Vodacom now enables Tanzanians to pay merchants globally via M-Pesa
Vodacom’s Tanzania arm has launched M-Pesa Global Payment, a suite of new international payment features on M-Pesa that allow its over 22 million users to pay merchants in China, Dubai, Uganda, and anywhere Visa is accepted, directly from their phones. The launch is in partnership with global payments network provider Visa, Alipay, a Chinese digital payment platform, Middle-Eastern payments network providers, Network International and Magnati, and MTN Uganda, a mobile money operator. “Our partnerships demonstrate our commitment to building a strong and interconnected digital payments ecosystem,” Epimack Mbeteni, M-Pesa Director at Vodacom Tanzania, said. “ Together, we are enabling people and businesses to transact across borders with the same ease as they transact locally, securely, instantly, and affordably.” Vodacom Tanzania introduces a pioneering feature in Africa, the M-Pesa Tap & Pay, powered by Visa’s tokenisation technology. The feature allows customers to make contactless payments globally using their phones, just like how cardholders tap their physical cards at point-of-sale terminals. Instead of carrying a card, users generate a secure virtual Visa card within the M-Pesa app, allowing them to tap at any Visa-enabled terminal globally. “This innovation supports Tanzania’s transition toward a fully digital payments ecosystem and empowers consumers and businesses with more modern ways to pay,” Victor Makere, Visa Country Manager for Tanzania, said. The M-Pesa Global Payment initiative opens several new trade corridors. M-Pesa users can now make payments to Chinese merchants through Alipay, an important link for Tanzanian importers who source goods from China’s major markets. In September 2025, Tanzania had imported goods worth $862 million from China. The feature is enabled by the global network of Thunes, a cross-border payments infrastructure provider. In East Africa, Vodacom has partnered with MTN Uganda to allow users to pay merchants directly into MTN MoMo wallets, making settlement easier for traders operating between Tanzania and Uganda. Customers can also transact with selected merchants in Dubai through TerraPay’s global merchant network. These additions address a longstanding gap in cross-border trade and payments. The corridors remain slow, expensive, and fragmented for East African SMEs. Some traders have to rely on cash-based workarounds or high-fee intermediaries. Vodacom’s bet is that since M-Pesa is already embedded in Tanzania’s domestic financial system, it can offer a regulated and familiar solution for international payments. “Through this combined effort, we are opening new trade corridors, reducing the cost of doing business, and giving customers greater freedom to participate in the global digital economy,” Mbeteni said. Get The Best African Tech Newsletters In Your Inbox Select your country Nigeria Ghana Kenya South Africa Egypt Morocco Tunisia Algeria Libya Sudan Ethiopia Somalia Djibouti Eritrea Uganda Tanzania Rwanda Burundi Democratic Republic of the Congo Republic of the Congo Central African Republic Chad Cameroon Gabon Equatorial Guinea São Tomé and Príncipe Angola Zambia Zimbabwe Botswana Namibia Lesotho Eswatini Mozambique Madagascar Mauritius Seychelles Comoros Cape Verde Guinea-Bissau Senegal The Gambia Guinea Sierra Leone Liberia Côte d’Ivoire Burkina Faso Mali Niger Benin Togo Other Select your gender Male Female Others TC Daily TC Events TC Scoop Subscribe
Read MoreVisa taps Aquanow to extend stablecoin settlements to Africa
Global payments giant Visa has partnered with Aquanow, a global digital assets company, to extend its stablecoin settlement capabilities across Central and Eastern Europe, the Middle East, and Africa (CEMEA). Rather than relying solely on traditional banking rails, this partnership allows Visa’s network of issuers and acquirers in the region to settle transaction obligations using stablecoins, specifically USD Coin (USDC). It combines Aquanow’s digital assets and infrastructure with Visa’s traditional technology stack, enabling banks to transfer funds using blockchain technology instead of relying on legacy fiat wire transfers, and will support 365-day settlement capabilities. “By harnessing the power of stablecoins and pairing them with our trusted global technology, we are enabling financial institutions in CEMEA to experience faster and simpler settlements,” said Godfrey Sullivan, Visa’s Head of Product and Solutions for CEMEA. While swiping cards at a counter appears like an instantaneous transaction, the actual movement of funds between banks can take days due to reliance on legacy correspondent banking networks. The collaboration with Aquanow introduces a digital alternative where fiat currency is converted to stablecoins, cutting layers of intermediaries and costs, and reducing settlement timelines. Visa piloted USDC settlements in 2023 and is now expanding this offering to the CEMEA region. The payment network company says that demand from financial institutions wanting quicker and more cost-effective cross-border transactions is rising sharply. Visa says its stablecoin rails have processed over $2.5 billion in annualised settlement volume, signalling that stablecoins are becoming essential infrastructure. “Visa’s reliable global network has long moved money