NAIROBI, (Xinhua) --
Technology-based start-ups that have sprung up in many parts of Africa have
attracted investments thanks to their potential for growth, executives said on
president of African Business Angel Network (ABAN), said the continent’s
technology-driven enterprises could be the next frontier of massive capital
injection from local and overseas fund managers.
“I see the
African technology-based entrepreneurship space as dynamic and growing. It has
become increasingly innovative but we need the supportive ecosystem to sustain
this momentum,” Davies said.
He spoke in
Nairobi during a tour of start-ups that are transforming agri-business, urban
transport and financial services with support from multinational technology
African start-ups and investors visited Kenyan innovation hubs that have
transformed commerce, urban mobility, health, agriculture and education.
African governments should invest in supportive infrastructure and skills
development in order to facilitate growth of local start-ups that are providing
jobs to the youth.
investors, we are hoping governments will address infrastructure and skills gap
that often hinder growth of start-ups despite abundance of talent and
innovations,” said Davies.
“Specifically, we would like to see access to internet and research enhanced to
enable youth come up with successful enterprises,” he added.
reform of the regulatory environment, mentorship and access to seed capital are
key to unlocking the potential of African technology-based enterprises.
investors are keen to venture into Kenya’s nascent start-up scene that is on the
verge of take-off thanks to state incentives, macro-economic stability and
higher digital literacy levels among the youth.
Crawford, innovation manager for emerging markets at Village Capital, a
Nairobi-based facilitator of investments in technology start-ups, said a robust
entrepreneur ecosystem is key to realizing success of Africa-based incubations.
of incubators and accelerators in Africa has grown exponentially, but the number
of successful start-ups in the continent has not grown at the same rate,”
“It is still
hard to raise capital and scale up a business in most parts of the continent,”