Brydging a trade gap

Nigerians are selling their identities for urgent 2k. NIMC wants it to stop.

Nigeria’s National Identity Management Commission (NIMC) has warned Nigerians against selling their national identification numbers (NIN) and user data to fraudsters.

This warning follows findings by the Economic and Financial Crimes Commission (EFCC), which uncovered a large-scale operation involving 12,000 Nigerian youths collecting and trading NIN details. According to EFCC, some Nigerians sell their private data to fraudsters for as little as $0.98. They then sell this data to suspected fintechs at $3.27—creating a network of sellers and buyers that jeopardise data security at a national level. This action is considered illegal and punishable under the NIMC Act No. 23 of 2007 , the Data Protection Act, and the Cybercrime Act.

What might rogue fintechs be doing with this data? NINs are essential for onboarding customers, verifying identities, and granting access to financial services. Fintechs acquiring them outside official channels could be using them to speed up customer acquisition or meet Know-Your-Customer (KYC) requirements.

It seems like a trend: In April, the identity commission warned Nigerians to avoid being lured to submit their NIN for money following a discovery of such a situation in Anambra State. In June last year, Paradigm Initiative, a Pan-African social enterprise, raised an alarm over its discovery of data belonging to Nigerians—including NIN and Bank Verification Number (BVN)—on a website for as low as $0.065. This discovery prompted the NIMC to to restrict third-party access to its database.

To curb this trend, NIMC is urging Nigerians to secure their identities using its newly launched verification service, NINAuth, and warns that unverified NIN use increases nationwide security risks. .

Most big problems are just collections of smaller, messy ones. Take intra-African trade. It’s stuck at 17% of the continent’s total, a pathetic sliver. This is due to trust deficit, tough logistical constraints, low market visibility, high tariffs, and expensive currency conversion.

The African Continental Free Trade Area (AfCFTA) aims to fix it, but a policy can only go so far. Someone still has to create the infrastructure that will enable traders to benefit from the policy.

That's where Brydge comes in. This Nigerian startup, founded by Nathan Agama, launched in 2023 with a modest $315,000 from Standard Bank Group and Mastercard Foundation. They've already moved ₦4.8 billion ($2.9 million) in transactions and disbursed ₦100 million ($61,000) in trade financing to 42 small and medium businesses.

Brydge works by orchestrating payment, sourcing, and logistics technology from licensed providers, enabling traders to access all services from one platform. Agama says some of its users have seen weekly transactions jump from $10,000 to $100,000.

For its services, Brydge charges 0.5–1% transaction fees, capped at $500. It also makes money from FX margins.

The big picture: Agama's ambition isn't small. He wants Brydge to be the backbone of Africa's $3 trillion intra-continental trade market. By 2030, he’s targeting a $50 million GMV, 5,000 active buyers, and operations in 10 key African markets. They’re raising a $750,000 pre-seed round now, betting on sustainable growth. Watch out for the full story on TechCabal.

Sun King, one of the largest solar companies in Africa, has raised $156 million to scale its solar reach across Kenya. This funding will deliver up to 1.4 million solar products and smartphones to Kenyan homes and small businesses—many of whom are still off-grid.

Who’s funding it? The funding is backed by a mix of international and local commercial banks, including Citigroup Inc., Stanbic Bank Kenya Ltd., Absa Group Ltd., the Co-operative Bank of Kenya, and KCB Bank Kenya Ltd.—alongside development finance institutions, including British International Investment, FMO, and Norfund.

Sun King? Sun King is the provider of off-grid solar energy products in Africa that provides small solar kits and batteries that households can pay for in daily installments. This fundraiser follows a recent $80 million raise to scale solar energy in Nigeria. In 2022, the company also raised $260 million in Series D funding to widen clean energy access in Africa and Asia.

Here's why it matters: This isn't just a big cheque (it is, but it’s also more than that). It is a signal that local commercial banks are now putting significant capital into supporting local startups. This funding is essential in helping Kenya's push toward universal electricity access by 2030.

Zoom out With Kenya already a regional leader in solar-powered electrification, Sun King's fundraiser hints at something bigger. If local commercial banks keep backing off-grid solutions, Africa could unlock energy access faster, without waiting on foreign aid

Money is flowing back to African startups!

Africa’s tech ecosystem raised $1.42 billion in the first half of this year, representing an 78% increase compared to the first half of last year. The performance so far already accounts for nearly 63% of the total amount raised for the whole of 2024.

There’s more: Fintech maintained its number one position as the sector with the most funding, securing 70 deals worth $638.8 million so far this year. Logistics and healthcare come in second and third place.

Nigeria, Egypt, South Africa, and Kenya received the most funding, with approximately $1.08 billion in total for the tier-1 markets. Senegal leads the Tier 2 and Tier 3 markets, securing $148 million in deals.

Acquisitions: In the first half, 29 M&A deals were recorded, marking the highest number for any H1 period on record. This represents a 45% increase compared to the 20 deals for H1 2024. Since 2023, West Africa and South Africa have had the highest number of M&A deals, with both regions recording 24 deals each. As the ecosystem continues to mature, we can expect more news on mergers and acquisitions (M&A) as businesses become increasingly focused on scaling for survival.

Big picture: As performance continues to improve, the tech ecosystem is in a good position to surpass last year’s $2.2 billion total funding. This could bring some positive news to the ecosystem’s troubles. There’s more about how Africa’s tech ecosystem performed in our State of Tech in Africa report. Read and share with your network.