South Africa’s AI roadmap is starting to take shape
The central theme at Africa Tech Week, held at Century City, Cape Town, was artificial intelligence (AI). Although AI has been a big subject at most tech events in South Africa over the past year, this particular AI focus had a different feel to it in that government, corporates, and startups at the event seemed to have more refined AI strategies, compared to a few months ago. Giving a keynote address to the 300 attendees in the dimly lit Century City conference centre, South Africa’s communications and digital technologies minister, Mondli Gungubele, said that the country’s journey to catching up with the rest of the world on AI was a long but promising one. Speaking to TechCabal afterwards, Gungubele added that the South African government was mostly concerned with providing a rigid regulatory framework to enable AI innovators to prosper in the country. “We want to sit back and allow startups to build local AI products and are currently putting together the requisite framework to enable this,” Gungumele said. For Nedbank, one of South Africa’s leading commercial banks with over 7 million customers, their AI play focuses on leveraging the power of AI predictive analysis instead of generative AI, the current shiny thing. “We have been using predictive analysis over the last decade to offer self-service products to our customers, and currently, we are thinking of using generative AI to hyper-personalise our offerings,” said Chipo Mushwana, executive for payments & technology at Nedbank. Mukuru, one of southern Africa’s leading cross-border payment providers and with over 16 million customers on the continet, is already implementing several AI use cases across the company. According to Andy Jury, CEO of Mukuru, the use cases range from internally within the company to externally in the customer’s engagement with agents and users. “We use AI to predict our working capital requirements, improve our agents’ customer service capabilities, and also help our developers code more efficiently,” Jury told TechCabal. Unlike a few months ago when most government, corporates and startups’ comments on how they are using AI sounded like PR speak, this has changed. The government is clear on the need for an AI-enabling regulatory framework, corporates like Nedbank are seeing value in alternative AI use cases like predictive analysis while startups like Mukuru are expanding their AI use cases to their agent networks to improve efficiency.
Read MoreCopia enters into administration after failing to secure funding
Copia Global, a B2C e-commerce platform and the parent company of Copia Kenya has entered administration one week after a TechCabal report revealed the company was considering shutting down. The startup has appointed Makenzi Muthusi and Julius Ngonga of KPMG, an audit and advisory firm, to manage the administration process, per a statement shared with TechCabal. Copia Global, which raised $123 million across eight funding rounds, failed to secure new funding, putting its operations and over 1,000 jobs at stake. The firm said on May 24 that the administrator will work to raise funding for Copia’s Kenyan unit. “Copia Global, the parent company of Copia Kenya, was unable to attract capital on terms that were amenable to all existing stakeholders, funders, and investors. Copia Global is now winding down, leaving the Copia Kenya business in a new position to raise capital directly,” Copia said in a statement sent to TechCabal. Copia will lay off an unspecified number of employees to “create a position for growth”, the company said. On May 16, Copia’s CEO Tim Steel told employees that over 1,000 staff could be laid off. Also as part of the cost-cutting, Copia Kenya will stop physical order processing and replace it with an online fulfillment model through its mobile app. “Under the mandate of the Administrator, the Copia Kenya management team will implement a plan with a lower burn rate, an accelerated path to profitability and a focus on the increasingly digital consumer,” said Copia. Copia was founded by Tracy Turner and Jonathan Lewis in 2013 to allow customers in remote areas to order goods through its platform and delivered to them through its network of agents. The company said that it was struggling to meet its obligations like paying salaries, forcing it to close shops after 10 years. Signs that the business was straining started to show in 2023. At its peak, the company had 1,800 employees and a network of 50,000 agents in Kenya and Uganda. In July 2023, Copia cut its operations and laid off 350 staff. Earlier in the year, it had reduced the headcount by 50 employees in what the company called a drive to keep down labour costs while eyeing profitability. Copia also closed down the Uganda base, barely two years after setting shop in the country, and rolled back its ambitious expansion plan that would have seen the company set shop in Nigeria, Ghana, South Africa, and Mozambique. Copia joins a growing list of well-funded Kenyan ventures that have closed shop after failing to raise fresh capital like Wefarm, an agritech startup connecting farmers to farm input distributors, and Zumi, a B2B connecting retailers to suppliers. Others like Sendy and iProcure are under administration while Twiga Foods and Markertforce are teetering, hoping for fresh investors’ confidence. Copia, alongside Twiga Foods ($186 million) is Kenya’s most funded e-commerce platform. The shutdown is a big blow to Tim Steel, Copia CEO, who took over from the co-founder Tracy Turner in 2017. Steel told a Kenyan newspaper in 2023 that he is dedicated to making Copia a success. “I think I fear not succeeding with Copia. Not turning it into that billion-dollar company. Having invested so much time, effort, blood, sweat, and tears into it,” Steel told Business Daily in June 2023. *This is a developing story.
