H2 starts off slow

About 23 African tech startups raised $132.2 million in July 2023.                                                                                                                                                                                                                                                                                                                                                                                                                 August 02, 2023 | [Read Online]( About 23 African tech startups raised $132.2 million in July 2023. In partnership with Share this newsletter: //link.mail.beehiiv.com/ss/c/_p8mO7pBiG6zFvckPDjzaZkxNnUja96KSCTzHXx2gCinQbxw_qdxxuopG-d0baJxAdN5L7OHU5ZQxpp-wRCFTXy9w8I_zIELgRe_S3coUxfiumbGZgs8bbdNwZ8q_MBNNIeCe1zmk7yashZqA8sY2UqxBpp2kuMRmSJEGt2zkeGsFGWvygKeJ76AeHGL38cK/3ye/Cxgoqz-uRTuP0KF3o0XX_g/h2/iTrs8DBssJ8FgQs2iArXGFF5lr-5aEFYQxZcuzyrRYQ [Lire en Français]( [اقرأ هذا باللغة العربية]( Good morning ☀️ TC Daily came in a bit late yesterday as our email service provider caught some bugs. If you missed us, it’s definitely not because we forgot to press send. We’re back up now though, and all bugs have been exterminated. In today's edition - [The leading tech moves from July 2023]( - [The World Wide Web3]( - [Event: TC Live]( - [Opportunities]( African Tech Roundup //link.mail.beehiiv.com/ss/c/_p8mO7pBiG6zFvckPDjzaZkxNnUja96KSCTzHXx2gCinQbxw_qdxxuopG-d0baJxAdN5L7OHU5ZQxpp-wRCFTXy9w8I_zIELgRe_S3coUxfiumbGZgs8bbdNwZ8q_MBNNIeCe1zmk7yashZqA8sY2UqxBpp2kuMRmSJEGt2zkeGsFGWvygKeJ76AeHGL38cK/3ye/Cxgoqz-uRTuP0KF3o0XX_g/h11/oGUQCaO65yh6D8aivcLFNO-w5lcGxVDhVyLW0ZdnBss 1. Funding: H2 is off to a slow start In July 2023, 23 African tech startups raised $132.2 million from 25 fully disclosed* raises. Compared to [July 2022’s $239.7 million total raise](, this represents a 44% YoY decrease. It is, however, a slight increase—about 4.75%—from June 2023 when African startups [raised $126.2 million]( in total. Per region, East African startups took the lead with 35.8% of the funding, $47.4 million raised across startups in Rwanda, Kenya and Uganda. Central Africa makes a rare second place with 30.2% of the July raises—$40 million raised by cleantech startup Nuru. West Africa and North Africa come in third and fourth with $35.7 million and $9.1 million raised respectively, while Southern Africa has only one fully disclosed raise in July 2023, a $100,000 round raised by South African edutech CatalyzU. [Leading African tech moves](Image source: Timi Odueso/TechCabal Per sector, cleantech startups retained the lead with 30.2% of the raises—once again, led by Nuru’s $40 million round. Last month, cleantech startups 41%, about $52.3 million, of the $126.3 million raised. The other leading sectors for July 2023 are e-commerce/retail with $21.9 million raised, healthtech with $20.6 million raised, and fintech with $13.7 million in raises. [Leading African tech moves](Image source: Timi Odueso/TechCabal The top 5 disclosed deals of the month are: - DRC’s cleantech startup [Nuru’s $40 million Series B raise](. - Rwandan e-commerce startup [Kasha’s $21 million Series B raise](. - Kenyan healthtech [MyDawa’s $20 million raise](. - Nigerian startup [Terragon’s $9 million raise](. - Nigerian logistics startup [Moove’s $8 million raise](. *Note: This data is inclusive only of funding deals announced in July 2023. Raises are often announced later than when the deals are actually made. This data also excludes estimated grants from accelerators. Secure payments with Monnify Monnify has simplified how businesses accept payments to enable growth. We are trusted by Piggyvest, Buypower, Wakanow, Fairmoney, Cowrywise, and over 10,000 Nigerian businesses. Get your Monnify account today [here](. African