Issue 57: DBE Allocates 4 Billion Br for Startups

Hello, The Development Bank of Ethiopia announced it has allocated four billion birr to finance startups.Meanwhile, the Cooperative Bank of Oromia’s uncollateralized digital lending product, Michu, has disbursed over 200 million birr loan facilities since it started operation in May 2022.Recap the week with Shega Weekly.If you are here because someone forwarded you this email, you can subscribe here to get future newsletters.

Development Bank of Ethiopia Allocates 4 Billion Br for Financing Startups

The Development Bank of Ethiopia (DBE) announced it has allocated four billion birr that will go into financing startups.The Bank, which shared the statement on its social media page last week, added that the fund would be increased if necessary.  It’s been a year since the DBE announced it is preparing to invest in startups and innovative ideas. It also stated that it was developing a model in line with the country’s investment needs.Founders are expected to reach out to DBE with the necessary requirements fulfilled, and the Bank is promising to help within its mandate.It’s to be recalled that three months ago the Bank stated that it has set aside 10 billion birr as it plans to continue providing financial access for small and medium enterprises.The Digital Ethiopia Strategy 2025 stipulates that available sources such as DBE and other investment channels should be used to improve access to finance.

Forex Crunch Pushes Marathon Motors to Discontinue Electric Car AssemblyEthiopia’s pioneer electric car assembler, Marathon Motors Plc, has been forced to temporarily halt its production line dedicated to electric cars due to a critical shortage of foreign currency to import components, the reporter announced. Read More.

5G goes Live in AdamaAs part of expanding its 5G mobile service infrastructure and commercializing the service to regional cities, Ethio Telecom has launched a 5G mobile network in Adama City, reported Capital Newspaper. Read More. 

EthSwitch to Implement Shared Security Operation Center for the Financial SectorEthSwitch, the national switch operator, has embarked on a project establishing a shared security operation center (SOC) to safeguard the financial and digital payment industries. Read More.

Sports Betting Firms in Tough Spot

The Reporter has stated that sports betting companies are in a bad situation as their accounts were frozen by the National Bank of Ethiopia following a major crackdown on the black market and Hawala money transfer operators. Read More.

Shega, Make-IT in Africa, Briter Bridges Launch Fundraising Guide for Founders in Ethiopia

Shega, in partnership with the GIZ project Make-IT in Africa and Briter Bridges, has developed a guide for early-stage startups looking to fundraise in Ethiopia. Read More.

Addis Alemayehou Partners with Japanese Entrepreneur to Bring Clean Tech Startup Dodai to Ethiopia

Serial investor and Chairman of Kazana Group, Addis Alemayehou, has partnered with Japanese entrepreneur Yuma Sasaki to set up clean tech startup Dodai in Ethiopia. Read More.

Coop’s Uncollateralized Digital Lending Product, Michu, Disburses 200M Br Loans in 6 months

Cooperative Bank of Oromia’s (coop) uncollateralized digital lending product, Michu, has disbursed over 200 million birr loan facilities since it started operation in May 2022. Read More.

Event Alert 

EdTech MondaysThe second episode of EdTech Mondays, a radio show launched to facilitate critical conversations on using technology for teaching and learning in Ethiopia, is set to air today, November 7, 2022, on Ethio FM 107.8 at 8 p.m

Here is what we've been reading:

Kenyan startup, Nuzo launches blockchain-powered eCommerce for AfricaFintech in Latin America and Africa Is Breaking the MoldStanford Alum Bags North Africa’s Biggest Tech Funding RoundIf you are here because someone forwarded you this email, you can subscribe here to get future newsletters.