securely and efficiently. Together, Visa and Aquanow are unlocking new ways for institutions to participate in the digital economy,” Phil Sham, CEO of Aquanow, said. Get The Best African Tech Newsletters In Your Inbox Select your country Nigeria Ghana Kenya South Africa Egypt Morocco Tunisia Algeria Libya Sudan Ethiopia Somalia Djibouti Eritrea Uganda Tanzania Rwanda Burundi Democratic Republic of the Congo Republic of the Congo Central African Republic Chad Cameroon Gabon Equatorial Guinea São Tomé and Príncipe Angola Zambia Zimbabwe Botswana Namibia Lesotho Eswatini Mozambique Madagascar Mauritius Seychelles Comoros Cape Verde Guinea-Bissau Senegal The Gambia Guinea Sierra Leone Liberia Côte d’Ivoire Burkina Faso Mali Niger Benin Togo Other Select your gender Male Female Others TC Daily TC Events TC Scoop Subscribe
Read MoreAfam Nwaoboli once directed music videos; now he wants to democratise AI for African creatives
After shaping the country’s music scene by directing and editing videos for artists like M.I Abaga, Jesse Jagz, and Brymo, Afam Nwaoboli has successfully transitioned from the analog demands of the early 2010s media terrain to the digital frontier of artificial intelligence. His latest venture, AI Studio, is the culmination of this journey, representing a platform poised to democratise AI for the Nigerian and African creative economy by making world-class tools locally accessible. Nwaoboli’s early life in tech was sparked by a simple but profound experience: the speed of email. “The first time I got interested in tech was when someone told me that I could send an email to somebody, and then the next minute they send a reply to you. That was a wow [moment] for me,” he says. Fascinated, he began building websites for clients, a foundation that quickly merged with an interest in media. Working from a cyber cafe and armed with software like Fruity Loops, he taught himself the intricacies of music and video production. This path was forged without formal instruction, embodying a tenacious, problem-solving spirit. “I’ve always been self-taught…you have to find a way of figuring out yourself. There was nobody that could come and teach you, so you [had to have] figured it out,” Nwaoboli says. Through his media company, Entourage Media, Nwaoboli became a key creative force behind the visuals of several early Nigerian music A-listers. With the pseudonym “Afamdman”, he notably directed, shot, and edited music videos for artists like M.I Abaga, Jesse Jagz, and Brymo, alongside work for others like African China, Ruggedman, and Sooti. His portfolio includes designing the album sleeves for Faze’s first album. Nwaoboli’s creative trajectory began with music under his production company, Beatdown Productions, as evidenced by his early clientele. He recalls: “I started in beat making production first… before visuals took over.” This production arm allowed him to work on beats for artists like Faze. His definitive move to visuals came in 2006 after producing for the female group Dynamix: “[I] started first producing for a female group called Dynamix first and [worked on] their first video in 2006. That is how I entered the visual space.” Working on visuals solidified Nwaoboli’s status as a pioneer in media production before he shifted his focus back to technology around 2010. Get The Best African Tech Newsletters In Your Inbox Select your country Nigeria Ghana Kenya South Africa Egypt Morocco Tunisia Algeria Libya Sudan Ethiopia Somalia Djibouti Eritrea Uganda Tanzania Rwanda Burundi Democratic Republic of the Congo Republic of the Congo Central African Republic Chad Cameroon Gabon Equatorial Guinea São Tomé and Príncipe Angola Zambia Zimbabwe Botswana Namibia Lesotho Eswatini Mozambique Madagascar Mauritius Seychelles Comoros Cape Verde Guinea-Bissau Senegal The Gambia Guinea Sierra Leone Liberia Côte d’Ivoire Burkina Faso Mali Niger Benin Togo Other Select your gender Male Female Others TC Daily TC Events TC Scoop Subscribe Early tech ventures and the modular mindset Nwaoboli’s return to full-time tech was driven by an entrepreneurial spirit focused on using technology to solve everyday Nigerian challenges. This drive led to the founding of YesModular in 2022, the parent company under which his tech products are housed. His projects often demonstrate a vision well ahead of the market’s capacity. In 2002, he co-founded Smit (Smart Messaging Information Technology), attempting to push mobile apps and SMS products—a venture that proved challenging due to the underdeveloped ecosystem and lack of funding at the time. “This was when GSM just came out, so we were working on pushing out ringtones for GSM then. We were really ahead of our time, basically,” he says. This forward-thinking approach continued with Busfare, a mobile solution designed in 2023 to allow Nigerians to pay for bus transportation by scanning a QR code with their phones, eliminating the need for cash or specialised cards. While successfully test-run, the project had to be paused due to regulatory challenges, particularly the need for a CBN license to facilitate financial transactions. Currently, Nwaoboli is also finalising creators.ng, a platform designed to connect brands with content creators to run viral campaigns, thereby democratising access to brand partnerships. “The idea is for brands to go to the platform and drop their briefs, and