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Fraud losses decline to ₦3 billion in Q1 2024, NIBSS data shows
As digital payments grow in Nigeria and the country makes progress in its financial inclusion drive, fraud incidents have also reached worrying levels. In the past year, banks and fintech have lost billions of naira to bad actors, sparking industry-wide conversations on tighter Know Your Customer (KYC) processes. In December 2023, the Central Bank mandated stricter KYC processes for banks and fintechs. Perhaps on the strength of these efforts, fraud losses decreased to ₦3.007 billion in Q1 2024 from ₦5.47 billion in Q4 2023, according to data from the NIBSS fraud industry report released today. The decline in fraud losses was despite an increase in fraud attempts—there were 20,638 attempts in Q1 2024 and 7,423 in February alone. Read also: Flutterwave loses ₦11 billion in security breach While fraud occurs across several channels, Mobile, POS, and Web are the most popular choices for bad actors. Channels like ATM and Internet banking saw only a handful of attempts. It is crucial to state that the numbers reflected in the NIBSS report are subject to how diligently banks and financial institutions report their fraud data. “In Q1 2024, 27 deposit money banks, 65 microfinance banks, 20 payment service providers, 5 mobile money operators, 2 payment service banks and 3 EFT Switches and 15 Other Financial Instituitons complied with this directive,” said the NIBSS report. In a sign that customers need to be more careful in sharing their personal information, social engineering was the most popular fraud technique in Q1 (10,007 attempts) followed by phone and card theft (4,008 attempts). Nigeria’s commercial capital, Lagos, is where most of the incidents are concentrated, accounting for more than 60% of all the attempts in Q1 and also a significant amount of the actual losses suffered.
Read MoreAfrica needs $6bn yearly in digital infrastructure to connect millions of citizens
Africa will need to double its spending to $6 billion annually if it hopes to connect more people and businesses to the Internet. The money will be used to deploy more fibre optic cables from the sea to the cities and homes, said the International Financial Corporation (IFC). “The $6 billion is just the capital expenditure of building that (digital infrastructure) out, it doesn’t include running and operating the infrastructure,” Susan Lund, IFC’s vice president of Economics and Private Sector Development told TechCabal. The World Bank has committed $2.8 billion to different digital development projects in sub-Saharan Africa over the past ten years. These include investments in fibre optic cable deployment for high-speed internet, data centres, internet service providers, technological tools like mobile phones and laptops, and digital education initiatives. But the investment has barely scratched the surface of the problem, as a large portion of countries in Africa remain uncovered with infrastructure. The IFC, a member of the World Bank Group, wants to take its total investment in the continent to around $10 billion by the end of 2024. This would be doubled in the following year according to Makhtar Diop, managing director of IFC. Much of these investments would go to innovative companies helping to encourage digital adoption in different industries. A survey of firms in 54 countries to determine how they use the internet in their business operations, found that while more businesses are done online, not many firms are taking full advantage of online opportunities. Only 5% of firms with fewer than five workers have computers with internet connections in countries like Ethiopia, Ghana, Kenya, Nigeria, South Africa and Uganda. In many cases, the firms are located in areas without fibre optic cables that enable high-speed internet or they can’t afford smartphones to do digital payments. Due to this, a further $2.7 billion is needed to assist small and medium businesses in transforming into digital companies. Investments in this area could help support firms in the manufacturing and agriculture sectors, where digital technologies are usually required to perform specific tasks beyond the current capabilities of most firms in Africa. The IFC sees the arrival of new submarine cables on the continent as an encouraging step to solving the infrastructure deficit. Around 30 submarine cables with hundreds of terabits of internet capacity have landed in Africa so far. However, the cost of transmitting the internet capacity from the submarine cables to the cities where firms and individuals can access them is a costly challenge. Helping small businesses get online not only increases their productivity it also ensures they continue to employ more people. about 70% of the labour force in Africa is employed by these group of firms. This represents about 400 million workers, the IFC report noted.
