Morocco- and Uganda-based venture capital firm First Circle Capital has received a fresh US$6 million injection from the International Finance Corporation (IFC), part of the World Bank Group, to deepen its backing of early-stage fintech startups across Africa.
The capital will fuel First Circle’s strategy of investing in high-growth pre-seed and seed-stage companies tackling some of the continent’s most persistent financial challenges—ranging from access to basic financial services to digital infrastructure and embedded finance. Beyond writing cheques, the fund positions itself as a hands-on partner, providing operational support, business development guidance, and fundraising preparation to help founders reach Series A readiness faster and more efficiently.
First Circle Capital is targeting a total fund size of US$30 million and is building a relatively concentrated portfolio of around 24 startups. So far, it has already backed 15 startups across eight African markets, underlining both its pan-African ambition and its thesis-driven approach. Notably, 30% of its portfolio companies are led or co-founded by women, and half of the startups already operate across multiple countries—an important signal in a market where gender gaps and local-only models are still common.
The firm’s investment strategy is deeply thematic. Rather than placing scattered bets, First Circle backs ventures building the critical rails and applications that will underpin the next generation of African financial services—such as payment infrastructure, SME financing platforms, digital banking tools, and sector-specific financial products. This focus on foundational infrastructure reflects a broader belief that fintech remains central to unlocking productivity, inclusion, and growth across African economies.
The IFC’s US$6 million commitment is part of a wider coalition of development finance institutions, impact investors, and private backers rallying behind First Circle. The fund has also secured US$2 million from the Women Entrepreneurs Finance Initiative (We-Fi), a platform dedicated to expanding access to finance for women-led businesses. In addition, the Dutch Good Growth Fund (DGGF) has approved a further US$3 million, reinforcing the blended finance model often seen in African early-stage ecosystems.
Other backers include FSD Africa, MSMEDA, Axian Group, and a group of global tech entrepreneurs and family offices, among them Jens Hilgers, Tim Schumacher, Peter Steinberger, and Steve Anavi. Their participation brings not just capital but also networks, mentorship, and global operating experience to African founders in First Circle’s portfolio.
This latest raise signals growing institutional confidence in the long-term potential of African fintech. Despite macroeconomic headwinds and a tougher global fundraising environment, investors like IFC and DGGF continue to see fintech as a critical lever for financial inclusion, SME growth, and digital transformation.