Tech Roundup //link.mail.beehiiv.com/ss/c/_p8mO7pBiG6zFvckPDjzaZkxNnUja96KSCTzHXx2gCinQbxw_qdxxuopG-d0baJxAdN5L7OHU5ZQxpp-wRCFTXy9w8I_zIELgRe_S3coUxfiumbGZgs8bbdNwZ8q_MBNNIeCe1zmk7yashZqA8sY2UqxBpp2kuMRmSJEGt2zkeGsFGWvygKeJ76AeHGL38cK/3ye/Cxgoqz-uRTuP0KF3o0XX_g/h25/eWy1grfxn0RzIPJ44_qXDw2sMd4QocPXG7utlc0-Elc 2. Legislation: Kenya Finance Act is free, Uganda to tax foreign companies [Kenya's Treasury Cabinet Secretary, Njuguna Ndung'u](Kenya's Treasury Cabinet Secretary, Njuguna Ndung'u In July, Kenya’s Court of Appeal [lifted the freeze order]( on the implementation of the country’s newly-enacted Finance Act. The lift came after Kenya's Treasury Cabinet Secretary, Njuguna Ndung'u revealed that the country was losing Ksh500 million ($3.5 million) for every day the Act wasn’t enforced. Now, the country will go on to generate Ksh211 billion ($1.4) from taxes created by the Act. In more news about taxes, Uganda has enacted a new law that will tax foreign companies domiciled in the country. The country’s amended Income Tax Act now [imposes a 5% tax]( on income earned by foreign companies operating in the country. 3. Crypto: SA and Namibia say crypto platforms need licences Last month, Namibia gave crypto a side hug as the country officially approved [the licensing of crypto platforms](. It doesn’t mean crypto is legal tender just yet, though. It just means the Namibia Virtual Assets Act of 2023 now mandates all crypto platforms in the country to hold a licence before they can operate. South Africa reinforced similar rules. Per the Financial Sector Conduct Authority (FSCA), all crypto exchange platforms in the country will have to apply for licences by November 30 or [face the law](. Nigeria, on the other hand, confirmed that global crypto platform Binance was indeed operating without necessary approvals in the country. It also [warned all crypto investment platforms]( against soliciting Nigerian investors. 4. Internet: Starlink launches in Kenya and Malawi, Safaricom to launch satellite internet service In July, Starlink launched [in two new African countries](: Malawi and Kenya. The service launched in Malawi about a week after it launched in Kenya. At least six African countries including Nigeria, Mauritius, Rwanda, and Mozambique, now have the satellite internet service. The service is set to launch in 17 more African countries in 2023, including Zambia and Angola. Meanwhile, the service may see some competition in Kenya where telecoms Safaricom has [partnered with AST SpaceMobile]( to launch its own satellite internet services. 5. Telecoms: Airtel Africa and MTN Nigeria record losses Nigeria’s shaky forex market is eating into telecoms profits. In July, Airtel Africa revealed it [recorded a $151 million loss]( in Q1 2023. The telecom blamed the loss on currency devaluation and foreign exchange issues in Nigeria. While another telecom, MTN Nigeria, did not record a loss per se, it did record a decrease in its profits for H1. It [recorded ₦128 billion ($165 million)]( in profit for H1 2023, 29.14% shy of the ₦181 billion ($234 million) it recorded in H1 2022. Discover Trends with Smile Identity [Download]( the Smile ID State of KYC in Africa Report on the latest trends in identity verification across Africa, highlighting the power of biometric verification and document verification in combating fraud. It is a must-read for any business looking to acquire users across Africa and keep up with fraud trends. African Tech Roundup //link.mail.beehiiv.com/ss/c/_p8mO7pBiG6zFvckPDjzaZkxNnUja96KSCTzHXx2gCinQbxw_qdxxuopG-d0baJxAdN5L7OHU5ZQxpp-wRCFTXy9w8I_zIELgRe_S3coUxfiumbGZgs8bbdNwZ8q_MBNNIeCe1zmk7yashZqA8sY2UqxBpp2kuMRmSJEGt2zkeGsFGWvygKeJ76AeHGL38cK/3ye/Cxgoqz-uRTuP0KF3o0XX_g/h40/pamSYLWNc499Ay7Z58tjK9fkpNUmBGmnthnfX0iib-c 