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Private Sector Development

Can Africa’s tech start-up scene rise to the next level?

Ganesh Rasagam's picture
Pitch competition at the Global Entrepreneurship Congress in Johannesburg. Photo Credit: World Bank

In the decade since mobile money first sparked international interest in African innovation, hundreds of tech hubs have sprung up across the continent; global giants like GE have rushed in to build innovation centers; and the venture capital industry has steadily grown. Nevertheless, the continent’s tech scene continues to face challenges.

The rise of African innovation has inspired thousands of new start-ups, and this trend will continue into the foreseeable future. Existing acceleration programs, however, still leave growth-stage companies in need of additional support to secure investment and scale their businesses across borders. With many of the continent’s acceleration programs lacking in quality, we hoped to introduce an innovative post-acceleration program, XL Africa.

After infoDev launched its mLabs in Kenya, Senegal, and South Africa in 2011, they introduced incubation programs that successfully supported the creation of over 100 start-ups that raised close to $15 million in investments and grant funding, and developed over 500 digital products or services. As these ecosystems and start-ups have matured, more needs to be done to improve the marketability of these companies to global and local investors.

Chocolate innovation: Sweet tooth hackers solve cocoa farmers’ challenges

Katie Nunner's picture

While chocolate is a sweet treat for consumers around the world, its producers face many challenges. Every year, more than five million family farmers in countries like Côte d’Ivoire, Cameroon, Indonesia and Brazil produce about four and a half million tons of cocoa beans, according to the World Cocoa Foundation. Farm-level input providers, financial institutions, chocolate manufacturers, development organizations and more are coming together to create digital solutions to improve access to finance and boost agricultural productivity for a sustainable and climate smart cocoa supply chain. 

Last week, the World Cocoa Foundation’s partnership meeting brought together key stakeholders from small scale farmers to large multinationals including Cargill, Nestle, and Mars, under the theme “Accelerating Sustainability Through Technology and Innovation.”

To spark the industry into further innovation and collaboration, infoDev partnered with the WCF to sponsor the second annual Chocothon, a two-day hackathon where three teams came together to “hack” the cocoa supply chain and generate new creative solutions to the common challenges cocoa farmers and suppliers face. The Future Food Institute, the International Trade Center, and Valrhona, a premium chocolate manufacturer, were all heavily involved in the Chocothon as mentors and a number of us from infoDev joined in the excitement. Given their experience with cocoa supply chain partners, Valrhona’s co-sponsorship and engagement provided valuable insights to guide the ‘choco-hackers.’  

The Geo Cocoa, Kejetia, and Cocoa Run teams pose together with some of the Chocothon mentors.
Photo Credit: World Cocoa Foundation

Global Investment Competitiveness: New Insights on FDI

Anabel Gonzalez's picture

It is easy enough to find data on flows of foreign direct investment (FDI). There are also plenty of anecdotes out there that purportedly encapsulate what businesses worldwide are thinking. It is far more difficult, however, to establish rigorous connections between global investment trends and individual investment decisions by international companies. In the World Bank Group’s newly published Global Investment Competitiveness Report 2017–2018, our team does just this, combining new survey data, rigorous econometric analysis, and extensive literature reviews to reveal what is going on behind the headline numbers.

Here are some of the key takeaways:

A new generation of CEOs: Running a business in West Africa as a woman

Alexandre Laure's picture

Also available in: Français

What is it like to set up and run an incubator as a woman? The answer, much like anywhere else in the world for working women, is that it’s complicated.

In many countries, it’s still unusual to see women working in certain sectors. Regina Mbodj, CTIC Dakar CEO, knows very few women in Senegal who studied ICT. “When I came home and told people about my studies, a lot of people responded, 'I thought only men did that!'"

