Kigali International Financial Centre (KIFC) has launched a $50 million Fintech-focused Africa Fund.
Backed by MyGrowthFund Venture Partners, the fund will focus on fintech companies with proven technology, operating in Africa.
Private equity investments in Africa have doubled during the last decade with fintech receiving close to 60% of the capital. Total capital invested in African FinTech companies grew by $1.49 billion in 2021 compared to the previous year, setting Africa’s highest FinTech funding year to date at $2.02 billion.
The fund domiciled in KIFC will create proximity on the continent between investments and fintech investment opportunities and will increase African investment in African fintech specially since less than 10% of the private equity investment in 2021 came from the continent. The fund’s objective is to grow the capital to $120 million.
The announcement was made during the “Kigali International Financial Centre: The Home of Africa’s Fintechs” forum on February 2 in Dubai.
“70% of the investment deals go to tech-based products and/or services, so attracting fintech oriented investors and creating a thriving fintech ecosystem, which would facilitate scaling up investment across the continent, is of paramount importance to KIFC,” said Nick Barigye, CEO of Rwanda Finance Limited (RFL).
Barigye added: “We are very proud to note that KIFC is one of the preferred financial destinations in Africa – ranking top 5 in the African continent – and one of the top 15 new International Financial Centres (IFCs) to watch according to the Global Financial Centres index.
“As one of the fastest-growing fintech hubs, KIFC is committed to working in close cooperation across the continent and all over the world to facilitate pan-African investment, provide the highest quality financial services to international investors, and unlock the continent’s enormous potential. UAE is a very important and key market for us and the last few days have been very productive.”
