Following the U.S.-Morocco Venture Capital Forum in Morocco in May, and Coordinator British A. Robinson’s recent trip to Egypt, Prosper Africa is refocusing its commitment to North Africa, with a particular emphasis on Egypt and Morocco. These dynamic countries offer vast growth potential, especially in tech and entrepreneurship. Through the use of tools such as transaction advisory services, Prosper Africa aims to open new business opportunities and drive economic growth.
Egypt’s Rise as a Tech Hub
Egypt has emerged as a leader for technology and entrepreneurship in two distinct geographies: as a key player in the larger African ecosystem and with a significant role in the Middle East and North Africa (MENA) region. From 2018 – 2023, Egyptian startups raised a record $1.2 billion in venture capital, reflecting strong investor confidence and enduring macroeconomic headwinds. Despite high interest rates and currency devaluations, Egypt remains a dominant player boasting the largest Total Addressable Market (TAM) in the region, making it a prime destination for investors.
With over half of its 116 million population under 30 and 300,000 new graduates each year, Egypt’s young talent is key to its digital economy. Startups like MNT-Halan, the country’s third unicorn, highlight the innovation potential. Egypt’s 278+ startups generate $500 million in exports annually and employ over 8,000 people. Prosper Africa’s mission is to connect these startups with U.S. investors, helping them enter global markets through advisory services and investor matchmaking.
Catalyzing Growth Through U.S. Tools and Diplomacy
In partnership with the USAID Mission in Egypt, Prosper Africa supports early-stage companies through advisory services.USAID Egypt has committed to supporting early-stage entrepreneurs. Through work with implementing partners like CrossBoundary, Prosper Africa streamlines deals and increases opportunities for U.S. investors in fintech, renewable energy, and manufacturing. These efforts are closely tied to U.S. diplomatic relations, with key figures like U.S. Ambassador to Egypt Herro Mustafa Garg and USAID Mission Director Sean Jones working to strengthen trade links between the U.S., Egypt, and broader African markets.
Morocco’s Growing Venture Capital Scene
Morocco plays a key role in Prosper Africa’s strategy. The recent U.S.-Morocco Venture Capital Forum underscored the growing importance of injecting venture capital to scale startups in Morocco’s emerging entrepreneurial ecosystem. Home-grown Moroccan startups are coming on the scene with the likes of Y Combinator-backed Business to Business (B2B) e-commerce platform Chari, transport management software provider Freterium, and Yola Fresh, an agtech startup that secured $7 million in pre-Series A funding to support its expansion across North Africa. Cross-border investment opportunities between North Africa and Sub-Saharan Africa are increasing, as seen in the merger between MaxAb (operating in Egypt and Morocco) and Wasoko (operating in East Africa).
Prosper Africa seeks to turbocharge this growth by working with leading accelerators and venture capital firms like Flat6Labs, Algebra Ventures, and 500 Global, who have a proven track record and experience in attracting capital from U.S. investors into these emerging markets across North Africa.
Unlocking Long-Term Opportunities
As Egypt and Morocco continue to grow as innovation and entrepreneurship hubs, Prosper Africa remains committed to building a sustainable framework for long-term trade and investment. The initiative not only boosts U.S.-North Africa trade, but also strengthens economic ties between North Africa and Sub-Saharan Africa.
By facilitating investment and providing transaction advisory support, Prosper Africa plays a pivotal role in transforming North Africa’s tech landscape. Its efforts enable U.S. investors to seize exciting investment opportunities emerging in Egypt, Morocco, and beyond.
Source: Prosper Africa
