Money
Chinese investors flock to Africa amid a fintech startup boom
Chinese investors are flocking back to Africa amid a fintech startup boom
The Covid-19 pandemic has induced a financial slump in Africa. This has seen Chinese investors flock to the continent in hope of cashing in on the gains.
One of the biggest players on the market at the moment is OPay – a mobile payments platform that has raised US$400 million. This has pushed its valuation to 2 billion.
OPay’s CEO says the company “wants to be the power that helps emerging markets reach a faster economic development”
The Chinese tycoon is also the founder of online games firm “Beijing Kunlun Technology” and was the previous owner of gay dating app, Grindr.
This all follows Chinese venture capitalists pumping millions of dollars into start-ups on the African continent between 2018 and 2019.
Economic uncertainty throughout the pandemic led to investors pulling funding to reduce risk, but investors are seemingly back on the market for fintech startups.