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Kenyans are up in arms against Ruto’s new taxes
Kenya’s 2024 Finance Bill, which proposes new taxes on several items and services, has drawn widespread criticism from citizens this week. If passed, the law will give the Kenya Revenue Authority (KRA) sweeping powers to enforce tax compliance; the KRA will be able to access bank and mobile money accounts to ensure compliance. The changes in the Finance Bill 2024 propose new levies ranging from a VAT tax on bread to a 5% increase in excise duty on financial transactions like bank payments and mobile money transfers. Others include new taxes on insurance services and a significant economic presence which will require non-residents with online businesses in Kenya to pay a 20% tax on gross turnover. Some Kenyans say they have lost faith in President William Ruto, who rode a wave of voter anger on key issues like the economy and over-taxation, to victory. Supporters and the opposition alike say he has backtracked on key campaign pledges. They also point out some poor optics, like chartering a $1.5 million jet for his US visit, amid his calls for austerity in the eye of a growing debt repayment burden. According to the National Treasury Budget Policy Statement, Kenya is looking to boost revenue collection to over 20% of the GPD in the financial year starting July. It targets $22.2 billion (KES2.95 trillion) in tax collections, up from $19.7 billion (KES2.62 trillion) in the previous year. A dozen industry associations and lobby groups have written to the National Treasury and Parliament opposing certain sections of the new law that would force them to increase the prices of goods and services. The Kenya Bankers Association (KBA) was the first to express their disappointment in the Finance Bill 2024, which has already gone through the first reading in the National Assembly. For KBA, the increase of excise duty on bank transactions from 15% to 20% and a further 16% VAT on services will raise the cost of banking to 40%, reversing gains made in financial inclusion. Read also: Kenya brings back controversial bill to regulate ICT industry “It has long been held, and rightly so, that while VAT applies to payments for goods and services, bank charges are not a direct payment for anything, but a cost recovery. Since banks are not delivering any goods to customers, bank charges are not considered VATable. Kenya has until now, held this principle to be true,” KBA said in a statement sent to TechCabal. “Regarding foreign exchange transactions, the proposed VAT will widen the margin charged on FX transactions. This poses risks to economic growth by taxing export proceeds and hindering the competitiveness of Kenyan products.” Ruto’s coalition, which enjoys a sailable majority in both houses–the national assembly and senate, maintains that the new measures are necessary and will help the country repay its debt. Kenya’s total debt is $75.3 billion (KES10 trillion), of which $52.7 billion (KES7 trillion) is owed to external creditors—the country’s debt-to-GDP ratio at 70%, the second highest in East Africa after Burundi. A joint sitting of the National Assembly and Senate on November 30, 2021. PHOTO | NATION Kenyans are already feeling the heat, as inflation accelerates and interest rates outpace salaries in both the public and private sectors. The Finance Bill also proposes a 25% excise duty on vegetable oils which sector players argue will increase the prices of cooking oil, soap, margarine, and other essential kitchen commodities. “If implemented, this excise duty will trigger an unprecedented surge in the price of cooking oil, a staple in Kenyan households. The cost of this essential commodity is projected to skyrocket by 80%, rendering it unaffordable for millions of Kenyans, particularly low-income earners, and small-scale traders,” Edible Oil Manufacturers said in a statement sent to TechCabal. Since August 2022, cooking oil prices have more than tripled because of the surging cost of global crude palm oil and the Ukrainian crisis, which has also affected the cost of wheat flour. Edible oil manufacturers told TechCabal the effect of the