US-based fintech accelerator Digital Financial Services Lab (DFS Lab) announced that it will invest $200 000 in four African fintech startups, including Nobuntu, Cherehani Africa and NALA. The four investments bring the total DFS LAb portfolio to 12 startups.
In addition to the $50 000 investment per startup, the selected companies will also receive six months intensive mentorship and integration into a global network of experts who will be working with the four startups.
Commenting, DFS Lab director Jake Kendall said the accelerator is excited to have the opportunity to invest in companies that will improve, simplify and enrich people’s lives.
“Our current set of portfolio companies are using technology to create solutions for low-income and unbanked populations, providing high-impact advancement. We look forward to seeing these companies grow and encourage others to look at Africa and Asia for investment opportunities,” said Kendall.
Kaiser added that the startups, which are selected by a DFS Lab investor committee, would also not be asked to give up equity.
The early-stage accelerator aims to identify, accelerate and invest in fintech startups focusing on consumers in consumers in sub-Saharan Africa and Asia.
Last year, nine startups from Kenya, Tanzania, South Africa, Indonesia, Cameroon, France and the United States participated in a one-week DFS Lab bootcamp.
The Recipients
The selected startups are from Kenya, South Africa and include one US startup currently operating in Tanzania.
The fourth startup, a Kenyan digital lender is still in “stealth mode” and its identity was not disclosed in the statement.
Cherehani Africa (Kenya): Uses mobile-based technology to provide credit and distribute financial literacy content to women owned micro-enterprises.
NALA (Tanzania, US): Through its unified wallet, this fintech is aiming to offer Tanzanians digital financial services.
Nobuntu (South Africa): Community-minded savings solution which aims to help South Africans prepare for old age.
