African startups are making significant progress. In this context, the digital economy platform FollowICT highlights the top startup news across Africa over the past week.
M-KOPA Kenya Mobility Secures $30 Million Debt Facility to Expand Electric Motorcycle Financing in Kenya
M-KOPA Kenya Mobility, the mobility financing arm of African fintech group M-KOPA, has secured a $30 million senior debt facility from Dutch development bank FMO to accelerate the adoption of electric motorcycles in Kenya. The financing, structured in three tranches, will primarily support the company’s growing pay-as-you-go financing portfolio.
Established in 2023, M-KOPA Kenya Mobility provides financing for electric motorcycles from manufacturers including Roam Air, Ampersand, and Spiro, while also serving fleet operators such as Bolt. Its financing packages include insurance, roadside assistance, theft tracking, and a two-year warranty.
The new funding is expected to address the shortage of local-currency financing for clean mobility companies in Kenya, a key obstacle to sector growth. FMO classified the investment under its Green and Reduced Inequalities impact labels, highlighting its contribution to sustainable transportation and financial inclusion.
Three Ghanaian Startups Raise $500,000 from Africa Ecosystem Catalysts Facility
Ghanaian startups Built Financial Technologies, GrowForMe, and SAYeTECH have secured a combined $500,000 in funding from the Africa Ecosystem Catalysts Facility, a $4 million investment initiative supporting early-stage startups that are often overlooked by traditional investors.
Managed by Village Capital with backing from FMO and the Netherlands Enterprise Agency (RVO), the facility focuses on startups in Ghana, Nigeria, and Tanzania that promote climate resilience and economic mobility. The investment model relies on local ecosystem partners to identify high-potential founders and build investment pipelines.
The three funded startups operate in strategic sectors: Built Financial Technologies helps SMEs digitize operations, GrowForMe connects farmers with financing and essential services, while SAYeTECH develops smart agricultural machinery. The latest investments bring the facility’s total funding in Ghana to $850,000.
Launch Africa Ventures Invests in South African Fintech Startup Zazu
South African fintech startup Zazu has secured seed funding from Launch Africa Ventures to accelerate its mission of becoming the financial operating system for small and medium-sized businesses across Africa. The company did not disclose the size of the investment.
Founded in 2024, Zazu offers an integrated Finance OS that combines business banking, invoicing, expense management, and bookkeeping into a single platform, helping entrepreneurs simplify their financial operations.
According to the company, the new funding will support product development, expand platform capabilities, and strengthen its position as it scales across African markets with a growing suite of financial management tools.
Fusepay Launches AI-Powered Fuse360 Platform for Trade Businesses
Seychelles-based fintech company Fusepay has launched Fuse360, an artificial intelligence-powered business management platform designed for wholesalers, distributors, and manufacturers by integrating inventory, orders, invoicing, payments, and customer management into one system.
The platform uses AI agents to automate repetitive operational tasks, including payment reconciliation, collections, reporting, business analytics, and credit monitoring, while supporting employees rather than replacing them.
Fuse360 also provides a retailer portal for managing orders and invoices, along with AI-powered credit intelligence that analyzes payment behavior and financial exposure, enabling suppliers to make more informed credit decisions.
Uganda’s SHONA Capital Secures $5 Million to Expand SME Lending
Ugandan fintech lender SHONA Capital has secured a $5 million investment from TLG Capital through the Africa Growth Impact Fund II (AGIF II) to expand technology-enabled financing for small and medium-sized enterprises across Uganda.
The company combines digital technology with alternative credit underwriting models to speed up loan approvals for businesses operating in sectors including food, healthcare, retail, and manufacturing, helping underserved SMEs gain faster access to financing.
Since its launch in 2022, SHONA Capital has disbursed more than $6.5 million to over 150 businesses, supporting more than 400 jobs, with a strong focus on women-owned and women-led enterprises.
Three Tunisian Startups Advance to Startup World Cup Finals in California
Tunisian startups Pwn & Patch, Pixii Motors, and WaterSec have qualified for the global finals of the Startup World Cup, set to take place in California this November, where they will compete for the event’s $1 million grand prize.
The startups were selected during the Tunisia Digital Summit, following a competitive process that attracted more than 160 applicants before narrowing the field to ten finalists who pitched before a panel of local and international investors.
Pwn & Patch claimed first place with its cybersecurity solution, Pixii Motors finished second for its sustainable mobility innovation, while WaterSec secured third place with its smart water management technology.
Oxano Capital Invests in Sevi to Expand SME Stock Financing in Kenya
Oxano Capital has invested in fintech startup Sevi to support the company’s expansion plans, accelerate product development, and strengthen embedded stock financing solutions for small retailers across Kenya.
Sevi operates an “Order Now, Pay Later” platform that allows retailers to purchase inventory on credit while suppliers receive immediate payment. Retailers then repay the financing through flexible installments as they generate sales.
The investment reflects growing investor confidence in embedded finance solutions that address Africa’s persistent SME financing gap by improving access to working capital for small businesses.
Codar Raises $1.5 Million to Expand AI and Digital Skills Training Across Africa
African edtech company Codar has raised $1.5 million in a funding round combining equity and debt to accelerate the expansion of its artificial intelligence and digital skills training programs across Africa.
The company plans to use the funding to establish new learning hubs, upgrade its online platform, expand scholarship programs, and strengthen training in AI, cybersecurity, software engineering, cloud computing, and data analytics.
The investment comes as demand for digital talent continues to rise across Africa, with businesses increasing investments in AI and emerging technologies while facing a shortage of skilled professionals.
Nigeria’s Nearpays Wins United Nations AI for Good Global Competition
Nigerian fintech startup Nearpays has become the first African company to win the United Nations’ AI for Good Innovation Factory global competition, receiving a total prize of $40,000 after outperforming more than 500 startups worldwide.
Nearpays developed an AI-powered SoftPOS platform that transforms Android smartphones into contactless payment terminals, enabling merchants to accept digital payments without investing in traditional point-of-sale hardware.
The judges recognized the company for its contribution to expanding digital financial infrastructure and promoting financial inclusion by helping small businesses build verifiable financial records that improve access to future financing.