Connect with us

Features

3 Reasons Why You Should Consider Investing in Africa’s Agricultural Industry

Published

on

Africa’s Agriculture Industry

For frontier markets investors, Africa’s agriculture industry provides highly-interesting investment opportunities as it is a market with a high upside potential for growth.

In this article, you will be introduced to three reasons why you should consider investing in Africa’s agricultural sector.

Africa will become the “breadbasket of the world”

Africa has been referred to as the “breadbasket of the world” due to the vast resources and (potential) farming land it possesses.

In 2011, Kanayo Nwanze, president of the International Fund for Agricultural Development (IFAD), an agency of the UN, claimed that Africa should not only be able to feed itself but also the rest of the world.

Kindie Tesfaye, a scientist with the International Maize and Wheat Improvement Center in Addis Ababa, echoed Nwanze´s statement when he told Reuters in 2016 that if African governments could manage to implement the right policies to empower its farming industry, “then it could feed itself and even be a breadbasket for the rest of the world.”

Many governments across the continent have acknowledged the need for improvement in their agricultural industries and have started to take steps to improve food production and security to prepare themselves for growing local and international demand.

Africa has high local demand for agricultural products

AfricaCurrently, Africa has a population of just over one billion people and it is expected that this figure will reach 2.5 billion by the year 2050. That means that local demand for agricultural products will steadily increase over the years as there will be more and more mouths to feed.

Interestingly, despite its large farming sector, Africa still spends billions each year to import a substantial amount of agricultural products such as flour, grain, and other food products it can produce locally.

This creates an opportunity for local farmers and agribusiness entrepreneurs to profit from increasing local demand going forward.

New technologies are making African farmers more productive

Technology has had a massive positive impact on the African continent and has affected a wide range of industries including the agricultural sector. It is, therefore, no surprise that the agritech startup sector is booming on the continent. Over $19 million was invested in tech startups that are providing value-adding solutions to Africa’s farming sector over the last two years.

Botswana-based company Plaas, for example, is developing a blockchain platform for farmers that will “enable individual farmers or co-operatives to manage their daily farming productions and stocks on the blockchain.” Moreover, the application – targeted at small-scale African farmers – will provide a marketplace where farmers can buy and sell products. Also, the application will provide farm-to-table tracking to increase food security on the continent. 

Disclaimer: Readers should do their own due diligence before taking any actions related to the company, product or service. BitcoinAfrica.io is not responsible, directly or indirectly, for any loss or damage caused by or in connection with the use of or reliance on any content, product or service mentioned in this sponsored post.

Features

Mistrust Inhibiting Crypto Adoption in South Africa, Report States

Published

on

Crypto Adoption in South Africa

A report from cyber security company Kaspersky indicates that mistrust and lack of understanding are hindering crypto adoption in South Africa.

The Findings

Kaspersky

The report titled ‘Uncharted Territory: Why Consumers Are Still Wary about Adopting Cryptocurrency’ reveals that lack of understanding could be resulting in the mistrust that cryptocurrencies can keep a consumers’ money safe.

For example, 35 percent of South Africans are of the opinion that cryptocurrencies are volatile and they can only use them once they have stabilised. In addition, other consumers believe that cryptocurrencies will not be around forever and 17 percent said that cryptocurrencies “are not worth bothering about.”

The Kaspersky report, therefore, noted that the lack of understanding of how cryptocurrencies work among most consumers is inhibiting mainstream crypto adoption. Globally, adoption is also declining in spite of celebrities and influencers endorsing cryptocurrencies, the report stated.

Vitaly Mzokov, Head of Commercialisation at Kaspersky, said: “To date, 70 percent of South Africans have never purchased cryptocurrencies, highlighting just how far away we are from it being accepted as a common form of payment or investment. It is clear that mainstream adoption and growth of cryptocurrency is being held back due to the vulnerable nature of the technology.”

Mzokov also observed that it is difficult for consumers to use their hard-earned money to use something they do not fully comprehend or trust. This is despite the fact that there is a high interest in using cryptocurrencies in the country.

According to the report, 34 percent of South Africans have some crypto knowledge, 19 percent completely understand how they work, and there is a high demand for cryptocurrency use.

Ensuring Consumer Protection

Mzokov advised cryptocurrency companies to build platforms that guarantee the protection of consumers’ investments.

Merkeleon, a partner of Kaspersky, is leading by example in this regard with legitimate marketplace platforms, crypto payment systems, crypto exchanges, and online auction platforms.

The Head of Sales and Business Development at Merkeleon, Alexey Sidorowich, said the cryptocurrency industry must be built upon trust.

