Why a growing number of Chinese investors are looking to Africa’s tech space
- Size of continent – where 60 per cent of the population is under 25 – is the biggest motivation, fintech executive says
- African nations can also learn from China’s fintech sector, according to founder of payment infrastructure firm
“There have been a lot of Chinese investors looking at Africa’s tech space. After all, Africa has 54 countries with over a billion people, there are many opportunities,” said Sandra Hua Yao, senior vice-president for Thunes.
The Singapore-based fintech company is behind infrastructure that powers cross-border payments in 130 countries – 35 of them in Africa – with GGV Capital among its initial investors.
Yao, who has been working in finance and tech firms in Kenya since 2005, was speaking on the sidelines of the Inclusive FinTech Forum in Kigali, Rwanda last month.
She pointed to companies like Opera that have set up big operations in Nigeria and other African nations.
Opera is the web-browser unit of Beijing Kunlun Tech – founded by Chinese billionaire Zhou Yahui – and it developed the Africa-focused e-commerce and payment start-up OPay.
Yao also noted the growth of Chinese smartphone makers such as Xiaomi, Oppo and Transsion – the firm behind Africa’s top selling handsets Tecno, Itel and Infinix – and e-commerce site Kilimall, as well as Chinese-owned digital lending apps and cross-border payment platforms.