Weekly Investor Update (March-WeekOne-2025)

15 min Read March 7, 2025 at 5:00 PM UTC

Monday

South Africa’s Agricultural Exports Hit Record $13.7B in 2024

South Africa’s agricultural exports rose 3% to a record $13.7 billion in 2024, marking the sixth consecutive year of growth, according to a report by the Agricultural Business Chamber of South Africa (Agbiz). Citrus fruit and grapes led exports, with strong demand across key markets.African countries accounted for 44% of South Africa’s agricultural trade, followed by Asia and the Middle East (21%), the European Union (19%), and the Americas (6%). The United States received 4% of total shipments, with key exports including citrus, grapes, wine, and fruit juices. Despite the export growth, agricultural imports increased by 8% to $7.6 billion, driven by higher prices for wheat, palm oil, and rice. As a result, South Africa’s agricultural trade surplus declined 2% to $6.2 billion.While drought conditions affected grain and oilseed output, a strong fruit harvest and livestock recovery supported export growth. Agbiz noted that logistical efficiency remains a concern, though collaboration between Transnet and private industry has helped maintain trade flows.

South Africa’s agricultural exports continue to expand, but logistical inefficiencies and trade policy uncertainties remain key challenges. The country must secure existing markets and explore new ones to sustain growth, particularly as discussions in the U.S. about potential tariff hikes could affect trade under AGOA. To enhance competitiveness, South Africa must invest in port and rail infrastructure and improve market access in BRICS countries like China, India, and Saudi Arabia. Other potential high-growth markets include South Korea, Japan, Vietnam, Mexico, and the Philippines. With geopolitical tensions affecting global trade, South Africa’s ability to diversify its agricultural export destinations will be crucial to maintaining growth and stability in the sector.

Orange Côte d’Ivoire Raises 2024 Dividend Payout After $1.7B Revenue

Orange Côte d’Ivoire reported a 6.6% increase in revenue to 1.08 trillion FCFA ($1.72 billion) for 2024, driven by network investments, fiber expansion, and mobile network growth in rural areas. Despite rising energy costs and regulatory challenges, EBITDAaL grew 3.3% to 390.3 billion FCFA ($617.5 million), while net profit increased 2.1% to 158.2 billion FCFA ($250.3 million).The BRVM-listed company (ORAC), with operations in Côte d’Ivoire, Burkina Faso, and Liberia, faced declining voice and data prices but benefited from a strong fiber and mobile customer base. Financial expenses increased, mainly due to exchange rate impacts in Liberia.Orange Côte d’Ivoire announced a total dividend payout of 112.99 billion FCFA ($178.8 million), including 107.92 billion FCFA ($170.7 million) from net profits and 5.07 billion FCFA ($8 million) from reserves. Each share will receive a gross dividend of 750 FCFA ($1.19).

Orange Côte d’Ivoire’s steady revenue and profit growth come amid rising competition and inflation. The company’s fiber and mobile investments have strengthened its market position, but regulatory and pricing pressures remain concerns. The dividend distribution highlights strong cash flow, but increasing operational costs, particularly energy expenses and forex volatility in Liberia, could impact future margins. The telecom sector in Francophone West Africa remains competitive, with firms investing in infrastructure to support digital transformation and mobile money services. Orange’s ability to sustain revenue growth while navigating economic and regulatory challenges will be key to its long-term performance.

PepsiCo, Absa Back Mobile Marketplace for Farmers Khula

PepsiCo’s South African development fund and local lender Absa Group are supporting Khula, a mobile marketplace that helps farmers sell their products, access logistics, technical expertise, and secure financing.Khula, which has 20,000 users ranging from smallholder to commercial farmers, aims to raise R200 million ($10.7 million) by mid-2024. It has already secured R126 million in a funding round led by E Squared Investments, with existing shareholders, including AECI and the company’s founders, also participating. PepsiCo is the largest buyer on Khula’s closed trading platform, where pre-approved farmers can sell directly to supermarkets and other bulk buyers.The investment aligns with South Africa’s equity-equivalence programs, which require multinationals to support local economic initiatives instead of selling shares to Black South Africans. Khula plans to use its Series A funding to scale operations in South Africa and pilot expansion into East Africa and Latin America. The company’s valuation has grown tenfold since its 2023 seed round.