for different content creators to pick up the briefs, create content around the brief, post them, and get paid based on the metrics the brands have set up. It could be likes, views, comments, or shares and the brands will pay the creators based on how much of these metrics they have amassed,” he says. Read also: Why Samuel Ogunkoya built a writing tool for people who want to write better AI Studio The culmination of Nwaoboli’s journey now rests with AI Studio, a Large Language Model and image generation platform launched in May 2024. AI Studio is built explicitly to address the barriers facing African users attempting to leverage global AI tools. The platform’s primary impact lies in its ability to solve the core issues of accessibility and cost. Globally available AI models typically charge in dollars, creating an enormous hurdle for local users. AI Studio cuts through this by allowing users to pay in naira, effectively bringing world-class technology within reach. “That’s one of the challenges we found that Nigerians are having, having to pay for all these different models because they charge in dollars.” Beyond payment, AI Studio aggregates several top AI models in a single location, allowing users to move seamlessly between different tools without juggling multiple subscriptions. The platform also fosters a community by allowing users to view, test, and learn from the prompts used by others, turning the platform into a learning environment. “We are also adding AI Studio Academy, an arm of AI Studio, which we hope to be the AI school for all Nigerians, where you go and learn about all the ways you can use AI,” Nwaoboli says. A collaborative future Nwaoboli’s philosophy views AI not as a threat, but as an indispensable equaliser for the African continent. He
Read MoreAXIAN rebrands fintech arm in digital banking push across Africa
AXIAN, a pan-African infrastructure and services group operating in five sectors including telecom and digital banking, has rebranded its fintech cluster, formerly Axian Open Innovation & Fintech, to AXIAN Digibank & Fintech, marking its shift from a mobile-money operator into a full digital banking ecosystem to serve individuals and businesses across Africa. The company said the new cluster will expand its mandate beyond payments to the broader financial services that individuals and small and medium enterprises (SMEs) increasingly demand but cannot access through mobile money alone. According to the World Bank, access to banking services grew in recent years across Africa, driven by mobile money and digital banking platforms. AXIAN’s shift comes at a moment when African consumers and SMEs are demanding more than wallet-based transfers, pushing fintechs to provide credit, savings and other bank-grade services. It believes the new cluster gives it the structure to build those products and compete in a market where users now expect more than transfers. The cluster brings together AXIAN’s financial services operations, including MVola and Mixx, the company’s flagship fintech products, which help individuals and businesses send money, pay merchants and access short-term credit across Madagascar, Comoros, Tanzania, Togo and Senegal. AXIAN says the new structure will allow it to integrate these services more deeply and build the long-term financial products African markets are demanding, including credit and savings, insurance, investments and cross-border transactions. “With AXIAN Digibank & Fintech, we are entering a new chapter, one where mobile money evolves into full digital banking,” Erwan Gelebart, CEO of AXIAN Digibank & Fintech, said. “This transformation is about scaling impact, giving millions of Africans affordable access to the financial tools they need to grow, thrive, and shape tomorrow’s economy.” Under the new cluster, the company constituted a new board including former N26 executive Georg Hauer, mobile-money pioneer Brad Jones and former Madagascar central bank governor Henri Rabarijohn. AXIAN says bringing in operators with global digital banking experience is essential as it expands into more sophisticated and capital-intensive services. “As we scale into full-spectrum financial service providers, the calibre and diversity of our Board is vital to ensuring disciplined innovation, responsible governance, and pan-African impact,” Gelebart added. The company did not disclose whether new capital is backing the transition, but said it is pursuing partnerships to support its scale. It added that its revenue mix is from transaction and payment fees and financial services. SMEs sit at the centre of its strategy under the new cluster. The company said it already serves nearly 500,000 merchants monthly and wants to reach millions by 2030 through restocking credit, improved payment terms and cross-border settlement tools. AXIAN believes these services can move SMEs from cash-based operations, which it considers its largest competition, into structured financing that supports expansion and job creation. The company plans to scale longer-tenor loans, insurance, investments and eventually mortgages; these products, it said, are scarce in its operating markets. It acknowledges the technical and regulatory hurdles, especially around issuing higher-ticket loans digitally and managing risk across countries, but says automation and AI-driven underwriting will be crucial to supporting scale. Recommended: Madagascar’s AXIAN Telecom acquires Kenya’s Zuku operator Wananchi Group for $63m