Mariem Kane, an engineer by training and now president of Mauritania’s incubator Hadina RIMTIC, said that career development can be difficult for women who have been trained in hard skills. “It’s tough for women to find opportunities in these sectors and, because we’re considered more suited to softer skills, we aren’t given the opportunity to prove ourselves.”

World Bank partners with LinkedIn for innovative data and insights on South Africa's most in-demand skills

Alan Fritzler's picture
When policymakers understand what’s happening in the economy—in real time and with real clarity—they can create better solutions to improve productivity, performance, and innovation.

A new generation of CEOs: Businesswomen in Africa discuss gender inclusion in the private sector

Alexandre Laure's picture

Also available in: Français

As we saw in our second blog, entrepreneurship plays a critical role in promoting sustainable growth. Yet, in many West-African countries, long-standing stigmas against the private sector are still big obstacles for women and young people who aspire to become entrepreneurs.
Family support, in particular, remains critical for women’s career choices, and the private sector doesn’t always enjoy a good reputation among parents. “It’s very hard for them [parents] to understand why we want to do this instead of getting a steady government job,” says Binta NdiayeMakeSense Africa CEO. “My mother is an entrepreneur, but she did that on top of her regular job and raising a family in France, so it’s not seen as a career in-and-of-itself.”
“Entrepreneurship is inherently risky, so if you don’t have that support and encouragement, or even your family’s blessing to go for it, I can understand that it could be extremely challenging for some women,” says Mariem Kane, founder and president of Mauritania’s incubator Hadina RIMTIC.

Ndiaye for one, though, is not deterred: “It’s up to us to educate them on this potential and to have the resolve to follow-through. If you can convince skeptical parents, you can convince any investor.” 
Considering that these incubators are run by women, do they make special efforts to recruit women entrepreneurs?
Lisa Barutel founder and CEO of La Fabrique, acknowledges that even though La Fabrique received a huge response to a recent call for proposals targeting women, far fewer apply to general calls that do not have a specific focus on women entrepreneurship. “Normally we don’t go out looking for candidates, as we can be inundated with applications, but when we noticed this discrepancy, we did launch a program to identify women with potential,” she says.

Re<Boot>: A more inclusive approach to rapid skills training programs

Alicia Hammond's picture

Digital technologies—mobile phones, computers, and the Internet—are reshaping our world. But to leverage this transformation, women and men will need to have the right mix of skills. Coding bootcamps, a type of rapid skills training program, have emerged as one approach to filling the gap.
Yet little is known about what works. In response, the World Bank Group developed Decoding Bootcamps, an initiative that evaluates the impact of coding bootcamps, with a focus on youth employment in emerging markets. Impact evaluation results from Lebanon, Colombia, and Kenya are forthcoming, but one important lesson has already become clear: To attract and retain women, bootcamps need a reboot.
With the support of the Umbrella Facility for Gender Equality, teams working on innovation and entrepreneurship, social inclusion, and gender equality have come together to design and test the impact of a different approach: coding bootcamps centered on the needs of women.
As groundwork, we set out to learn from providers who are trying to achieve this goal. Their experiences highlight three ways in which ICT skills training can attract, retain and help women thrive.

A new generation of CEOs: Six businesswomen discuss entrepreneurship and start-ups in West Africa

Alexandre Laure's picture

Also available in: Français

Across West Africa, it’s very difficult to find a workplace as innovative and diverse as business incubators. Known for their young, energized, and often gender-balanced staff, these organizations are an encouraging indication of what’s in store in the coming decades, as the region presents a younger, more open, and increasingly female workforce to the world.

In francophone West Africa—where there was not a single incubator at the beginning of 2011—six young women are currently leading major incubators, some of which have World Bank Group support.   

With backgrounds in computer science, engineering, finance, logistics, project management, and social entrepreneurship, these women have profiles that are just as varied and impressive as the start-ups they support. Given the World Bank Group’s commitment to promoting gender equality, as laid out in the Gender Strategy, our team talked to them to learn more about their work and leadership experience.