new levy will see prices of 400g bread rise to $0.6 (KES80) from $0.53 (KES70) before the new 16% VAT. The price of a long bar sopa will rise to $2.07 (KES270) from $1.36 (KES180), while margarine will almost double to $2.26 (KES300). “Such price hikes will disproportionately affect the most vulnerable members of society, exacerbating the already high cost of living and plunging millions into deeper financial distress,” the manufacturers said. Kenyans see the Ruto administration’s push to bolster revenue collections by increasing taxes as a U-turn on the lofty promises he made on the campaign trail in before the 2022 elections. Experts reckon that the new law will affect sectors with low penetration like the insurance industry. The Association of Kenyan Insurers (AKI) has written to parliament to discard a 2.5% motor circulation tax that will be pegged on the vehicle value, paid when buying insurance. Kenya has the third lowest insurance penetration in sub-Saharan Africa at 3%. AKI has warned that if the law passes, most motorists will shift to third-party insurance policies to avoid the high cost of comprehensive coverage. “The imposition will notably increase the cost of motor insurance. Currently, the average comprehensive insurance premium rate stands at 5%, and with the additional 2.5%, the total premium rate surges to 7.5%,” said Tom Gichuhi, AKI executive director. Other associations like the Kenya Manufacturers Association (KAM), Petroleum Outlets Association of Kenya (POAK), and Kenya Association of Air Operators (KAAO). Associated Battery Manufacturers (EA), a battery maker based in Nairobi, has also come out to oppose the introduction of eco-tax which will pegged at $5.65 (KES750) per kilo of battery. “A small lead acid battery for a motor vehicle is 12kg, with a retail price of $64 (KES8,500). The eco-tax for this small battery will translate to an additional $67.8 (KES9,000) plus VAT. Therefore, a small car battery will retail at $131.8 (KES17,500). This translates to an increase of 120% as a direct result of the proposed eco-tax,” said Guy Jack,
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Bolt copies rival inDrive, introduces bidding system to ease ride shortages
Ride-hailing giant Bolt has introduced a flexible pricing system allowing passengers to offer higher fares to drivers to increase their chances of getting rides during periods of high driver demand. Trip delays have become more common as ride-hailing giants struggle to convince people to take up driving as gig work. It is commonplace to wait over 10 minutes before finding a driver on the leading ride-hailing apps. One of the key obstacles to onboarding more drivers is pricing. In the past year, drivers have argued that fuel prices—a subsidy removal in May 2023 saw fuel prices almost double—and the commission the ride-hailing companies collect have shrunk their margins. Yet, passing on these costs to customers is tricky partly because of competition and because many Nigerians are also dealing with high prices as inflation continues to accelerate. The bidding system, similar to what competitor inDrive used to differentiate itself when it launched in the Nigerian market, aims to incentivize drivers to accept trips, especially during peak periods. “The benefit for the driver is that they earn more. [The] same standard commission applies to all trips,” said Femi Adeyemo, Bolt’s communication manager. Riding-hailing giants like Bolt and Uber typically charge customers a base fare and use surge pricing during periods of high demand to incentivise drivers. But surge pricing, which is determined by algorithms, does not allow the driver any say in the negotiations. This idea of giving drivers direct access to the customers to negotiate a fair fee has helped inDrive gain popularity and Bolt will borrow the same idea in the hopes that it reduces wait time. The decision to tweak its pricing system will count as a win for drivers, but ultimately, gig drivers continue to push for a seat at the decision-making table. For now, they’ve won some bargaining power with customers, it remains to be seen when they’ll also win the same with the ride-hailing companies.