Read MoreMTN’s MoMo PSB seals deal with Thunes to expand cross-border payments for Nigerians
MoMo Payment Service Bank (MoMo PSB), the fintech platform of Nigeria’s largest mobile network operator, MTN, has inked a strategic partnership with Thunes, a global B2B platform for cross-border payments, to enable its users to receive funds from abroad instantly. The partnership significantly expands MoMo’s international remittance capabilities, allowing users to receive money from key markets including the USA, UK, Canada, France, Australia, Saudi Arabia, Israel, and South Africa. This collaboration allows MoMo’s approximately 2.7 million Nigerian users access to international funds in real time, useful for everyday transactions such as buying airtime, paying bills, sending money to family and friends, or engaging in digital commerce. MoMo PSB, now a member of Thunes’ Direct Global Network, provides a broad range of digital financial services, including payments, e-commerce, insurance, and remittances. As part of Nigeria’s largest mobile network, MoMo PSB also provides millions of Nigerians with convenient, secure, and scalable digital financial solutions. Thunes’ Direct Global Network connects members to local wallets, neobanks, and financial institutions across borders, enabling real-time transfers in over 130 countries and more than 80 currencies. Through this partnership, MoMo PSB users can receive remittances quickly and securely, while Thunes strengthens the flow of global money into Nigeria’s rapidly growing digital economy. According to World Bank data, remittance inflows into Nigeria rose 9% in 2024, reaching $20.9 billion. “This alliance makes it possible for Nigerians to receive money from abroad instantly, securely, and conveniently,” said Aik Boon Tan, Chief Network Officer at Thunes. “It allows more people to access the global economy, giving them control over their finances while opening a vast and growing market to our network members.” Phrase Lubega, CEO of MoMo PSB, added, “Joining the Thunes Direct Global Network allows us to deliver on our commitment to financial inclusion by bringing global remittances directly to users’ fingertips. Thunes’ robust cross-border payments network ensures our users can access global financial flows reliably, transparently, and cost-effectively, helping them participate fully in Nigeria’s digital economy.” Headquartered in Singapore with offices in 14 global locations, Thunes’ network connects over 7 billion wallets, 15 billion cards, and more than 320 payment methods, including GCash, M-Pesa, Airtel, MTN, Orange, JazzCash, and WeChat Pay. Its platform supports gig economy leaders, super-apps, fintechs, PSPs, and banks worldwide. MTN’s MoMo PSB and Thunes are setting a new standard for real-time international remittances, offering Nigerians instant access to global funds while advancing financial inclusion and economic participation nationwide.
Read MoreChui Ventures surpasses $10 million target at close of first fund
Chui Ventures, an Africa-focused seed-stage fund, has raised $17.3 million for its debut fund, surpassing its $10 million target and joining a small group of African venture firms, including Launch Africa and Ventures Platform, that closed oversubscribed first funds. The fund drew commitments from a diverse mix of foundations, family offices, and more than 30 high-net-worth (HNW) individuals, including the Mastercard Foundation Africa Growth Fund and the Michael & Susan Dell Foundation. Notably, over 90% of its HNW backers are of African origin, and 60% are African female executives. “Our vision at Chui is simple but powerful: For Africa, by Africa,” said Joyce-Ann Wainaina, general partner of Chui Ventures. “We believe African founders are best positioned to solve Africa’s challenges at scale, and Fund I is proof that global and local investors share this conviction. As we look ahead, we will continue to double down on technology-driven ventures that deliver both returns and measurable social impact.” Since its first close in February 2023, the fund has deployed 60% of its committed capital over the past 30 months, investing in 18 of its targeted 22 portfolio companies across five Sub-Saharan African markets. Five of those companies have already raised follow-on rounds at higher valuations, and several are either profitable or on track to reach profitability within the next year, the firm said in a statement. The portfolio spans fintech, healthtech, e-commerce, agritech, and logistics, including startups like Pricepally (a Nigerian online grocery platform), Leta (a Kenya-based supply chain SaaS company), Uncover (a skincare brand for African women), and Flex Finance (a spend-management SaaS platform). These startups reflect Chui’s thesis, addressing essential needs through tech-enabled, adaptable business models designed to scale within and across markets. Following the successful close of its first fund, the firm is now launching Fund II, targeting $60 million with a hard cap of $100 million. The new fund will maintain Chui’s core strategy but expand into North Africa and deepen its focus on financial services, B2B software, digital commerce, and climate tech. It will also pursue larger ownership stakes in portfolio companies.
