The International Finance Corporation (IFC), a subsidiary of the World Bank Group, will provide $6 million in financing for technology start-ups in 4 sub-Saharan African countries, Ghana, Kenya, Nigeria, and South Africa.
The fund will be disbursed by TIDE Africa, owned by the UK-based venture capital firm, TLcom Capital LLP, which will also be responsible for identifying beneficiaries and distributing the funds, the local press reported on Tuesday.
The majority of TIDE’s investments will be concentrated in English-speaking Africa: Kenya, Nigeria, Ghana and South Africa, and the remaining allocation will be deployed in other countries in Western, Eastern and Southern Africa, with a sectoral focus on consumer services, financial services and business technologies, the same source said, quoting a statement from the financial institution.
The IFC says it will continue to support entrepreneurs and their ecosystems by helping them overcome the challenge of inadequate seed capital.
In 2018, the IFC invested a total of $23 billion in long-term financing for developing countries.