Khula’s funding reflects a broader push to modernize Africa’s agriculture sector, which employs 60% of the continent’s workforce but faces major financing and infrastructure gaps. The African Development Bank estimates the sector has a $65 billion annual funding shortfall. By integrating artificial intelligence, Khula helps farmers diagnose crop diseases through image recognition, improving productivity. The startup is also testing financing solutions for farmers, addressing one of the biggest barriers to agricultural growth in Africa. With major backers like PepsiCo and Absa, Khula’s model could help bridge the gap between farmers and commercial buyers, improving food security and supply chain efficiency across Africa.

South Africa’s Economy Returns to Growth in Fourth Quarter

South Africa’s economy expanded by 0.6% in the fourth quarter of 2024, following a slight contraction of 0.1% in the previous quarter, according to Statistics South Africa. The growth was slower than economists’ forecast of 0.9%, with only three out of ten industries showing growth.Agriculture, which had plunged nearly 29% in the third quarter, played a pivotal role in the recovery, rebounding by 17.2% in the fourth quarter. This helped lift overall GDP, although sectors like mining and manufacturing contracted by 0.2% and 0.6%, respectively. For the year, South Africa’s GDP grew by 0.6%, with a 0.9% year-on-year increase in the final quarter. Consumer spending also showed positive signs, growing 1.0% quarter-on-quarter and 2.3% year-on-year, the highest since early 2022.However, government consumption and investment fell by 0.6% and 2.7%, respectively. Despite challenges like power supply issues and declining government spending, Capital Economics has projected a growth rate of 2.3% for 2025, citing improving conditions in electricity supply, logistics, and inflation.

While South Africa’s economy rebounded modestly in the fourth quarter, driven by agriculture and consumer spending, sectors like mining and manufacturing lagged behind. This highlights the uneven recovery across the economy, with consumer confidence bolstering growth despite declines in government spending and investment. The outlook for 2025 remains cautiously optimistic, with Capital Economics predicting growth of 2.3%. Factors like improved electricity supply, easing logistical challenges, and low inflation could support economic expansion. However, ongoing risks such as global trade tensions and domestic policy changes could impact South Africa’s economic trajectory. Continued recovery will depend on consistent improvements in key sectors like energy and manufacturing.

Senegal’s Dollar Bonds Drop After S&P and Moody’s Downgrades

Senegal’s dollar bonds fell on Monday after S&P Global Ratings, citing weaker public finances. S&P lowered Senegal’s sovereign ratings to ‘B’ from ‘B+’ on February 28, following an audit that restated the country’s fiscal position, revealing a much higher debt-to-GDP ratio. Bonds maturing in 2031 lost 0.3% to 87.44 cents on the dollar, and securities due in 2048 fell 0.2% to 67.17 cents.The downgrade follows an investigation into Senegal’s finances, with the Court of Auditors revealing a revised debt-to-GDP ratio of 106% for 2024, compared to the previous estimate of 77%. This audit highlighted unreported investments funded through external loans and domestic bank debt, resulting in a more constrained fiscal position.Last week, Moody’s also downgraded Senegal’s long-term rating by two notches to B3, citing a significantly higher debt burden and governance deficiencies. The country’s bonds have underperformed in emerging markets this month, with securities maturing in 2048 losing 0.7% to 68.94 cents on the dollar.

Senegal’s downgraded ratings reflect growing investor concerns over the country’s fiscal health and governance issues. The country’s revised fiscal metrics reveal a deteriorating financial position, with debt rising faster than expected, signaling potential challenges in managing future debt servicing. The downgrade also reflects the risks tied to fiscal consolidation and financing plans. While S&P and Moody’s have issued stable outlooks, the country’s ability to address its fiscal challenges, especially with reduced access to market funding, could further affect investor sentiment. If fiscal deficits widen or debt repayment becomes more strained, further rating cuts remain a risk.

UN-Backed Nigeria Fund Targets $500M to Boost Renewable Energy Access

Nigeria, along with the United Nations, has set a $500 million target for a fund to expand access to renewable energy, especially in rural areas. The fund will focus on solar home systems and mini-grids, with a particular emphasis on providing energy to underserved communities.The initiative is backed by the Nigerian Sovereign Investment Authority and the UN’s Sustainable Energy for All (SEforALL) and will be managed by Africa50, an infrastructure investment platform created by the African Development Bank (AfDB). SEforALL CEO Damilola Ogunbiyi emphasized that the fund will be available in local currency, making it more accessible to local developers and encouraging investment in Nigeria’s renewable energy sector.This fund is part of the Mission 300 program, an initiative by the World Bank and AfDB, which aims to provide electricity to 300 million people across Africa by 2030. In addition, Africa50 is launching a separate $200 million Africa Solar Facility to support renewable energy projects across the continent. Currently, 86 million Nigerians lack access to electricity, highlighting the urgency of solutions like mini-grids and solar home systems to address the country’s energy crisis.