Read MoreHabariPay’s cost efficiency powers GTBank’s ₦6.54bn fintech profit
Guaranty Trust Holding Company Plc’s HabariPay is mirroring its parent’s obsession with cost control, operating at just 30.69% of its income, compared to Hydrogen’s (Access Holdings) 78.66% and Zest’s (Stanbic IBTC) 78.23% in the first nine months of 2025. This is as bank-backed fintechs made a combined ₦7.91 billion ($5.43 million) profit in the period, their strongest collective showing since banks entered the fintech race, according to their financial results. It is a sign of maturity from fintechs whose parent companies have been accused of being too slow, too rigid, and too distracted to compete with the speed and reliability of the likes of OPay, PalmPay, and Moniepoint. The gains were driven by cost efficiency, rising transaction volumes and values, and deeper uptakes among merchants, corporates, and everyday users increasingly leaning on bank-backed digital channels. It is also the first time all three fintech subsidiaries are profitable in the same period, with Zest flipping from losses to its first-ever profit in Q3. For years, fintechs like OPay and PalmPay set the pace with speed, cheap transfers, and reliability as traditional banks struggled. Now, backed by deep customer bases, settlement networks, and improving infrastructure, bank-owned fintechs are beginning to close the gap. The Efficiency Gap How much profit did bank-fintechs make, and how much did it cost them to make it? Total Profit Cost to Run Showing net profit in Billions (₦) for 9 Months. HabariPay GTCO ₦6.54bn Hydrogen Access Holdings ₦0.83bn Zest Stanbic IBTC ₦0.54bn HabariPay is dominating profit, accounting for 82% of the total earnings among the three major bank-led fintechs. Source: 9M 2025 Company Financial Statements TECHCABAL Hydrogen’s profit slump Hydrogen posted ₦833 million ($571,832.61) in profit, down 42.63% year-on-year. Operating income increased by 0.95% to ₦5.74 billion ($3.94 million), while operating expenses rose 6.64% to ₦4.52 billion ($3.10 million). Launched in September 2022, Hydrogen started out as a backend payments and infrastructure provider serving fintechs, banks, and telcos. It turned profitable in Q4 2023. Hydrogen is currently processing more transactions than ever. Transaction value is up 127.93% to ₦60.4 trillion ($41.46 billion) as of September 2025. It has leveraged the introduction of the Hydrogen Payment Gateway, a payment solution that allows businesses to accept any form of online payments, in 2024, alongside improvements across switching, merchant collections, and card security, to deepen its uptake. According to its investor’s presentation for September 2025, its market share for switching is up to 14%, and over 20,000 merchants depend on it. Zest posts first-ever profit Stanbic IBTC’s Zest posted its first-ever profit in Q3, ₦543 million ($372,755.23), a full reversal from the ₦1.89 billion ($1.29 million) loss a year earlier. Operating expenses have climbed to ₦2.12 billion ($1.46 million) in Q3, a 6.53% increase from what it spent in 2024. In H1 2025, Zest posted a loss after tax of ₦389 million ($267,038.28), a decline from ₦945 million ($648,717.67) a year earlier, as it shed losses. Revenue grew fourteenfold to ₦874 million ($599,978.03) in H1 2025. While Zest has shed its losses, its cost base still leaves a lot to be desired. Get The Best African Tech Newsletters In Your Inbox Select your country Nigeria Ghana Kenya South Africa Egypt Morocco Tunisia Algeria Libya Sudan Ethiopia Somalia Djibouti Eritrea Uganda Tanzania Rwanda Burundi Democratic Republic of the Congo Republic of the Congo Central African Republic Chad Cameroon Gabon Equatorial Guinea São Tomé and Príncipe Angola Zambia Zimbabwe Botswana Namibia Lesotho Eswatini Mozambique Madagascar Mauritius Seychelles Comoros Cape Verde Guinea-Bissau Senegal The Gambia Guinea Sierra Leone Liberia Côte d’Ivoire Burkina Faso Mali Niger Benin Togo Other Select your gender Male Female Others TC Daily TC Events TC Scoop Subscribe HabariPay doubles profit HabariPay’s profit is up 115.51% to ₦6.54 billion ($4.49 million) as operating income surged 112.68% to ₦9.43 billion ($6.47 million). Even with operating expenses rising 171.61% to ₦2.89 billion ($1.98 million), it is still Nigeria’s most profitable bank-backed fintech. HabariPay’s growth is being powered by its Squad platform, which processes payments across virtual accounts, USSD, cards, and bank transfers while also earning from switching and bill payments. How banks got here The Central Bank of Nigeria’s 2010 directive mandating holding company structures opened the door for banks to build non-banking subsidiaries like payments, asset management, and pensions. GTCO launched HabariPay in June 2022 to target SMEs and retailers offering PoS, USSD, web gateways, virtual accounts, and switching services through Squad. Access Holdings followed with Hydrogen in September 2022, targeting infrastructure, switching, and collections. Stanbic IBTC launched Zest in October 2023 to facilitate transfers and offer a unified dashboard that integrates cards, bank transfers, mobile money, and QR codes. Future bets Bank-backed fintechs are leaning heavily on their parent companies’ vast user bases, a built-in advantage as digital payments continue to grow. “Our payments subsidiary remains one of the most strategic growth engines in the Group,” said Segun Agbaje, group