Despite its promising prospects, agritech in Africa is yet to punch above the weight of sectors like fintech and eCommerce, neither does sector have bragging rights to startups the caliber and worth of Fawry or Jumia. At present, it remains a market yet in need of specific solutions to its real-world problems. 

Where technology branches into agriculture, the supply chain is rightfully the grayest area. A complex network existing between farmers and consumers has historically been constrained by fragmented logistics, low-to-no visibility, limited market access, and a paucity of transparency. 

Climate change makes the situation even more dire. Early-stage ventures, in response, are digging deeper to help mitigate the crisis’ effects not only on the supply chains but also on the agritech industry at large. With food production hampered and feeding costs soaring, there is no better time than present for agritechs to break the dam. 

Niraj Varia is the [current] CEO of Kenya’s iProcure, a self-styled “agtech” that connects agricultural suppliers to local retailers. Before assuming the role in mid-2022, Niraj was a partner at London-based Novastar Ventures, which has invested in TradeDepot, BasiGo, Moniepoint, Turaco, SolarNow, mPharma, and iProcure--easily some of Africa’s fastest-growing tech firms. 

Last August, iProcure, which was founded in 2014, raised USD 10.2 M in Series B to scale its presence in Kenya and Uganda and expand into another East African market. In early May, the agritech launched operations in Tanzania and partnered with Farm to Market Alliance (FtMA). 

Africa's booming e-commerce industry holds tremendous economic potential. However, a significant hurdle stands in its way: the logistics gap. As online shopping gains traction, the existing infrastructure struggles to meet the increasing demand for efficient last-mile delivery.

The challenges facing African e-commerce logistics are complex. Fragmented delivery systems, lack of digitized processes, and outdated practices among small merchants seeking cost savings contribute to the problem. Addressing these obstacles is crucial for unlocking Africa's e-commerce market's full potential.

Industry leaders are pioneering innovative approaches to bridge the logistics gap. By leveraging advanced technology, fostering collaboration, and streamlining operations, they aim to revolutionize last-mile delivery in Africa.

Shiprazor, one such company, provides a comprehensive platform that unites a network of digitized delivery partners. Merchants can optimize their logistics operations by eliminating manual coordination and delivering a seamless customer experience. 

Bridging the logistics gap goes beyond enhancing the e-commerce landscape. It has the potential to fuel economic development, empower small-scale entrepreneurs, and create employment opportunities across the continent.

By nurturing a robust logistics infrastructure, Africa can harness the full potential of its rapidly expanding middle class and propel the e-commerce industry to new heights.

In April 2022, an untapped market in the heart of Africa made headlines with its daring quest to embrace the possibilities offered by crypto. The Central African Republic (CAR), a French-speaking landlocked country, envisioned decentralized finance as a way to economically liberate its people(s).

The presidency, led by Faustin-Archange Touadéra, announced the country’s adoption of Bitcoin as a legal tender—in addition to its standing fiat, the CFA Franc. 

The country became the second in the world—after El Salvador—to embark on the rather audacious endeavor, with lofty ambitions to become Africa’s crypto vanguard. 

“There were indeed potential benefits such as jurisdictional attractiveness for crypto investors for foreign direct investments and the possibility of reaching more unbanked Central African citizens,” says Ashlin Perumall, a Partner in Baker McKenzie's Corporate and M&A Practice Group in Johannesburg, South Africa. 

Ashlin is an advisor to...

Uncertainty and risk-taking are nothing new in the African tech ecosystem, but lately, startups have been facing their roughest time yet. The much-dreaded funding winter is finally encroaching on their doorsteps, casting a shadow of doubt over aspirations for the continent’s digital future. 

Tech funders are becoming more cautious with their investments, making it harder for startups to secure growth capital. Although funding into the continent’s tech companies has relatively boomed for the last couple of years, fresh figures paint a rather blurry picture of what’s to come. 

In 2021, African tech ventures raised USD 4.08 B, marking their biggest year yet. In 2022, the change of climate in the global VC market was only a little evident locally, with startups raising USD 3.6 B. WT Data Labs shows just USD 786 M has so far been raised in 2023. 

This performance, which is just a tad more than the intake for the pandemic-inflicted year 2020, is largely on the back o...

When the coronavirus epidemic broke out in 2020, projections quickly painted a grim picture for remittances in low and middle-income countries. Due to the feared economic implications of the global health crisis, a huge drop was predicted for developing markets. 

But the realities that unfolded starkly contradicted forecasts. Defying predictions that it would drop by 20 percent in the [said] year, remittances slowed down only by 1.6 percent. Regardless of the pandemic’s effect on wages and employment in other parts of the world, LMICs received USD 540 B; in 2019, they absorbed USD 548 B. 

Meanwhile, in some markets, growth was recorded. A classic example is Kenya, which saw its remittances increase by 10 percent from USD 2.796 B in 2019 to USD 3.095 B in 2020, representing 3 percent of the East African country’s GDP, according to data from its central bank. In 2021, its remittances reached an all-time high of USD 3.7 B. 

At the height of the pandemic, Kenyans living abroad sent home more money than ever, thanks to [the] increased innovation efforts in the market’s financial industry. Fintech startups, in particular, have set up rails enabling convenient cross-border financial transactions between families. 

Until recently, well-funded tech markets. dubbed The Big Four (Nigeria, South Africa, Egypt, and Kenya) were the heavyweights in the African tech ecosystem. As the industry gradually moves beyond infancy, opportunities abound for other countries to join the “hub frenzy”.

One such country is Senegal, a pocket that has, in the last few years, been quietly building a reputation as an innovation hotbed, a boiling pot of entrepreneurship, and a fast-rising investment destination. 

Particularly, the news that Wave—a Dakar-based fintech—raised Africa’s largest Series A to become a unicorn was deemed a sign that the country is brimming with digital potential. The startup absorbed USD 200 M from Stripe, Sequoia Heritage, and a host of other marquee investors to hit a USD 1.7 B valuation. 

Agriculture has always been at the mercy of the natural elements. But with climate change now the (bigger) elephant in the room, the stakes are considerably higher. 

As temperatures reach for the skies, weather patterns shift and extreme atmospheric events become more common, farmers face a new crop of challenges to produce ample food for the mass market. 

Meanwhile, agriculture also substantially contributes to greenhouse gas emissions, making it both a victim and perpetrator of climate change.