Visa, a global leader in digital payments, has unveiled the Visa Africa Fintech Accelerator program, a new initiative aimed at supporting and empowering Africa’s burgeoning fintech start-up community. The program will provide training, connections, technology, and investment opportunities for up to 40 fintechs annually, fostering their growth and contribution to Africa’s digital transformation.
The Visa Africa Fintech Accelerator program, introduced by Visa Executive Chairman Alfred F. Kelly Jr. at the Bloomberg New Economy Gateway Africa event in Marrakech, Morocco, seeks to address the unique challenges faced by African fintechs and promote their expansion. The program will consist of a three-month intensive learning curriculum focused on business growth and mentoring. Following the completion of the program, Visa plans to continue supporting select participating businesses through capital investment, leveraging Visa’s technology and capabilities to accelerate their commercial launch.
Visa’s accelerator will be another opportunity for Ugandan startups to join a global accelerator. Joining global accelerators opens up immense opportunities for Ugandan startups. They learn how to build world-class startups from people who have been able to build one, and also open up networking opportunities from global investors.
This initiative is in line with Visa’s recent commitment to invest $1 billion in Africa’s digital transformation and underscores its long-term dedication to advancing African economies and fostering inclusive growth. Fintech start-ups from across Africa can apply to be part of the program during two application phases each year, starting from July 2023. Notably, finalists from country editions of the Visa Everywhere Initiative (VEI) competition in Africa will be invited to join the accelerator program, building upon the success and momentum of VEI.
Alfred F. Kelly Jr., Executive Chairman of Visa, emphasized the potential of Africa’s fintech ecosystem, which combines exceptional entrepreneurial talent with a rapidly growing digital-first population. He highlighted Visa’s commitment to the continent and its intention to support the next wave of innovation and growth by providing expertise, connections, and investment opportunities to Africa’s most promising fintech start-ups.
The support provided by the Visa Africa Fintech Accelerator program will play a pivotal role in strengthening the payment ecosystem in Africa. By fast-tracking the development of new innovations and technologies, the program will address challenges unique to the African continent and advance its digitization efforts. This, in turn, will create additional opportunities to expand financial inclusion, aligning with Visa’s corporate purpose to uplift everyone, everywhere by offering the best way to pay and be paid.
Otto Williams, Head of Partnerships, Products, and Solutions for Central Europe, Middle East, and Africa at Visa, acknowledged the pivotal role of Africa’s fintech community in driving payments innovation and connecting the unbanked to the digital economy. He emphasized Visa’s commitment to collaborating with this innovative community, creating new programs, and leveraging Visa’s technology and partner ecosystem to support fintechs in scaling their operations. The Visa Africa Fintech Accelerator program is a testament to Visa’s dedication to working with brilliant entrepreneurs and companies to shape the future of money in Africa.
In addition to the launch of the Africa Fintech Accelerator program, Visa has implemented various initiatives and business programs to further enhance the payments ecosystem in Africa. These include establishing local operations in the Democratic Republic of Congo, Ethiopia, and Sudan to strengthen the local financial ecosystem, as well as unveiling the first dedicated Visa Sub-Saharan Africa Innovation Studio in Nairobi, Kenya. Furthermore, Visa has introduced technologies such as Tap to Phone, which turns a simple mobile phone into a point-of-sale terminal, and has reduced remittance costs through solutions like Visa Direct.
Visa’s commitment to Africa is further demonstrated by its role as the fintech partner of choice, working closely with innovators and entrepreneurs. The company has implemented dedicated country programs through the Visa Everywhere Initiative in South Africa, Kenya, and Egypt. Additionally, Visa has launched programs focused on women’s empowerment, including She’s Next, which provides funding, mentoring, and networking opportunities to female entrepreneurs in Egypt, Kenya, Morocco, and South Africa. Visa has also collaborated with partners to advance financial literacy in several languages, including introducing the first Arabic version of Practical Money Skills in Egypt.
The Visa Africa Fintech Accelerator program represents a significant step forward in Visa’s commitment to driving innovation and inclusion in Africa. By providing fintech start-ups with the necessary resources, knowledge, and access to Visa’s extensive network, the program aims to unlock the full potential of Africa’s fintech ecosystem. The program will not only support the growth of individual start-ups but also contribute to the overall advancement of Africa’s digital economy.
Africa’s fintech community has been at the forefront of payment innovations, addressing the unique needs and challenges of the continent. With its young and digitally-savvy population, Africa presents immense opportunities for fintech start-ups to create innovative solutions that can drive financial inclusion and economic growth. The Visa Africa Fintech Accelerator program recognizes this potential and aims to nurture and empower these talented entrepreneurs.
Visa’s $1 billion investment in Africa’s digital transformation demonstrates the company’s long-term commitment to the continent. By establishing local operations, and innovation studios, and partnering with local financial institutions and entrepreneurs, Visa is building a robust ecosystem that supports the growth and adoption of digital payments across Africa. The company’s focus on lowering remittance costs, empowering women entrepreneurs, and advancing financial literacy further highlights its dedication to creating a more inclusive and sustainable financial landscape.
The launch of the Africa Fintech Accelerator program comes at a crucial time when Africa is experiencing a rapid digital transformation. The COVID-19 pandemic has accelerated the need for digital solutions, and fintechs have played a vital role in providing access to financial services and enabling economic resilience. The program’s focus on mentorship, training, and investment funding will equip fintech start-ups with the tools and resources needed to scale their operations and make a significant impact on the continent’s digital economy.
As Africa continues to embrace the digital age, partnerships between financial institutions, governments, and fintech start-ups will be instrumental in driving inclusive growth and economic development. Visa’s Africa Fintech Accelerator program sets a positive precedent for collaboration and support within the fintech ecosystem, fostering an environment where innovation can thrive. By leveraging its global expertise and networks, Visa is poised to make a substantial contribution to Africa’s fintech revolution and pave the way for a more financially inclusive future on the continent.
In 2023, a few Ugandan startups have been able to join global accelerator programs. In March, hardware startups, MicroFuse and Karaa, were accepted into Qualcomm’s Make It In Africa Program while fintechs, Xazu Technologies and eMaisha were selected for Amazon’s AWS Fintech Accelerator. Last year, credit startup, Numida went through Y Combinator before raising $12.3m while KeiPhone went through Techstars Toronto.