CEO of GTCO, in its interim report for 2025. “Transaction volumes and values across our digital platforms have grown significantly, driven by increased adoption from merchants, corporates, and retail users.” GTCO is scaling Habari’s payment ecosystem through strategic partnerships and deeper technology integration, enabling better API connectivity, in-app payments, and cross-platform interoperability that positions its flagship product, Squad, as a trusted payment processor and core engine for digital commerce. “Our ambition is to power the financial interactions of the future—connecting consumers and businesses across sectors in ways that are simple, intuitive, and inclusive,” Agbaje added. Access is positioning Hydrogen for continental expansion. “While Nigeria is our launchpad, Hydrogen has pan-African ambitions,” Roosevelt Ogbonna, CEO of Access Bank, told investors in April. Stanbic is pouring money into Zest. Its investment is up at least 85.8% since December. That funding is helping it strengthen its infrastructure and expand its payments network. Zest is positioning itself to become the payments partner for businesses, offering a single dashboard that integrates cards, bank transfers, mobile money, and QR codes. Bank-backed fintechs are having their strongest financial year yet, but they still lack the cultural
Read MoreAdeyemi Adegbayi on how he picks and invests up to $2 million in climate tech startups
Adeyemi Adegbayi, a senior investment associate at the $40 million Catalyst Fund, first knew that venture capital was the career for him after an old schoolmate, who could build almost anything, could not build at scale because of a lack of funding. Adegbayi’s frustration at the time was that investors did not know how to find the right startups. That frustration became his first, clumsy attempt at solving the problem: Adegbayi launched a structured pitch competition, a pipeline machine in disguise. The goal was simple: find very early founders, help them sharpen their value propositions, and then put them in front of investors. But the more he worked with founders, the more he realised his initial hypothesis was only half-true. The issue wasn’t just that investors couldn’t find startups; there were also far more entrepreneurs than the ecosystem was built to support, and many of them needed hands-on help long before they were “VC ready”. Realising this, he entered tech through financial services at ARM, where his day job was figuring out how technology could make traditional businesses run better. Tinkering with small ventures on the side while learning how institutional finance works from the inside eventually set up the tension he would later resolve in VC: how to use capital and software to make real businesses more efficient. Leaving ARM, Yemi, as he likes to be called, told himself he would give a role at the $154 million fund TLcom a 12-month trial. If it didn’t feel right after a year, he would pivot, get a master’s in computer science and disappear into a more technical career. Instead, “from the first days, it just felt right.” His first transaction, Pula’s Series A, locked that in. TLcom’s Philippe Griffiths on his firm’s year, founder pitfalls, and the hardest part of VC The deal showed him that you could design business models that scale access to things that simply don’t exist for most people in emerging markets: crop insurance, real safety nets, and reliable risk transfer. It also gave him a mental model for how VC behaves differently depending on where it operates. In our conversation, Adegbayi talks about two non-negotiables for his investment thesis: a large commercial opportunity and clear, traceable impact. He’s not romantic about it; he’s sceptical that the classic VC fund structure even fits Africa perfectly, and he has no interest in doing philanthropy in disguise. But he’s convinced that pursuing returns without caring who gets hurt will produce extractive models that leave people worse off, and that chasing “impact” without a viable business underneath simply doesn’t scale. Five years on from that one-year test at TLcom, he now works at Catalyst Fund, a firm that marries his two non-negotiables. The firm’s initial investment is around $200,000 and it can invest in subsequent rounds up to Series A for portfolio startups. “We can invest up to about $2 million in winners across multiple rounds,” Adegbayi told TechCabal. Catalyst plans to invest in 40 pre-seed businesses and then double down into winners as they scale. The firm has already invested in more than twenty businesses and still has the dry powder to back 10 more startups. For this week’s Ask an Investor, I spoke to Adegbayi about climate tech investing, his firm’s thesis and support to founders, the ignored sector he thinks every investor should be looking at, and what founders should be doing after investment. This interview has been edited for length and clarity. Can you give me an example of the ideal company that represents your thesis? In an African context, and not necessarily a portfolio company. I’ll touch maybe three companies, and it’s easier to touch three because I don’t think there’s a perfect fit yet. An important piece of Pula’s thinking at the point where I worked at TLcom—when I came in to work on this deal—was finding the best way to sell insurance to African farmers. The answer to that was bundling, because insurance just doesn’t sell already. In