6. Venture Capital: Safaricom incorporates two new subsidiaries [Safaricom execs at the Annual General Meeting](Safaricom execs at the Annual General Meeting In more news about Safaricom, the telecom is pushing deeper into Kenya’s venture capital space with the [launch of two new subsidiaries](. In July, it set up two new entities that will invest in startups: one in seed-stage startups, and another in growth-stage startups. The seed-stage subsidiary will complement Safaricom’s already existing million-dollar fund, Spark Fund, while the growth-stage subsidiary will invest in well-established startups that will be key to accelerating Safaricom’s journey toward becoming a “purpose-led tech company by 2025,” as per the telco’s CEO. 7. Internet ban: Senegal blocks internet access again, Ethiopia ends ban drop Senegal shut down its internet [again in July](. Per the government, the shutdown was enforced to reduce hateful messages circulating online following protests over the arrest of Ousmane Sonko who ran for president in Senegal’s 2019 election. This follows events in June where the government [shut down the internet twice]( for the same reason. Ethiopia, however, ended its five-month social media ban which it put in place after planned protests erupted across the country. 8. Mergers, Acquisitions and Expansions: Access Bank acquires Stanchart, Safaricom expands to Asia In big moves, British multinational bank Standard Chartered (StanChart) revealed, in July, that it had completed negotiations to have all [its sub-Saharan African assets acquired]( by Nigeria’s Access Bank. The deal, which is set for competition in 2024, will see StanChart sell its subsidiaries in Angola, Cameroon, Gambia, and Sierra Leone, with the exception of StanChart’s Nigerian subsidy. Safaricom, on the other hand, is [planning an expansion into Asia]( with a partnership that will allow M-PESA customers send and receive money to over 200 million individuals in Bangladesh and Pakistan. 9. Layoffs: Medsaf and Copia Global shave numbers off Last month, TechCabal revealed that Nigerian healthtech [Medsaf had laid off all its full-time employees](—about 30 people—in March 2023. The company is also reportedly owing staff salaries. Kenyan e-commerce startup Copia Global also enforced its third round of layoffs, [cutting off 25% of its staff](—350 members of its workforce. 10. Economy: Nigeria pledges $164 million to MSMEs and startups To close the month off, Nigeria’s new president announced that the country had [earmarked ₦125 billion ($164 million)]( to “energise” the informal sector, especially micro, small, and medium-sized enterprises (MSMEs). About 1,300 MSMEs across the country will receive grants of ₦50,000 ($65) each while 100,000 MSMEs and startups will share a ₦75 billion fund ($98.6 million) from which they can apply for ₦500,000 ($657) to ₦1 million ($1,315) loans at a competitive interest rate of 9% per annum. Authenticate with QoreID Ensure accurate user authentication with [QoreID]('s cutting-edge biometric solutions. Safeguard your platform from fraudulent activities using our advanced anti-spoofing technology. Contact us at sales@qoreid.com to book a demo today. Crypto Tracker //link.mail.beehiiv.com/ss/c/_p8mO7pBiG6zFvckPDjzaZkxNnUja96KSCTzHXx2gCinQbxw_qdxxuopG-d0baJxAdN5L7OHU5ZQxpp-wRCFTXy9w8I_zIELgRe_S3coUxfiumbGZgs8bbdNwZ8q_MBNNIeCe1zmk7yashZqA8sY2UqxBpp2kuMRmSJEGt2zkeGsFGWvygKeJ76AeHGL38cK/3ye/Cxgoqz-uRTuP0KF3o0XX_g/h54/hDiqI2Ej8M4VxrrDtiourZsPggWGY-4ZRM9tdYbBH8M The World Wide Web3 Source: [Tc_insight] Coin Name Current Value Day Month Bitcoin $29,825 + 2.71% - 2.90% Ether $1,863 + 2.03% - 2.69% Worldcoin $2.38 + 4.70% + 42.73% Pax Dollar $0.99 - 0.18% - 0.79%% * Data as of 05:00 AM WAT, August 2, 2023. Events //link.mail.beehiiv.com/ss/c/_p8mO7pBiG6zFvckPDjzaZkxNnUja96KSCTzHXx2gCinQbxw_qdxxuopG-d0baJxAdN5L7OHU5ZQxpp-wRCFTbnLmY-HJWkkD5Zf0oaBo7BotTGfTxz6mKUKE99lc4Lz4PqFeoluvNkry1lo9pvtbA/3ye/Cxgoqz-uRTuP0KF3o0XX_g/h57/HXYOZwH2x8OlX3wktQdzsRcFIDpfXirh-wAcBdh8JLo TC Live: The State of Tech in Africa, Q2 2023 Join us on Friday, August 4, 2023, for a special edition of TC Live, as TechCabal Insights will be launching The State of Tech report, the Q2 2023 edition. This is our flagship report offering a bird’s eye view of African tech trends and analyzing quarterly data on funding, acquisitions, expansions, regulations, policies, and emerging developments in the continent’s digital economy. The latest edition will explore happenings during the previous quarter in retrospect with actionable insights and expert perspectives on notable patterns and trends to look out for. At the launch event, we would also bring together various ecosystem stakeholders to discuss our exciting findings and highlight from the report with you towards shaping conversations about the general outlook of African tech. [Register to reserve your seat here](. Accounting automation with Tyms Africa [Tyms Africa]( is helping small and medium-sized business owners, CFOs and accountants automate their financial processes from receivables to payables, assets management, budgeting, expense claims, reconciliation, payments and real-time reporting. Opportunities //link.mail.beehiiv.com/ss/c/_p8mO7pBiG6zFvckPDjzaZkxNnUja96KSCTzHXx2gCinQbxw_qdxxuopG-d0baJxAdN5L7OHU5ZQxpp-wRCFTXy9w8I_zIELgRe_S3coUxecuxXQ4h39wVsASeAMGo3qi4RfJZhPJ98UDXsR1Qrfag/3ye/Cxgoqz-uRTuP0KF3o0XX_g/h64/szWV8AFCBV5jpIfwRdv2PIgwaQHBn8XHEl9E2xUiDrI - In support of the Government’s Youth Initiative to develop a pool of young talent for the Kenyan labour market, Kenyan Revenue Authority (KRA) is open for applications from undergraduates and diploma students for its three months Industrial Attachment Programme (Ksh.7000 monthly stipend). [Apply by August 6.]( - The Thomson Foundation Young Journalists Award 2023 is open for applications from brilliant young journalists to demonstrate a wealth of investigative journalism skills. The three finalists will be flown to London to attend the gala award, along with other potential award winners and leading figures from the world of journalism. [Apply by August 11](. - Google is offering 2000 African Scholarships for a Career Certificate in Cybersecurity. In this certificate program, you’ll learn in-demand skills that can have you job-ready in less than 6 months, and gain hands-on experience with Python, Linux and SQL. [Enroll here](. - If you are an aspiring economist entering your first year of undergraduate studies in the 2024 academic year, the South African Reserve Bank’s (SARB) Economic Research Department in collaboration with the SARB Academy, invites you to apply for competitive SARB bursaries in the field of economics, economics and econometrics, economics and mathematical statistics and economic science. [Apply by September 30](. What else is happening in tech? - [WorldCoin’s parent company is indeed registered as a data processor in Kenya]( - [CloudPro hosts the tech event of the year: The Digital Transformation Journey]( - [Trade Lenda Fair announces former president, Olusegun Obasanjo, as guest speaker]( - [Traction raises $6 million in seed funding to expand operations]( Share 👨🏿‍🚀TC Daily You can win numerous gifts when you refer family and friends who you know will benefit from the TC Daily newsletter. You currently have 0 referrals, only 10 away from receiving Ebooks and Showmax Subscription Tier 1. [Tier 1]( [Click to Share]( Or copy and paste this link to others: Written and Edited by - [Timi Odueso]( Want more of TechCabal? 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