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👨🏿🚀TechCabal Daily – How Namibia is Powering Its Fintech Ecosystem
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Passengers in Kenya could face another tough week, following a five-day strike by Bolt and Uber drivers last week.
Drivers are planning to protest again tomorrowWednesday, as the latest protests haven’t exactly made a point for ride-hailing companies.
In addition to being included in pricing decisions and reduced commissions, drivers are also demanding a dedicated 24-hour customer support line. A quick resolution is not in sight, as the companies say they are “monitoring the situation” and “following due process.”
Copia Co-Founder Tracey Turner Registers New Startup in Kenya
The train tracks may have been removed from Copia Global, but Tracey Turner, co-founder of the disgraced e-commerce giant, is making a quick return to the Kenyan consumer market. Turner has registered a new company that will focus on home goods deliveries in Nairobi and its suburbs, people familiar with the matter said. It will begin operations as early as September.
Interestingly, investors are flocking in, cash in hand, eager to back Turner’s new venture.
What makes it so interesting to invest in? Turner is a serial founder with a solid track record. Before Copia, which was a big business in Kenya, she founded MicroPlace, a micro-investing platform that was acquired by eBay in 2006.
Statistically, repeat founders with no exits are still likely to raise funding for a new venture more quickly than first-time founders. Turner’s educational background (including an MBA from Stanford) and previous work experience also set her apart.
Again, his new venture is targeting the Kenyan family consumer market. This familiarity with the target market, geography and business model will likely help it create network effects and grow rapidly, attracting investors who see its potential.
The road ahead: However, as he re-enters the trading market, Turner faces competition from now on:established players like Jumia Kenya, Carrefour and a unexpected contender—social media. Small business owners are increasingly using platforms like TikTok and Instagram to sell online.
To this day, the jury is still out on why Copia failed to raise additional funding. One insider suggests leadership issues, saying, “[Copia CEO] Tim was disappointed by his team.”
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WhatsApp’s Take-It-Or-Leave-It Privacy Policy Is the Basis for a $220M Fine from the FCCPC
Last week, Nigeria’s consumer protection body issued a $220 million fine on Meta for data privacy violations. Meta has since rejected the decision.
What Meta did wrong: At the heart of the matter was an investigation into WhatsApp’s updated privacy policy in 2021. There were allegations that WhatsApp did not give users a say in how their personal data was collected and used.
Yesterday, the FCCPC released a 116-page document explaining his accusations against Meta. We know you don’t have time to read all this, so we did it for you.
The regulator said WhatsApp did not allow users to opt out of the 2021 policy. The FCPCC also found that an early version of WhatsApp’s policy required users to accept the policy or be kicked off the platform.
“The 2021 update was delivered to users via frequent pop-ups asking them to accept the privacy policy. While there was an arrow that allowed users to dismiss the pop-up, they couldn’t opt out or decline the update. If users refused to update their apps, the pop-ups became more frequent, and many users lost the ability to read or respond to chats,” Muktar wrote.
The regulator found this move by WhatsApp, which has a 65% market share in Nigeria, to be anti-competitive.
Meta treats Nigerians differently: The regulator also found that WhatsApp presented Nigerian users with a different privacy policy than its European users. While the 2021 privacy policy update meant that user data could be shared with third parties, WhatsApp did not require third parties to obtain user consent before accessing shared user data.
If you slapped the FCCPC on the issue, you might want to reconsider your position. While you’re at it, we’ll await Meta’s appeal of the FCCPC’s decision.
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How Namibia is Powering Its Fintech Ecosystem
Leonie DunnDeputy Governor of Namibia’s Central Bank, spoke to TechCabal about his country’s plan to boost its relatively small fintech ecosystem, which numbers just 20 startups, such as PayToday and PayPulse.
“Regulators need to evolve with fintechs. We need to be able to catch up.”
What has the Central Bank done to help the country’s fintech ecosystem?
We have done a lot in Namibia to create an enabling legislative and policy environment. We have enacted a whole set of new laws in 2023, to enable what we call open finance and also to allow fintechs to thrive.
We have adopted an operational fintech regulatory framework since 2021 and created a regulatory sandbox environment where our fintechs can help create a regulatory outcome that will benefit fintechs and what Namibia needs.
What we are trying to achieve is not to stifle the innovation they bring to the market, but rather to co-create a solution where our regulatory environment does not feel threatened by the innovations, but rather complements the innovation that is taking place.
What does a fintech have to do to get a license in Namibia?
For us as regulators it is about the bankability of the product. How the product will affect our market and how it will innovate our financial services space. We don’t want them to do things that already exist in the market because they don’t add any value.
They need to develop new innovative solutions that help consumers participate in the financial system. [The solution] It must serve the marginalized and underserved in the region, as well as the informal economy, because we want them to exploit the opportunities of the formal financial system.
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Flat6Labs Launches $85M Fund Focused on Africa
Flat6Labs Laba regional VC firm, is preparing to launch an $85 million seed fund targeting startups in Egypt, Tunisia and Africa at large. Chief Investment Officer Dina El Shenoufy shared that the company is currently negotiating with financial institutions, including the International Finance Corporation (IFC), for participation.
Climate change solutions are at the top of the company’s agenda, along with edtech, logistics, healthcare and agritech, which are particularly important in Egypt and other African markets.
Flat6Labs manages investments worth $96 million in Egypt and the Arab world, having invested in 160 startups, including 95 in the technology, healthcare, e-commerce and logistics sectors through its first fund of $13 million.
Its global accelerator is returning: The company is also in partnership with Shell Egypt to support over 1,000 Egyptian entrepreneurs each year. This initiative is part of the global Shell LiveWIRE program, which has empowered over 10,000 young Egyptians and facilitated the growth of around 200 startups.
Dalia Elgabry, Vice President and Country President of Shell Egypt, highlighted the company’s commitment to sustainable social investment, while Flat6Labs Co-Founder and Chairman Hany Al-Sonbaty highlighted the program’s role in providing resources and mentorship to early-stage entrepreneurs.
The Shell Intilaaqah Egypt program will offer hybrid ideation and matchmaking sessions, bootcamps and incubation cycles, culminating in an annual awards ceremony to celebrate the best innovations.
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The World Wide Web3
Source:
 |
$66,486 |
– 1.78% |
+ 3.31% |
|
$3,465 |
– 1.76% |
– 2.20% |
 |
$5.09 |
+ 1.64% |
+ 64.50% |
|
$174.16 |
– 3.56% |
+ 29.61% |
* Data updated at 06:40 WAT on 23 July 2024.
- You can still get an early bird ticket for the second edition of By TechCabalMoonshot Conference! From 9th to 11th October 2024, at the Eko Convention Centre in Lagos, Nigeria, you can join Africa’s greatest thinkers and doers like Iyin Aboyeji, Wiza Jalakasi, June Angelides, Kola Aina on a global launchpad for change. If you want to join these stakeholders in the African tech ecosystem for three days of enlightening conversations, then Get an early-bird ticket to Moonshot 2024 with a 20% discount.
- THE Nigeria Fintech Forum will hold its third edition on July 25, 2024, at the Civic Centre, Victoria Island, Lagos. The Nigeria Fintech Forum hosts senior leaders from the Nigerian fintech and banking sectors, uniting industry stakeholders who are shaping the future of the ecosystem. If your work is in tune with fintech, payments or banking, this is the place for you. Get a ticket here.
- On September 5, 2024, JICA will host a Nigerian startup ecosystem event in Japan. Find out more here.
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