More than 500 companies from 48 countries competed for a place in Renew Venture Lab as investors shift attention from traditional fintech to technology platforms serving Africa’s SMEs
African investment firm Renew Capital has selected 15 high-growth startups from more than 500 applicants across 48 African countries for its inaugural Renew Venture Lab: Embedded Finance (EmFi) Series, highlighting growing investor confidence in technology companies that integrate financial services into everyday business platforms.
The selected companies will advance to an intensive investment readiness programme and receive technical support as Renew Capital explores future investment opportunities in businesses developing embedded finance solutions for Africa’s small and medium-sized enterprises (SMEs).
The initiative reflects an important shift within Africa’s innovation economy. Rather than focusing exclusively on traditional fintech companies, investors are increasingly backing technology businesses that already serve SMEs through sectors such as agriculture, logistics, healthcare, trade, commerce and digital marketplaces, and are now expanding into financial services.
According to Renew Capital, Africa’s SMEs remain the continent’s largest source of employment while facing an estimated US$330 billion annual financing gap. The organisation believes that embedding financial products directly into digital platforms already used by businesses could significantly improve access to credit, payments and other financial services for underserved entrepreneurs.
Rapid growth in smartphone adoption and declining mobile data costs are further accelerating opportunities for embedded finance across Sub-Saharan Africa, enabling technology companies to leverage customer relationships and operational data to deliver financial products more effectively.
All participating startups were invited to expert learning sessions led by founders of some of Africa’s fastest-growing technology companies and specialists in embedded finance and Web3 technologies.
Following the initial screening process, 47 companies advanced to a pitch competition and received startup support valued at more than US$250,000 before the final 15 companies were selected for advanced technical training and investment consideration.
Commenting on the programme, Matthew Davis, Co-Chief Executive Officer of Renew Capital, said the future of SME banking in Africa may increasingly emerge from technology companies rather than conventional financial institutions.
“The next generation of Africa’s small business banks won’t be banks. They’ll be startups that already understand how SMEs operate, have their data and have earned their trust. These 15 companies are building from that advantage. That’s why we’re paying attention.”
The selected startups represent Ethiopia, Ghana, Kenya, Morocco, Nigeria, Senegal, South Africa, Togo, Uganda and Zambia, demonstrating the growing geographic diversity of Africa’s innovation ecosystem.
Selected Startups
The 15 companies advancing to the next stage of the Renew Venture Lab are:
- AgroCenta (Ghana)
- Boost Technology (Ghana)
- Dots for Africa (Senegal)
- Fanaka (Zambia)
- Kutana (Ghana)
- MajibuAfrica (Uganda)
- Marakisoft (Ethiopia)
- Oze (Ghana)
- Regxta (Nigeria)
- Rigo (Nigeria)
- Shiprazor (South Africa)
- Solimi (Togo)
- Tradevu (Nigeria)
- Z Systems (Morocco)
- Zendawa (Kenya)
Notably, Nigeria accounts for three of the fifteen selected startups, reflecting the country’s continued prominence within Africa’s technology and innovation landscape.
BrandiQ Insight
Embedded Finance Is Becoming Africa’s Next Fintech Revolution
The significance of Renew Capital’s initiative extends well beyond startup acceleration. It reflects one of the fastest-growing trends in global financial services: embedded finance. Unlike traditional banking, embedded finance integrates financial products—including payments, lending, insurance and savings – directly into digital platforms that businesses already use.
For entrepreneurs, this reduces friction by enabling them to access financial services without leaving their existing business applications.
Data Is Replacing Collateral
For decades, one of the greatest barriers to SME financing across Africa has been the lack of formal collateral and conventional credit histories.
Embedded finance offers a different approach. Technology platforms already possess valuable operational data on customer transactions, inventory management, logistics, supplier relationships and business performance.
This information can provide a more accurate picture of creditworthiness than traditional lending criteria. As a result, lenders can make faster, more informed financing decisions while expanding access to underserved businesses.
The Future of SME Banking May Not Be Traditional Banking
Matthew Davis’s observation that “the next generation of Africa’s small business banks won’t be banks” captures a profound transformation underway within financial services. Across the world, financial products are increasingly being delivered by technology platforms rather than traditional banking institutions.
Marketplaces, logistics companies, agricultural platforms, accounting software providers and digital commerce businesses are becoming financial intermediaries by embedding credit, payments and insurance directly into their services. This model is likely to reshape financial inclusion across Africa.
What This Means for Nigeria
Nigeria’s representation among the selected companies reinforces its position as one of Africa’s leading innovation ecosystems.
However, the country’s advantage will depend on its ability to continue nurturing startups, expanding access to investment capital and developing regulatory frameworks that encourage innovation while protecting consumers. As embedded finance continues to grow, collaboration between banks, fintech companies, investors and regulators will become increasingly important.
The Bigger Picture
The Renew Venture Lab highlights an important evolution in Africa’s digital economy. The continent’s next generation of financial innovation may not emerge solely from fintech companies. Instead, it may come from technology businesses solving everyday commercial problems and embedding financial services into the platforms entrepreneurs already trust. For investors, this represents a new investment thesis.
For startups, it offers a scalable path to growth. And for Africa’s millions of underserved SMEs, it could help narrow one of the continent’s most persistent barriers to economic development: access to finance.
