Rwanda is fast becoming the first of Africa’s major tech hubs as it is set to host Timbuktu, the headquarters of the United Nations Development Programme’s (UNDP) new innovation financing hub.
The new hub is part of the UNDP’s goal to kickstart Africa’s startup revolution. It also aims at discussing the gaps of early-stage risk capital while also striving to grow global-class entrepreneurs and open the ‘One Africa market.’
According to a report by The New Times the programme plans to invest $1B in incentive capital and commercial capital over the next 10 years. It aims to create an innovation network that is evenly distributed among eight pan African hubs, each located in particular ecosystems on the continent. This new project plan will benefit over 1000 startups across all continents.
After a discussion between Paul Kagame, the President of Rwanda and UNDP representatives, AhunnaEziakonwa, Assistant Secretary-General and Director, UNDP-Africa, it was determined that UNDP will indirectly support the venture-building of each of these eight hubs. UNDP is currently mobilizing funds for this funding.
Each hub will have its own subsidiary funds. The fund will be used to invest in the fund. These hubs will be private managed and will need to collaborate closely with colleges, talent centres, corporations, or other ecosystems.
The Parent Fund, UNDP will fund the eight hubs and then provide subsidiary venture funds to attract private coinvestors. This will make each hub a global center for innovation excellence and provide a private, professional hub manager.
The focus sectors are fintech, logistics creatives and agriculture-tech.
Rwanda, The Beautiful Bride
Despite the economic turmoil and setbacks, Africa is experiencing rapid growth in the technology sector. The country’s tech startups have thrived over the years, and Rwanda has played a major role in this tech growth.
Rwanda stands out for its rapid growth, despite having many tech startups in larger countries across Africa.
Rwanda is already well-known on the continent with a tech ecosystem that attracts both international investors and start-up entrepreneurs. This reputation has been helped by the construction of Kigali Innovation City, a part of the government’s Vision 2020 initiative.
Kigali, the capital of Rwanda some of the world’s most prestigious tech events, such as the Africa Tech Summit and GSMA Mobile 360 Africa, have been hosted by the company. In 2018, Andela with approval from the Rwandan government In accordance with the Rwandan government, a Kigali office was opened to train and recruit Rwandans.