💰Lendsqr has $1billion to lend

Plus: 🛰️ Kenya and Italy to launch satellites

Innovation Village
October 15, 2024

Today’s Menu ☕️

💰Fintech startup Lendsqr introduces ₦1 billion working capital facility for lending businesses
⚖️ Nigeria proposes legislation requiring finance professionals to provide Tax ID for bank account operations
💰Endeavor South Africa achieves $11 million initial funding for Harvest Fund III
💸 Safaricom expands M-PESA Global to enable money transfers from Kenya to Ethiopia
🛰️ Kenya and Italy plan to launch earth observation satellites in the near future

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💰CAPITAL

Fintech startup Lendsqr introduces ₦1 billion working capital facility for lending businesses

Adedeji Olowe, CEO Lendsqr

Lendsqr, a pioneering startup that equips companies with the necessary software to launch a lending operation, has announced an innovative service for its clientele. Starting now, Lendsqr will extend lines of credit to its clients, enabling them to issue more loans and thereby accelerate the growth of their businesses. Since its inception in 2018, Lendsqr has amassed a notable client list including Kredi, Snapcash, and Blockacash, and plans to provide these businesses with overdraft facilities from a dedicated ₦1 billion fund.

The company, which boasts a vast network of “thousands of lenders servicing millions of clients,” intends to offer qualified lenders a 4% monthly interest rate. Importantly, Lendsqr specifies that interest will only accrue on the portion of the credit line actually utilized by the retail lenders.......continue reading

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⚖️ REGULATION

Nigeria proposes legislation requiring finance professionals to provide Tax ID for bank account operations

The Nigerian federal government has introduced a new legislative proposal that mandates individuals working in sectors such as banking, insurance, stockbroking, and other financial services to present a Tax Identification Number (TIN) before they can open or operate a bank account. The proposed legislation, officially titled “A Bill for an Act to Provide for the Assessment, Collection of, and Accounting for Revenue Accruing to the Federation, Federal, States, and Local Governments; Prescribe the Powers and Functions of Tax Authorities, and for Related Matters,” was presented to the National Assembly on October 4, 2024.

The primary objective of the bill is to bolster tax compliance and enhance the efficiency of revenue collection throughout Nigeria. It stipulates that financial service professionals are required to supply a TIN as a prerequisite for account operation, thereby ensuring their proper registration with tax authorities. The bill provides an exemption for non-resident individuals who only receive passive income from investments within Nigeria, although they are still obligated to furnish pertinent information to the tax authorities........continue reading

💰FUNDING

Endeavor South Africa achieves $11 million initial funding for Harvest Fund III

Endeavor South Africa has recently achieved a significant milestone by completing the first close of its Harvest Fund III, amassing ZAR190 million (approximately US$11 million) towards its ambitious ZAR500 million (around US$28.8 million) goal. This fund is dedicated to fostering the expansion of tech-oriented businesses with high growth potential throughout the African continent.

Since establishing its presence in 2004, Endeavor South Africa has been instrumental in providing emerging companies with essential resources such as mentorship, a vast global network, and financial support. This is achieved through connections with investors within its expansive network, the Endeavor Global Catalyst Fund, and the organization’s own Harvest Fund initiative.

The third iteration of the Harvest Fund has successfully secured ZAR190 million of its ZAR500 million target, with significant contributions from leading investors such as Standard Bank, Allan Gray, and the SA SME Fund. This initial funding round coincides with the final investment from the successful ZAR190 million Harvest Fund II, which has invested in 19 ventures across 17 companies...........continue reading

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💸 MONEY TRANSFER

Safaricom expands M-PESA Global to enable money transfers from Kenya to Ethiopia

Safaricom has broadened the reach of its M-PESA Global money transfer service by introducing it to Ethiopia, enabling customers of M-PESA Kenya to execute mobile money transfers to their counterparts in M-PESA Ethiopia through the M-PESA International Remittance feature. This strategic move is designed to boost the adoption and usage of mobile money services within Ethiopia. Additionally, this expansion allows M-PESA customers to engage in money transfers with over 190 countries globally.

This development comes 14 months subsequent to Safaricom’s initiation of its M-PESA mobile money service in Ethiopia in August 2023. This was made possible after Safaricom obtained a Payment Instrument Issuer Licence from the National Bank of Ethiopia. In May 2023, a consortium led by Safaricom was granted a license to introduce M-PESA mobile money services in Ethiopia, for which it paid $150 million to the National Bank of Ethiopia (NBE)........continue reading

🛰️ SATELLITE

Kenya and Italy plan to launch earth observation satellites in the near future

Italy’s Minister of Enterprises and Made in Italy, Adolfo Urso, has announced an initiative to rejuvenate the Luigi Broglio Space Centre, an Italian-operated launch site situated near Malindi, Kenya. This revival is part of a collaborative effort between Italy and Kenya, aligning with the objectives of the Mattei Plan—an Italian developmental program aimed at supporting African nations.

Minister Urso outlined the vision for the space centre, stating, “The idea is to give a new, more ambitious mission to this base and use it for the launch of low-orbit micro satellites for Earth observation, with a particular focus on monitoring climate change phenomena such as desertification.” He further emphasized the centre’s role in enhancing capacity building and providing training opportunities for Kenyan students, industry professionals, and scientists.

Kenya has successfully launched three satellites since 2018, although these have been deployed from foreign launch sites. The revitalization of the Luigi Broglio Space Centre is expected to significantly bolster Kenya’s space capabilities, offering the government and private entities a more cost-effective and convenient domestic launch option. This development is anticipated to yield several benefits, including increased revenue and a stronger position in the competitive space industry........continue reading