The creation of the $500 million fund marks a significant step toward addressing Nigeria’s long-standing electricity deficit, which has stunted economic growth. With over 86 million people lacking electricity, initiatives like Mission 300 and the renewable energy fund are crucial to providing affordable, reliable energy. Mini-grids and solar systems are becoming essential for providing electricity to rural areas, where the national grid is often inaccessible. The investment, supported by international financial institutions, underscores the growing importance of renewable energy in Africa’s development. Bridging Nigeria’s electricity gap will require large-scale funding and regulatory reforms, with renewable energy expected to play a central role in driving energy security and economic development across the continent.

LoftyInc Secures $43M for Third Fund to Invest in African Startups

LoftyInc Capital, an active investor in Africa’s startup ecosystem, has raised $43 million for the first close of its third fund, LoftyInc Alpha. The fund will focus on late-seed and Series A startups in Nigeria, Egypt, Kenya, and francophone Africa, broadening its target beyond earlier-stage investments.The fund has attracted diverse investors, including sovereign wealth funds like MSMEDA from Egypt and Anava Fund of Funds from Tunisia, development finance institutions such as FMO and the World Bank’s IFC, and African high-net-worth individuals and European family offices.LoftyInc, founded in 2012 by Idris Ayo Bello, has backed several high-profile startups, including Flutterwave and Andela. The firm’s second fund, raised in 2021, focused on pan-African investments and included Meta as an investor.

The launch of LoftyInc Alpha highlights the growing focus on scaling African startups beyond the pre-seed and seed stages. Africa’s venture capital landscape has seen a decline in ticket sizes for Series A and B rounds, pointing to the importance of supporting companies as they mature. By targeting the late-seed stage, LoftyInc plans to offer more than just capital. The firm aims to help startups navigate scaling challenges, facilitate connections with co-investors, and support operational growth. This approach can contribute to a stronger pipeline for Series A and growth-stage investments, reinforcing the need for more structured support in Africa’s evolving startup ecosystem. As the firm expands its geographical reach and adds experienced partners to its leadership team, LoftyInc Alpha is well-positioned to drive innovation across key sectors like fintech, health tech, logistics, and AI, contributing to the continent’s economic growth.

Kenyan Re-Commerce Startup Badili Secures $400K Debt from Proparco

Kenyan re-commerce startup Badili has raised $400,000 in debt financing from Proparco, the French development finance institution, through its Bridge by Digital Africa facility. The funding will support Badili’s expansion and sustainability efforts in providing refurbished smartphones at lower prices.Founded in 2021, Badili operates in Kenya, Tanzania, and Uganda, aggregating, repairing, and reselling used or damaged mobile phones through e-commerce platforms, local trade partners, and mobile network operators (MNOs). By refurbishing locally, Badili offers consumers access to top-tier smartphone brands at a fraction of the cost of new models.CEO Rishabh Lawania described the investment as a validation of Badili’s business model, which focuses on affordability, sustainability, and digital inclusion. The company aims to scale operations across Africa while helping reduce electronic waste and increase smartphone penetration.

Badili’s funding comes amid rising demand for affordable smartphones in Africa, where device costs remain a barrier to digital inclusion. By refurbishing and reselling phones, the startup is addressing both connectivity challenges and e-waste concerns, aligning with global sustainability goals. Proparco’s investment signals growing investor interest in circular economy models, particularly in Africa’s fast-growing mobile market. As Badili expands beyond East Africa, its success could pave the way for more investments in affordable, sustainable tech solutions across the continent.

UAE’s Dubizzle Group Acquires Egyptian Online Car Marketplace Hatla2ee

UAE-based Dubizzle Group has acquired Hatla2ee, Egypt’s leading online car marketplace, for an undisclosed amount. The deal strengthens Dubizzle’s presence in Egypt’s automotive sector by integrating Hatla2ee’s platform into its broader classifieds ecosystem.Founded in 2016 by Samy Swellam, Hatla2ee has grown into a major platform for buying and selling new and used cars, attracting over two million monthly visitors on its website and mobile app. The acquisition will allow Dubizzle Group to enhance the platform’s technology and provide a more seamless experience for Egyptian car buyers and sellers.Dubizzle Group, known for platforms such as dubizzle, Bayut, and Drive Arabia, has been expanding its footprint across the MENA region. CEO Haroon Rashid said the addition of Hatla2ee will allow Dubizzle to offer the widest range of automotive services in Egypt.