“It is […] imperative that cryptocurrency businesses do all they can to protect their networks and ensure their customers’ finances are safe and secure,” he asserted.

The Kaspersky report comes at a time when findings show that emerging markets are more likely to adopt cryptocurrencies than developed markets.

Continue Reading

Features

Refugee Investment Network Launches to Promote Economic Growth in Refugee Communities

Published

on

Refugee Investment Network

The Refugee Investment Network (RIN) launched on World Refugee Day to promote economic growth and stability in refugee communities.

Connecting Investors to Refugee Entrepreneurs

The Refugee Investment NetworkTo achieve its goals, the Refugee Investment Network (RIN) is connecting investors to refugee entrepreneurs, thereby supporting the over 70 million displaced people in the world. As a result, refugee communities will enjoy more job opportunities, improved livelihoods, and economic growth.

“We know well the profound contributions and immense untapped potential forcibly displaced people bring to communities that welcome them. The launch of the RIN and the growing community of investors representing the full capital continuum is an important stepping stone to helping the rest of the world see that too,” said RIN’s founder and Managing Director, John Kluge.

The RIN was established to solve the challenges refugees face from under-investment and restrictive labour laws despite their potential as entrepreneurs and employees.

Tim Docking, RIN Managing Director, explained:

“Investors are looking for a way to invest in and with refugees. The RIN is helping to bridge the gap between refugee investments and the capital they need to grow.”

Partnerships

The RIN’s founding partners include The Rockefeller Foundation, the Open Society Foundations, USA for UNHCR, and the Patrick J. McGovern Foundation. The RIN has also collaborated with the Economist Intelligence Unit on the Refugee Opportunity Index (ROI), a tool that incentivises governments to make policy reforms that promote inclusive economies.

“The RIN platform allows philanthropists to stand together with development agencies, private investors, and entrepreneurs to support displaced persons to realize their potential – and to support self-reliance and meaningful livelihoods for refugee populations,” said Vilas Dhar, Trustee of the Patrick J. McGovern Foundation.

The RIN has also created the Refugee Lens which is “an investing framework and criteria for sourcing businesses owned by or supporting refugees or their hosts.”

The RIN launched at The Rockefeller Foundation in New York City. Some of its other partners include Village Capital, Kiva, and 17 Asset Management.

BanQu is another organisation besides the Refugee Investment Network that is improving the economic status of refugees.

Continue Reading

Features

Aeternity Hub Africa to Promote Cashless Economy with Cryptocurrency Payment Platform ‘BitPal’

Published

on

BitPal
DSC00804 Bitcoin Accepted Here - Adam Dachis - Attribution 2.0 Generic (CC BY 2.0)

Nairobi-based blockchain startup Aeternity Hub Africa has launched BitPal, a cryptocurrency payment platform that aims to promote a cashless economy in Africa.

Aeternity Hub Africa’s BitPal Payment Platform

Aeternity Hub Africa

BitPal enables merchants to accept payments for the sale of goods and services in Bitcoin, Aeternity, Ether, Dash, and EOS. The platform is targeting small, medium, and large businesses that operate online or physical stores.

According to Aeternity Africa’s COO Frank Deya, BitPal will take money online where most people are currently spending their time.

“To date, payments and cross-border transactions are the most popular use cases that have been explored by blockchain. However, very few businesses in Africa have integrated an on-ramp to offer their customers the cryptocurrency option to pay for goods and services. BitPal will play a crucial role in driving mass adoption, generating new markets, and enabling a seamless cash-out gateway to thousands of merchants across the continent. We envision a not too distant future where the ‘Crypto Accepted Here’ payment button on an online store or a sign at a physical store is ubiquitous to BitPal,” he said.

How BitPal Works

BitPalBitPal is an easy-to-use, zero transaction fee platform. Customers simply have to choose one of the supported cryptocurrencies to pay for a product or service. An invoice is then produced indicating a fixed exchange rate. Once the payment is settled, BitPal converts the cryptocurrency to the merchant’s preferred fiat currency. The merchant can then cash out the payment to their bank account.

Aeternity Africa wrote in an official statement:

“BitPal is a ready-to-use platform. It takes away from the merchant the headache of setting up a wallet.”

BitPal features an automated API gateway for accepting payments in crypto and the point-of-sale is accessible through a mobile or web application.

Aeternity Africa plans to add more cryptocurrencies to its platform and to include an MPesa option for merchants to cash out. In addition, the startup has already attracted four businesses that are interested in on-boarding the platform.

Kenya-based BitPal is poised to become one of the projects could drive crypto adoption and promote cashless economies across the continent.

Continue Reading

Popular Posts