In 2021, Africa had 4 billion dollars of venture capital deployed as a continent. In the US, the same number was 134 billion dollars.
That is a huge gap in terms of capital being deployed but why does that matter? It’s really simple. If we care at all about closing the wealth gap and the inequalities between rich countries and poor countries, we need to enable emerging countries to rise.
The way to build economies is to build businesses. A country’s economy depends on its capacity to make money. The ability of a country to provide healthcare, education, roads, infrastructure, and more is all affected by the economy of that country. The quality of life for a country’s citizens is directly connected to a country’s GDP (Gross Domestic Product).
So how do we close the wealth gap?
The old saying “It takes money to make money” is to a large degree true. To create new jobs, new companies, new industries, new capital requires investment. We need to invest in people who will create businesses, jobs, and future revenue, building an economy from the bottom up.
This is what we are passionate about at Enygma Ventures. We focus on empowering female entrepreneurs to grow and scale businesses. As a business grows so does its impact on its community, the people it serves and employs and its economic contribution increases. That in turn creates uplift which creates the foundational building blocks of growing a nation’s economy. When you build businesses with exponential growth potential then you start to make a difference. Increasing the likelihood of closing the wealth gap and eliminating poverty.
Could you contribute to nation-building?
The African tech scene is still in its infancy which means extraordinary opportunities exist for investors. We’re at the beginning of a tech revolution that is taking off in Africa creating opportunities for Africa to leapfrog ahead and embrace and create new technologies while solving some of the world’s biggest problems. The opportunities that exist will not just drive extraordinary returns but also incredible impact.
We need foreign investment in Africa and we need to wrap our arms around the fact that Africa is the next frontier. Now is the time to get on board and back incredible people, doing incredible work to solve big problems. See our guide to investing in Africa’s SMME’s here to learn more about how you can directly invest in this new frontier.
Join us on this mission.