scenarios where they’re not bundled, let’s find the people who need farmers to have insurance the most and get those people to pay for the services, because the farmers just may not. That’s one solution, I think hits the nail on the head. Another, which I’ve seen more in East Africa, is M-KOPA and their approach. They’ve figured out how larger asset financing—more like mid-value asset financing—should work on the continent where a lot of people are focused on microloans. Microloans are great, but you need to start pushing higher up for credit to get to a point where it makes sense, and then also find alternative ways to make this worth it. The final one, and this is fairly new in the portfolio. They’re called Swap. This is a Nigerian company. For the first time in forever, in Nigeria, power is at cost, and this has led to shifts I didn’t think were possible. For the longest part of my life, there was a low willingness to retrofit—people were sceptical about adjusting what was in their engines. Now, there are a bunch of people with different types of vehicles that are running on CNG. What Swap is doing is they found a model that works for tricycles, and these are everyday people who are constantly squeezed. There’s a direct impact on the keke riders. One is they have vehicles that are more affordable to operate; cleaner vehicles; easier to operate; less hassle from a maintenance perspective, and less hassle from an “is there going to be fuel?” perspective. You look at all of these: your costs are going lower, your ability to earn is improved, and the quality of your life improves. These are three very different opportunities in three different verticals that say, “This is what the pinnacle of my thesis looks like in solution.” There’s a strong impact, but the impact is baked into the business. It’s not, “Okay, I’m going to have to shave off part of my margins
Read MoreBluworks, Egyptian HR automation startup, raises $1 million for regional expansion
Bluworks, an Egyptian HR-tech startup that digitises workforce management for businesses employing frontline workers, has raised $1 million in seed funding to accelerate its growth across Egypt and expand into the Middle East and North Africa (MENA) markets. The round was led by Enza Capital, A15, and Beltone Venture Capital, with participation from Acasia Ventures alongside strategic angel investors. This follows the company’s pre-seed round of the same amount in April 2024, led by Khawarizmi Ventures with participation from Camel Ventures, Acasia Ventures and other angel investors, to support the automation of its workforce management platform. The company said the new capital will be used to deepen its presence in Egypt, expand its reach among small and medium-sized businesses, forge strategic partnerships, and regional expansion across the MENA region. It added that this next phase of its growth will focus on strengthening its product capabilities and platform with the integration of advanced analytics and AI as an infrastructure layer for frontline labour management. Founded in 2022 by Hussein Wahdan, Farah Osman, and Nour Ahmadein, Bluworks aims to digitise the full lifecycle of frontline workers, a segment of labour that is often excluded by traditional HR systems that mostly serve office-based and formal salaried employees. Wahdan said the company is addressing long-standing gaps in how frontline workers who handle essential operational tasks, including informal workers and shift-based employees, are scheduled, tracked, and paid. He said the platform has seen adoption among logistics, retail, food and beverages, and manufacturing businesses. “This investment marks a pivotal step for Bluworks,” said Wahdan, CEO. “We’ve proven the strength of our model in Egypt, and now we’re ready to scale faster — both by deepening our presence locally and by exploring regional opportunities.” Across Egypt and broader MENA, frontline workers make up more than 60% of the labour force, yet management processes in the sector remain fragmented and inefficient due to the outdated systems. Many businesses still rely on paper logs, manual timekeeping, or outdated software, leading to payroll disputes, operational inefficiencies, and high turnover. Bluworks is betting to replace these legacy processes with a unified digital platform that handles employee scheduling, attendance tracking, payroll processing and disbursement, and compliance aligned with Egyptian regulations. Its core value proposition is simplifying workforce operations for businesses while giving workers more transparency and control over how they are managed. Wahdan said the company earns revenue through subscription-based Software-as-a-Service (SaaS) plans, along with a monthly fee for each employee managed on the platform. The per-employee fee ranges from $1 to $1.6 per user per month, depending on the company’s size and plan.. He added that it considers Fawry HR, Mawared HR, and Excel as its competitors. “Our mission remains unchanged: to give companies the tools to manage their workforce more efficiently while creating better outcomes for employees,” Wahdan said. Abdelrahman Hassan, Principal at Enza Capital, described frontline labour as the “backbone of African economies” that has long been underserved by technology. He said digitising this segment represents a major opportunity to unlock productivity and drive financial inclusion across Egypt and MENA.