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Apply for the Namibia Student Financial Aid 2024/2025
The Namibia Student Financial Assistance Fund (NSFAF) supports Namibian students with financial needs, enabling them to access higher education. This initiative is just like the recently launched NELFUND in Nigeria by the Federal Government, for tertiary institution students. Here’s a comprehensive guide to familiarise yourself with applying for the Namibia Student Aid 2024. When the NSFAF applications open for 2024/2025 The Namibia Student Financial Assistance Fund (NSFAF) last opened the 2024 online application process for Namibian students seeking financial assistance for their higher education on Thursday, November 29, 2023 and the application was slated to close on Thursday, February 29th, 2024. Therefore, you can expect the 2024/2025 Namibia Student Financial Assistance Fund aid application to begin around the latter months of 2024. Steps to apply for the Namibia Student Aid 2024 Next are the steps towards the application. Please note that the NSFAF application is fully virtual. 1. Verify eligibility Check if you meet the eligibility criteria before starting the application. To qualify, you must be a Namibian citizen, accepted into an accredited institution, demonstrate financial need, and meet NSFAF’s minimum academic requirements. For more clarity, we have highlighted eligibility requirements across different variables, in bullet points below: General eligibility: Be a Namibian citizen. Demonstrate financial need (income thresholds apply). Meet NSFAF’s minimum academic requirements (differing by programme level). Not have previously benefitted from NSFAF funding for the same qualification level. Not have outstanding debt from previous NSFAF awards. Submit all required documents by the closing date. Funding programmes: Undergraduate degrees (local) Minimum 25 points in Grade 12 with an E in English (or Diploma at NQF Level 6 with 22 points in Grade 12). Household income thresholds apply (applicant/spouse’s income < N$300,000 & parental income < N$500,000). Undergraduate diplomas (local) Minimum 22 points in Grade 12 with an F in English. Household income thresholds apply (applicant/spouse’s income < N$300,000 & parental income < N$500,000). Undergraduate degrees (mature age entry – public institutions only) 23 years or older. Grade 10 certificate with 5+ years’ work experience or Grade 12 certificate with 3+ years’ work experience. Ability to top up funding if insufficient. Proof of admission and mature age entry test results. Household income thresholds apply (applicant/spouse’s income < N$300,000 & parental income < N$500,000). Undergraduate degrees (international) Higher point requirements in Grade 12 depending on field of study (35 points for medicine/engineering, 30 points for others) with an E in English. Household income thresholds apply (applicant/spouse’s income < N$300,000 & parental income < N$500,000). Vocational education training (VET) Income thresholds apply (applicant/spouse’s income < N$300,000 & parental income < N$500,000). Specific requirements for government/SOE-owned vs. private VTCS. International VET trainees require a minimum of 25 points in Grade 12 with an F in English. Postgraduate programs Priority given to fields listed on NSFAF website. Open to students pursuing postgraduate diplomas, honors degrees, masters degrees, or PhD programs. Must have prior undergraduate qualifications. Preference for local institutions and SADC countries. Household income thresholds apply (applicant/spouse’s income < N$300,000 & parental income < N$500,000). 2. Prepare documents for the Namibia Student Financial Aid 2024/2025 Get the necessary documents, including identification, proof of admission, academic transcripts, and financial statements or evidence of financial need. Having these ready will streamline the application process. Required documents in bullet points: Certified copies of birth certificate Recognised valid ID School leaving certificates Parents’/guardians’ IDs/death certificates Payslips(applicant/spouse/parents/guardians) Proof of admission (if applicable) Additional documents required for specific programs (e.g., mature age entry proof, NQA evaluation for foreign qualifications). 3. Online Application Visit the NSFAF website, create an account or log in, and fill out the application form accurately. Mistakes can delay or disqualify your application. 4. Upload Documents Upload prepared documents during the online application process, ensuring clarity and legibility. Follow instructions for specific document uploads at various stages. 5. Submit application for the Namibia Student Financial Aid 2024/2025 Review your application thoroughly, ensuring accuracy and attachment of required documents. Submit your application and receive a confirmation email. 6. Follow up Regularly check your email and NSFAF portal for updates. Respond promptly to any requests, as this enhances your chances of securing Namibia Student Aid 2024. 