Investment firm Renew Capital has selected 15 African companies to advance through its inaugural Renew Venture Lab: EmFi Series, following an application process that attracted more than 500 companies from 48 countries across the continent.
The initiative highlights a growing trend in African financial technology, where companies serving small and medium-sized enterprises are increasingly embedding financial products directly into existing digital platforms rather than relying exclusively on traditional banking models.
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Africa’s small and medium-sized enterprises are major contributors to employment, but they continue to face a substantial financing shortage. The continent’s annual SME credit gap is estimated at approximately $330 billion, creating significant opportunities for technology companies capable of connecting businesses with financial services.
At the same time, Africa has developed the world’s largest mobile money market, while smartphone adoption across sub-Saharan Africa is projected to increase from 54% in 2024 to 81% by 2030. Falling data costs and growing digital adoption are creating new possibilities for businesses to deliver financial products through applications and other technology platforms.
Renew Capital said companies operating in areas such as digital payments, logistics, healthcare, agriculture and smart distribution can use existing customer relationships and business data to reach SMEs that traditional financial institutions may struggle to serve.
The 500-plus applicants were invited to exclusive expert sessions featuring founders from some of Africa’s fastest-growing companies. Participants also received guidance from specialists working in embedded finance and Web3.
From the initial applicant pool, 47 companies were selected for a pitch competition and received access to a startup package valued at more than $250,000. Following that stage, 15 companies were chosen for deeper technical training and consideration for investment.
The selected startups represent Ethiopia, Ghana, Kenya, Morocco, Nigeria, Senegal, South Africa, Togo, Uganda and Zambia, reflecting the geographic diversity of Africa’s emerging technology ecosystem.
Matthew Davis, Co-CEO of Renew Capital, said the next generation of financial institutions serving African SMEs could emerge from technology startups that already understand how small businesses operate and have established relationships and data within their customer networks.
Among the 15 selected companies are AgroCenta and Boost Technology from Ghana; Dots for Africa from Senegal; Fanaka from Zambia; Kutana and Oze from Ghana; MajibuAfrica from Uganda; Marakisoft from Ethiopia; Regxta, Rigo, Tradevu and other companies from Nigeria; Shiprazor from South Africa; Solimi from Togo; Z Systems from Morocco; and Zendawa from Kenya.
The companies operate across a range of sectors, demonstrating how embedded finance is expanding beyond conventional fintech. By integrating financing and other financial services into platforms that businesses already use, startups can potentially reduce barriers to accessing capital and other financial products.
Renew Capital’s selection process reflects growing investor interest in this model as African businesses become increasingly digital and financial services become integrated into commerce, agriculture, logistics, healthcare and other sectors.
For the selected startups, the next stage will involve additional technical development and investment consideration, potentially giving them access to capital and expertise needed to scale their solutions across African markets.
The initiative also points to a broader shift in Africa’s financial ecosystem: instead of SMEs having to approach banks separately for every financial service, technology companies embedded in their daily operations could increasingly become the platforms through which businesses access payments, credit and other financial products.
