As Africa’s fintech sector continues to boom, the issue of inadequate funding is casting a long shadow over its potential to drive financial inclusion across the continent.
At the GITEX Africa 2025 summit held in Marrakech, Morocco, investors, regulators, and entrepreneurs gathered to explore how fintechs can overcome funding hurdles and fulfill their transformative promise. One standout discussion, “Vision to Venture – Investing in African Fintech,” unpacked strategies to bridge the investment gap.
Speaking to Biometric Update after the panel, Pierre Celestin Rwabukumba, CEO of the Rwanda Stock Exchange and President of the East African Securities Exchanges Association, emphasized that fintech innovation is inseparable from financial inclusion progress in Africa.
“Fintechs are innovative, youthful, and dynamic. They understand the needs of tomorrow,” said Rwabukumba. “Without them, we wouldn’t have seen much progress in expanding financial access.”
He stressed that fintechs must receive significant investment to scale their solutions, especially as they target underserved populations.
Rwabukumba pointed to key reasons why funding remains elusive: a lack of trust among African investors, limited founder experience in business management, and poor ecosystem coordination.
“Having a great idea isn’t enough. Many startups need mentorship, business skills, and ecosystem support to thrive,” he said. “Governments are helping through sandboxes that let startups validate ideas before seeking funding, but more needs to be done.”
Rwabukumba argued that Africa’s stock exchanges can play a greater role in fintech financing—not just as exit platforms for established firms but as growth enablers for startups.
“Stock markets can serve both purposes—raising capital and enabling exits. We just need to adjust the legal frameworks,” he said.
In Rwanda, the Capital Market Investment Clinic offers guidance to help businesses become investment-ready. Rwabukumba believes similar programs could be scaled continent-wide.
“Investors want solid fundamentals. Fintechs must be prepared to meet those expectations, and regulators must ensure the path to investment is smooth without sacrificing standards,” he said.
While some African startups, such as Jumia, have exited through foreign markets like the New York Stock Exchange, Rwabukumba sees untapped potential in keeping capital flows within Africa.
“There’s no reason why African companies shouldn’t find growth capital and exit options here at home,” he said. “Cross-border collaboration can make that a reality.”
His call echoes a recurring message at the GITEX summit: Africa must strengthen its internal digital and financial infrastructure to reduce reliance on external systems.
As fintech adoption surges, African governments, investors, and regulators are being urged to work in tandem to unlock capital for innovation. Experts agree: sustainable funding isn’t just about writing checks—it’s about building ecosystems that support startups from idea to IPO.
