Good Day,

Here’s what we cover in today’s newsletter:

• JP Morgan CEO to visit Africa

• Nigeria’s surprise rate increase

• Helios leads $100M M2P round

• Ecobank Fintech Challenge Final

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Support Daba at ECOBANK Fintech Challenge Final

Before going into today’s major stories, we're thrilled to announce Daba will be competing at the ECOBANK Fintech Challenge Final this Friday!

Join us at the event virtually and show your support as we take the stage in Lome, Togo.

CLICK HERE or tap the button below to register.

You can also vote for Daba as your “Preferred Fintech Challenge Finalist 2024”.

CLICK HERE or the button below to get started.

Note: Voting opens on Friday, September 27, 2024.

Together, we can help shape the future of finance and investing in Africa!

Now, let’s dive into this week’s major stories.

Markets Wrap

Markets

• Investors Pour Into Emerging Market Bond ETFs as Fed Cuts Rates

• Gold Hits Record High Amid West Asia Tensions, More Rate Cuts Hopes

• Bitcoin Climbs Above $64,000 as Crypto Market Rises on Fed Easing

Earnings & Dividends

• Ecobank CI Sees Net Profit Rise 6.2% in First-Half 2024

The Week’s Top Stories

Africa play

JPMorgan CEO Jamie Dimon to Visit Ivory Coast in Continent Tour

Jamie Dimon, CEO of JPMorgan—the world’s largest bank—plans to visit Ivory Coast in mid-October 2024 during an African tour. 

This will be Dimon's first visit to the French-speaking West African country, following exploratory missions by the JPMorgan team last year.

Dimon’s Africa tour will also cover Kenya, Nigeria, and South Africa, reflecting JPMorgan’s broader strategy to strengthen its footprint across the continent.

Rates divergence

Nigeria Raises Interest Rates to Record 27.25% to Combat Inflation

Despite inflation easing to a six-month low, Nigeria’s central bank raised its benchmark interest rate from 26.75% to 27.25% this week. 

That marks the 13th consecutive hike, surprising economists and financial market stakeholders. Conversely, South Africa lowered rates for the first time in four years. Nigeria’s move is part of efforts to curb soaring consumer prices and stabilize the naira. 

The central bank has raised rates by 15.75 percentage points since May 2022 to combat inflation, which slowed to 32.2% in August but remains high.

BaaS cash

Helios Leads $100M Round in M2P to Support Its Africa Expansion

Africa's fintech market is booming, but segments like Banking as a Service (BaaS) and infrastructure API remain largely untapped.

With the backing of Helios Investment Partners, one of the largest and most experienced Africa-focused private investment firms, India’s M2P Fintech is looking to capture this market after closing a $100m Series D round.

The funding comprises primary and secondary share capital and will help M2P expand its already expansive global footprint that cuts across 30 markets, with a strong focus on Africa.

Headline Roundup

A summary of the major business, tech, and finance headlines of the past week.

Economy and Macro

• South Africa's Central Bank Cuts Rates for First Time in Four Years

• Morocco Keeps Interest Rates Steady On June Cut Impact

• Angola's Central Bank Orders Banks to Boost Forex Liquidity

M&A and Corporate

• Chinese Miners Push Ahead with Zimbabwe Lithium Project

• Ivorian Lender Versus Increases Share Capital Per New Rules

• Egypt to Sell Stake in United Bank Through Local IPO in 2025

• US VC Firm Sultan Ventures Acquires Egypt’s Acasia Group

• Ghana's Economy Grows at Fastest Pace in Five Years in Q2

Startups and Tech

• Algerian Edtech Startup LabLabee Bags $3.4M Seed Funding

• Moroccan Startup Userguest Raises $2.4M to Drive Expansion

• Shell-Backed Ghanaian Startup Kofa Expands Battery-Swap Network

• B2B Payment Platform SETTLE Raises $2M in Pre-Seed Round

• Egyptian Edtech Startup Farid Secures $250,000 in Pre-Seed

Fundraising and Accelerators

• Startup-Led Group Launches $42M Education Initiative in Egypt

• Early-Stage Investor Uncap Unveils $33M Fund for African SMEs

• Athar Accelerator Graduates Fifth Cohort, Awards Top Climate Startup

Must-Reads on Daba

Boost your investing IQ with educational blogs and thematic articles on Africa.

Learn

• Bond Yields: What They Are and Mean for Your Investments

• Investing Basics: 21 Investment Terms Everyone Should Know

• Ten ETF Strategies Every Beginner Investor Should Know

Insights

• What Central Bank Rate Cuts Mean for Your Money in Africa

• Will Tech VC Funding in Africa Rebound on Interest Rate Cuts?

• Why Now Is a Good Time to Invest in African Venture Capital

Perspectives

• The Almanack of DFS Lab: Making Sense of VC Investing in Africa

• Is Africa’s Growth-Driven Fintech Boom Built to Last?

Opportunities Corner

Discover funding, awards, and accelerator opportunities to boost your startup's growth. Deadline in brackets.

• Future of Capitalism (Sep 30)

• Mastercard Agribusiness Challenge (Nov 22)

Chart of the week

Get more context into themes shaping Africa’s investing landscape.

Following U.S. Fed’s lead and cooling inflation, African central bankers are set to cut rates: The Federal Reserve cut interest rates by half a percentage point on Wednesday, marking the first reduction since early 2020. Amid slowing inflation, South Africa’s central bank has followed suit while Nigeria surprisingly hiked further. As the global monetary policy landscape shifts, click here or tap the button below to discover what this means for your money.

That’s it for this week.

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Catch you next week!