From 2017, startups have grown by 60% in Africa with a funding of over $320 million. World Bank indices show that over 60 percent of the population in the Sub-Saharan region does not have bank accounts. For this reason, startups targeting the exchange of money are doing well. The following examples are some African startups to watch in 2020.
Cellulant began in 2004 in Kenya and spread to 33 African countries. Convenience in its operations and integration with businesses, mobile networks and banks, has enabled it to expand to other countries. Cellulant enables business people to pay bills, transfer money conveniently from their homes and offices. Through Cellulant, one can shop, pay bills, save and get loans easily, enabling it to acquire 12% of the market share in digital payments. Some of its major customers are Multichoice and JamboJet airlines.
South Africa’s Akiba Digital encourages people to save for a better tomorrow. The company began in 2017 through an app that uses big data and artificial intelligence to help people to save. It has a product, “Gugu,” that enlightens people on financial matters. It’s a startup that suits its purpose by offering financial literacy to a population with economic growth prospects.
Jumo is a fintech startup in South Africa that integrates mobile networks and SMEs. It has provided services to more than 7.5 million customers since its establishment in 2014. The business offers insurance services to individuals and companies. The company is using data science to deliver savings and credit services. It has expanded its operations to other countries such as Ghana, Rwanda, Zambia, Tanzania, Kenya and Uganda. Google Inc. selected the startup for the Launchpad Accelerator. Some of its investors are Odey Asset Management, Finnfund and Goldman Sachs.