The acquisition of Hatla2ee underscores the growing consolidation in the MENA region’s digital classifieds sector, as platforms seek to expand their market share through strategic acquisitions. For Dubizzle, this move reinforces its commitment to Egypt, where it already operates leading platforms like dubizzle and Bayut. The integration of Hatla2ee’s established user base with Dubizzle’s technology could accelerate digital adoption in Egypt’s automotive market, improving the experience for both buyers and sellers. As competition in online car marketplaces increases across North Africa and the Gulf, further deals could follow as companies look to dominate regional markets with enhanced technology and broader service offerings.

Egypt’s Widebot Raises $3M to Build Arabic Large Language Model

Widebot, an Egyptian AI startup now based in Riyadh, Saudi Arabia, has raised $3 million in pre-Series A funding to develop “AQL Mind,” a large language model (LLM) designed for Arabic. The model will focus on understanding Arabic dialects and accents, catering to government and business applications.The funding round was led by Keheilan Asset Management II, backed by Saudi investment firm Wafra, with participation from Enza Capital, DisrupTech Ventures, LoftyInc Capital, Den VC, and SparkLabs Ventures.Widebot CEO and co-founder Mohammed Nabil said the model will help Saudi government agencies and businesses access more accurate, secure, and personalized AI experiences. Keheilan CEO Dr. Ahmed Abdelhamid emphasized the importance of investing in deep technology to strengthen national technological sovereignty and economic development in the region.

Widebot’s funding highlights the growing demand for Arabic AI solutions, as businesses and governments seek localized technology for communication and automation. The development of Arabic-focused LLMs aligns with Saudi Arabia’s broader push for AI leadership, as seen in NEOM and Vision 2030 initiatives. With regional investors backing AI infrastructure, Widebot’s AQL Mind could compete with global AI models, offering tailored solutions for Arabic-speaking markets. The success of this project could drive further investments in Arabic AI, bridging the gap in language accessibility for enterprises and public institutions across the Middle East and North Africa.

Disrupt Africa Reports 50% Dip in 2024 African Tech Funding to $1.1B

Investment in African tech startups fell by more than 50% to $1.1 billion in 2024, marking the second consecutive year of decline amid a global capital shortage, according to the African Tech Startups Funding Report by Disrupt Africa.A total of 200 startups secured funding, down more than 100% from 406 startups in 2023, when total investment reached $2.4 billion. The number of active investors also declined by 35%, while mergers and acquisitions (M&A) activity saw a significant drop.Despite the downturn, Africa’s “Big Four” tech hubs—Nigeria, Egypt, Kenya, and South Africa—retained their share of total funding, as investors focused on lower-risk markets. Fintech remained the most attractive sector but recorded a sharper decline in investment compared to previous years. While 2024 was challenging, recent data from Q4 2024 and Q1 2025 suggests a potential recovery.

The African tech ecosystem is grappling with tightened capital flows, mirroring global trends in venture funding slowdowns. Startups face longer fundraising cycles and tougher valuations, forcing many to adapt business models or seek alternative financing. Despite the drop, Africa’s long-term growth potential remains strong. Investors are still backing startups in fintech, health tech, and logistics, while regional players consolidate market share. If funding rebounds in 2025, as early indicators suggest, the ecosystem could regain momentum, positioning African startups for long-term sustainability.

Côte d’Ivoire Gold Production Set to Reach Record in 2025

Côte d’Ivoire is on track for a record year in gold production in 2025, driven by the Lafigué mine, which began operations in October 2024. Endeavour Mining’s mine is expected to significantly boost the country’s mining output, shifting focus from its traditional reliance on cocoa exports.According to Jean-Claude Diplo, former president of the Ivory Coast Gold Mine Producers Association (GPMCI), gold production is forecast to rise from 58 tonnes in 2024 to 62 tonnes in 2025. If investments in new mining projects continue, production could increase further.The Lafigué mine, located 500 kilometers north of Abidjan, is expected to produce between 180,000 and 210,000 ounces of gold in 2025. The mine is part of Côte d’Ivoire’s long-term strategy to diversify revenue sources beyond agriculture and attract international mining companies.

The expansion of Côte d’Ivoire’s gold industry places the country in direct competition with Mali, Burkina Faso, and Ghana, the leading gold producers in West Africa. If current growth continues, Côte d’Ivoire could rival Ghana’s production by 2030, according to industry experts. The country’s favorable investment climate has drawn global mining firms like Barrick Gold, Perseus Mining, and Roxgold, strengthening its position as a growing hub for gold extraction. With untapped gold reserves and strategic investments, Côte d’Ivoire is set to become a key player in Africa’s mining sector.

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