Read MoreDay 1-1000 of Regxta: The daughter who rebuilt her mother’s kolo digitally
“Banking the unbanked” has moved from being a fintech slogan to a phrase that fintechs throw around for YC funding and press releases. But for Rukayat Bello, CEO and co-founder of Regxta, ‘banking the unbanked’ is more than a slogan; it’s her life’s mission. Day 1: The mother who didn’t believe in banks Rukayat Bello’s mother built a thriving food business without ever visiting a bank. She was what financial inclusion experts call “unbanked”, what her daughter would later call “financially excluded.” “My mom does not believe in anything that has to do with banking,” Bello explains. “She loved the kolo so much.” The fire that destroyed Bello’s mother’s shop started in the house next door. Both buildings were connected. When the house went up in flames, it took everything with it. For Bello’s mother, it meant starting over after a year’s worth of savings, January through November, scorched in one night. Bello tried to help. She told her mother to go to a popular microfinance bank and apply for a loan, just ₦100,000 to restart the business. Her mother had never borrowed before, so surely they’d approve the loan. They didn’t. The bank told her to find 29 other people to form a group. They all needed to save together for three months before any loan could be disbursed. Her mother started gathering people, but when they showed up at the bank, the excuses started. “This person does not have a utility bill. This one does not have an ID card,” Bello recalls. “They were giving flimsy excuses.” Her mother tried another bank. Same story. Different impossible conditions. Back and forth, back and forth. Eventually, she stopped trying. Family and friends scraped together what they could—₦500 here, ₦1,000 there. It wasn’t enough to restock rice. So Bello’s mother, who once ran a thriving food business, made do with selling pepper and corn in front of the house. Bello told her mother she’d defer her university admission. Her mother refused. She took on more work like washing clothes for other people, anything to keep her children in school. That image of her mother, broken but still fighting, excluded from a financial system that should have helped her, stayed with long after she graduated. By the time Bello finished her youth service (NYSC), she’d saved over ₦300,000. She also had a boyfriend and both were planning to get married. She was saving toward an elaborate wedding. Then one day, her boyfriend came over. They were discussing wedding plans when something inside her shifted. She thought about starting a business. She sat with the idea for a day. What kind of business? Then she remembered her mother. The kolo that burned. The loan applications that went nowhere. The 29-person group requirement. The utility bill her mother didn’t have. “I just remembered that there was a time my mom was not able to gather and get money,” Bello says. “And then she was not even the only one. A lot of people actually need money to support their businesses.” She went to her mother with a proposal: She’d cancel her wedding and use the budget to start a microfinance operation, giving loans to people like her mother, market women who couldn’t access formal banking services. Her mother resisted at first but eventually gave in. Bello and her husband, Afis Bello, pooled their resources together: ₦750,000. They called the operation The Bells Dynamic Option. On the first day of operations in 2018, her mother brought her 77 customers. They split that ₦750,000 among those 77 customers disbursing small amounts: ₦5,000-₦10,000 here, ₦15,000 there. The next day, people came back, some with repayments, others, asking for another loan. This was how the business began. Get The Best African Tech Newsletters In Your Inbox Select your country Nigeria Ghana Kenya South Africa Egypt Morocco Tunisia Algeria Libya Sudan Ethiopia Somalia Djibouti Eritrea Uganda Tanzania Rwanda Burundi Democratic Republic of the Congo Republic of the Congo Central African Republic Chad Cameroon Gabon Equatorial Guinea São Tomé and Príncipe Angola Zambia Zimbabwe Botswana Namibia Lesotho Eswatini Mozambique Madagascar Mauritius Seychelles Comoros Cape Verde Guinea-Bissau Senegal The Gambia Guinea Sierra Leone Liberia Côte d’Ivoire Burkina Faso Mali Niger Benin Togo Other Select your gender Male Female Others TC Daily TC Events TC Scoop Subscribe Day 500: Name changes and borrowed trust The Bells Dynamic Option didn’t look like a traditional microfinance bank, even though that’s technically what it was. It was a lean but efficient team, processing loans quickly and documenting their operations digitally. In 2021, three years in, they rebranded. The Bells Dynamic Option was a confusing name. “The name is not resonating with you giving loans to people,” advisors kept telling them. So they tried to register as ‘Register’. The Corporate Affairs Commission (CAC) rejected it. Too generic. They needed documentation they didn’t have. So they tweaked it. Register became Regxta. R-E-G-X-T-A. “It was actually funny,” Bello admits. But the name stuck. As they grew, they hit a fundamental problem: the people they wanted to serve couldn’t operate smartphones. Most microfinance banks were moving toward mobile apps, assuming customers would download and manage everything themselves. Bello looked at her mother—at the 77 women her mother had brought on that first day—and knew that wouldn’t work. So they began recruiting agents. The agent model solved the smartphone gap. These were young people in the communities where customers lived. Regxta trained them for two weeks on how to open accounts, accept deposits, and process loan applications through Regxta’s mobile app. The agents became the bridge between technology and the market women who couldn’t use it themselves. The genius of the model wasn’t just the agents. It was the trust structure Regxta built underneath. If you wanted a loan from Regxta, you needed a guarantor, but not just any guarantor. It had to be someone who was already a Regxta customer. Someone in your community. Someone whose own loan depended on your repayment. “We do cross-guarantorship,” Bello explains. “Before
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