3 African startups have been selected to join the 2024 edition of the GSMA Innovation Fund for Accelerated Growth. They are Africa 118 from Ethiopia; Ensibuuko from Uganda and Freetown Waste Transformers (FWT) from Sierra Leone.
The GSMA Innovation Fund for Accelerated Growth has played a crucial role in supporting over 100 organizations, unlocking more than £700 million in follow-on funding. However, recent economic challenges have significantly impacted venture capital funding, especially in low- and middle-income countries (LMICs). In response, the GSMA Innovation Fund for Accelerated Growth was launched in January 2024 to provide grant funds and technical assistance to innovative organizations in LMICs. This initiative aims to help startups and small to medium-sized firms scale their solutions, reach wider audiences, and create sustainable impacts.
Specifically, the fund targets a select group of GSMA Innovation Fund alumni, aiming to leverage digital and mobile technologies to:
- Expand market penetration by extending current offerings to more low-income users, either by targeting new segments or enhancing market efforts.
- Enhance existing offerings with additional functionalities, utilizing emerging technologies like AI or IoT to provide a superior customer experience.
After reviewing project proposals and making selections, 7 start-ups (4 from Asia and 3 from Africa) were chosen to receive a total grant of just under £700,000. Beginning in April 2024, these start-ups have embarked on a 10-month project aimed at scaling their existing solutions.
Here are the 3 African startups:
Africa 118 | Ethiopia
Africa 118 is a digital job tech platform that provides skills matching services in Ethiopia. With previous GSMA grants, they have developed digital services that help low-income workers access jobs and assist SMEs in building an online presence. The new project will expand their job tech marketplace service from Addis Ababa to three additional cities, impacting over 1.5 million people. They will also introduce “Taskcenter,” a feature enabling service providers to access working tools, and “Taskcredit,” offering credit based on service providers’ credit history. This expansion aims to provide more value to workers and increase service adoption.
Ensibuuko | Uganda
Ensibuuko utilizes technological solutions to empower community-based savings and loans organizations. Previous GSMA grants helped them develop a USSD mobile banking platform for SACCOs, impacting 1.3 million beneficiaries, and a localised version of the GSMA Mobile Internet Skills Training Toolkit, benefiting 40,000 users. With the new funding, Ensibuuko plans to expand their mobile banking platform by creating an Android application version and incorporating functionalities like bill payments and overdraft loans. They will also establish their own USSD code to save on operational costs. This project aims to reach 45,000 new users and achieve a break-even point for their platform.
Freetown Waste Transformers (FWT) | Sierra Leone
FWT provides integrated waste management solutions, turning organic waste into electricity, heat, and natural fertilizer. A previous GSMA grant enabled them to launch the “DortiBox App,” improving waste coordination and impacting 46,000+ users. The new project will make DortiBox accessible on any device through USSD codes and include voice guidance in Krio and English, enhancing usability for illiterate and low-income users. This initiative aims to reach more low-income households and improve waste management efficiency.
In addition to grant funding, the GSMA will provide grantees with:
- Customized technical assistance
- Opportunities for knowledge exchange with other grantees
- Networking opportunities
- Facilitation of relationships with mobile operators and public sector organizations, where relevant
- Opportunities to enhance visibility and profile to potential investors and partners
- Monitoring, evaluation, and learning support to track KPIs and conduct a scalability survey