7. Await results Successful applicants will be notified through their provided contact information. Ensure accurate contact details to avoid missing crucial communication. Important notes on the NSFAF Application 2024/2025: You can refer to the NSFAF STUDENT FINANCIAL ASSISTANCE AND DEBT RECOVERY POLICY AND PROCEDURE for a more detailed view of the application terms and conditions: Ensure you meet all eligibility requirements before applying. NSFAF funding is primarily provided as loans, with grants available for only a minute number of top academic performers. Please note that some adjustments or changes may occur for the forthcoming application in 2024. As such, you are advised to keep in touch with latest news concerning the NSFAF application when it resumes for the year. Contact: For debt clearance inquiries reach out to Recovery@nsfaf.na. Six reasons you may not secure the Namibia Student Aid 2024/2025 There are cases where you may not be considered for the NSFAF funding 1. Exceeding funding limits NSFAF might have a limited budget each year, and applications are processed on a first-come, first-served basis. If applications surpass available funds, even eligible students may be unsuccessful. 2. Previous debt Outstanding debt from previous NSFAF awards can lead to application rejection until the debt is settled. 3. Academic performance If you have a history of poor academic performance, NSFAF might prioritize students with stronger academic records. 4. Disciplinary Issues A history of disciplinary actions at your educational institution could negatively impact your application. 5. Incomplete Academic History Inconsistent academic history, like large gaps in your studies, might raise red flags for NSFAF. 6. Late Submissions for the Namibia Student Financial Aid 2024/2025 Late submissions will not be accepted by NSFAF once the portal is closed. Final thoughts on how to apply for the Namibia Student Financial Aid 2024/2025 Applying for Namibia Student Aid 2024 involves eligibility checks, document preparation, online application, and engagement throughout the review
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👨🏿🚀TechCabal Daily – Humane AI is gearing up for a sale
In partnership with Share this newsletter: Lire en Français اقرأ هذا باللغة العربية TGIF Thanks to Clinton A., Nancy O., Isaac N., Blessing N., Sarah G., and everyone else who emailed to say Bring The Memes/Images back—I’d mention you all if I could. As I explained in my emails to you all, I can’t promise that there’ll be memes in next week’s edition, but we will start to reintroduce them slowly over the next month. And to everyone else who emailed to say they don’t want the images back, I’m sorry but the majority carries the vote! But we won’t mess with the quality of the content, so it’ll still be the same TC Daily you love. In today’s edition Quick Fire with Rowland Okondor Google to lay new subsea cable that connects Africa to Australia Lagos launches cybersecurity centre Humane up for sale after underwhelming launch of AI pin Maëlle Gavet steps down as CEO of Techstars The World Wide Web3 Opportunities Features Quick Fire with Rowland Okondor Rowland Okondor heads the Product Team at BudPay. Having been in the Banking and Financial Technology sector for over 8 years, Rowland has been privileged to lead several cross-functional teams delivering innovative solutions, powering payments for businesses and consumers across Africa. Rowland Okondor Explain your job to a five-year-old. Let’s say you love toys and ask your uncle to build you one from scratch for your birthday in exactly two weeks. First, your uncle asks you to tell him everything you want in your toy (requirement gathering). Then your uncle gets a group of people who can draw (Designers) to show you an image of what your dream toy looks like (User interface Designs). Your uncle then gets people who can build your dream toy (Developers/Engineers). Finally, Your uncle gathers a set of people (Quality Assurance Testers) to try out your new toy to make sure the toy is exactly how you want it. Then your uncle shows up at your house on your birthday with your shiny new toy. Even better, your uncle keeps a journal (Roadmap) where you can write what you would like to improve on your dream toy. That, my dear, is how your favourite Uncle becomes your favourite product manager. In your experience across fintech startups and large corporations, what do you see as the biggest challenges and opportunities for financial inclusion in Africa? One of the biggest challenges we as Africans have faced on financial inclusion is the banking penetration and the lack of banking infrastructure in rural areas which accounts for the largest number of the unbanked population. That has presented a unique opportunity for agency banking which has been taken in great stride if we are limiting financial inclusion to the basic needs of sending and receiving money with the nice-to-haves of bill payments. This has presented another challenge/opportunity concerning the integrity of the data on the financially included population via this agency/community banking scheme since their participation is in fact in proxy via the “agents”. The next step in the evolution of this scheme is to ease regulatory barriers that hinder this population from being more active players, increase financial literacy, and set up infrastructures that aid their ascension on the ladder of financial needs beyond sending and receiving money, to saving and investing. Beyond user acquisition and activation, what other key metrics do you focus on to measure the success of B2B fintech products? The most important metric when building B2B fintech products beyond acquisition and activation is the success rate. The efficacy of your product will be measured against the success of carrying out financial actions on your product simply because these actions have a high impact and reward both to the user and the business. Other notable metrics include Activity rate, Feature Utilisation, Customer Retention & Churn rate, Customer Lifetime Value, Monthly Recurring Revenue (MRR), and Customer Acquisition Cost (CAC) especially as it directly relates to Revenue Per User (RPU). Other customer support metrics include Customer Satisfaction and Net Promoter Score (NPS), Response and Resolution Time. Looking back at your career, can you share an instance where a product misstep led to valuable learnings? Payment is partnerships and part of your product experience has to do with choosing the right partners to deliver the right experience. Understanding the available infrastructure in any given jurisdiction also plays a significant role in this process. To deliver an automated onboarding experience on a Product that we had been working on, we decided to validate one of the user requirements for onboarding automatically. This would also help us streamline the pipeline to more intending users. So we removed the ability for users to complete the validation of this requirement manually. Unfortunately, the instability of the said Infrastructure resulted in a huge dropoff in onboarding whenever there was downtime. We implemented a manual failover to help users complete this process in the event of downtime. How do you manage to maintain a healthy work-life balance in the fast-paced world of fintech? Working in fintech is challenging. Supporting businesses is even more challenging as some of our users have a 24/7 service promise to their customers. This means that I have to be more available than usual. However, maintaining a work-life balance is something that I am intentional about. I take time out to engage in recreational activities that keep me mentally healthy. I play and follow sports very actively. Being an extrovert also means that I am mostly outside, having fun and meeting people. Moniepoint is Africa’s fastest-growing fintech The Financial Times has ranked Moniepoint as Africa’s fastest-growing fintech based on its absolute and compound growth rate. Read more about it here. Internet Google to lay new subsea cable that connects Africa to Australia In March, a break in subsea cables disrupted internet connectivity across several African countries for weeks. This disruption didn’t only affect internet services, banks and other essential services across the continent also had downtimes due to the break. By the first
Read MoreeMedia records $17 million profit despite TV advertiser pullback in SA
eMedia, the South African television broadcaster that owns eTV and eNCA, recorded a profit after tax of R315 million ($17 million) despite a 1% advertiser spending pullback in the country. The company’s R3.1 billion ($168 million) topline was driven by advertising revenue, which was R2.1 billion ($114 million), or 70% of total revenues. The advertising revenue, representing a 3% increase from the previous year, is the largest the company has ever recorded. Although on the decline because of load shedding, cord cutting and competition from internet advertising, TV advertising in South Africa is a lucrative business for broadcasters like eMedia. Advertisers are willing to part ways with at least R1,100,000 ($60,000) for 170 placements, or “spots”, of a 30-second ad. They can even spend more if the ad exclusively runs in prime-time slots, weekdays between 6:00 pm and 11:30 pm. “eMedia’s channels collectively have a prime time market share of 33.5%, making the company the market leader in South Africa,” the company told shareholders. eTV recently surpassed state-owned SABC1 as South Africa’s leading prime-time television channel with a 20.7% prime-time market share. Apart from eTV, the rest of eMedia’s channels accounted for 27% of the company’s advertising revenue, amounting to R611 million ($33 million). Loadshedding, which has plagued South Africa for over a decade, impacts TV broadcasters as advertisers are wary of spending top dollar for ad slots which might not yield much viewership because of the blackouts. According to data by Statista, TV ad spending in South Africa is expected to grow by only 1.4% annually by 2029, translating to revenues of $547 million.
Read MoreTechstars Maelle Gavet steps down as CEO; David Cohen returns to lead the company
Maëlle Gavet will step down as CEO of Techstars at the end of May 2024 due to health reasons, ending her almost four year leadership of the global accelerator. She will be replaced by David Cohen, co-founder and board chairman of Techstars. “I will be rooting for all of you from the sidelines and will remain a supporter of #Techstarsforlife,” she wrote. Gavet’s exit comes at a time when Techstars faces difficulties in balancing growth with profitability. Techstars fell short of revenue targets in 2023, leading to cost-cutting measures. This included a 7% staff reduction and the closure of accelerator programs in Seattle, Boulder, Sweden, and others. “I want to thank Maëlle for pouring her passion, blood, sweat and tears into Techstars. But now Maëlle must focus on her health. I speak for everyone at Techstars when I say that we wish her strength and courage as she addresses what is ahead,” Cohen said in a statement. Gavet, who became CEO in 2021, leaves the global pre-seed investment firm after what is believed to be an impressive stint. The company made over 2000 startup investments, 469 of its portfolio companies raised a total of $2.4 billion with 322 of them raising rounds of $1 million or more in 2023. Applications to Techstars programs doubled while the diversity of the founders increased to 25% female founders and 36% black and brown founders. “Techstars is practically in my DNA,” said Cohen, who is returning as CEO after leading the company for 13 of its 17 years. He has been a board member since the company’s inception.
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