operating under this particular mobility category,” Vincent Lilane, the company’s business development rep for Southern Africa, said. “However, once such regulations are established, inDrive is fully committed to complying with all registration and operational standards.” Lilane added that although inDrive has not received formal notice of the complaint from the DRTS, it is in talks with the relevant stakeholders to address the complaints. The taxi association also filed a complaint with the Botswana Police Service, asking that inDrive drivers be charged for piracy. Piracy is the operation of public transport services without licensing from DRTS. “We are currently in dialogue with all relevant stakeholders, including the Botswana Police Service, to establish clarity around our operations,” inDrive said. inDrive launched in Botswana in December 2019 and has recently proven to be a hit with drivers and commuters. It is currently the only ride-hailing platform available in the country. For drivers, the attraction is the fact that the platform still does not charge a commission for rides while for commuters, the service provides an alternative to expensive and unreliable public transportation.
Read More- September 26 2023
Exclusive: Logistics startup Sendy enters into administration after failing to find a buyer
Sendy has been facing a financial crisis with up to $1 million in monthly burn rate, and going into administration is the only way it can protect itself from total collapse. Sendy, a logistics startup based in Kenya, has entered into administration, TechCabal reliably learned. Going into administration means that the company is facing financial difficulties and is seeking protection from its creditors while developing a restructuring plan. TechCabal could not verify the company appointed as Sendy’s administrator at the time of this report, and attempts to contact Sendy’s co-founder were unsuccessful. In August, TechCabal reported for the first time that Sendy was actively seeking new buyers for its business. Amidst the negotiations, this publication attempted to reach out to interested parties to ascertain the buyout status. People with first-hand knowledge of the talks said the e-commerce companies Sabi and Wasoko were involved in those talks, although both companies declined to comment. Those talks fell through; one person with first-hand knowledge said potential acquirers were reluctant to take on Sendy’s liabilities. Founded in 2014, Sendy showed great promise and attracted $1m in funding from Spark Fund, an investment vehicle by Safaricom. In 2018, Sendy raised $2 million in a Series A drive and closed a Series B round in 2020 at $20 million. Afterward, the COVID-19 pandemic started, and many companies began bleeding money. Lockdowns, travel restrictions, and reduced consumer spending impacted logistics. Supply chain disruptions also affected the manufacturing and retail industries, the sectors with most of Sendy’s clients. Eventually, Sendy was forced to cut costs and adjust its business model to survive. Last year, Sendy began prioritising end-to-end fulfillment and stopped its operations in Nigeria. It made similar changes in Kenya, where 20% of its staff was laid off. Sendy also announced plans to connect online buyers with suitable logistics providers. This shift allowed the logistics company to move away from its asset-heavy model in Nigeria, which it adopted in late 2021 while maintaining its fulfillment services in other markets. Despite securing an undisclosed investment from MOL PLUS in late 2022, Sendy continued to burn cash. During its most challenging period, Sendy’s monthly burn rate hit $1 million. According to a source who spoke to TechCabal, this high burn rate was driven by fuel price increases throughout 2022 and the August 2022 Kenyan elections, which created widespread uncertainty. The source told TechCabal, “Most manufacturers scaled down production,” emphasising the reduced shipment volumes for Sendy amid higher fuel expenses. Given the logistics industry’s reliance on economies of scale, handling smaller volumes presented significant challenges, including increased expenses and extended delivery times.
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