This week, big shifts are reshaping Africa—from the Trump administration’s foreign aid freeze putting health programs at risk, to $50B pledged for electrification. Meanwhile, fintech startups are making cross-border payments faster, Moove is expanding beyond Africa and the EU is investing in Africa’s space ambitions. But not all news is good—mineral-rich Goma is under siege and central banks are treading carefully with interest rate cuts. Plus, for the explorers among us, a Zambian horseback safari might just be the escape you need. Let’s dive in. 🚀

Africa Trivia

Graphic of the Week 

Mostly Under 2%

Why are you Crying?

• Former Kenyan President Uhuru Kenyatta encourages African countries… “This is a wakeup call for you to say. Okay what are we going to do to help ourselves. Instead of crying… It is time for us to use our resources for the right things.” I couldn’t agree more, Mr. President! Watch on Youtube.

  Africa Headlines

• Botswana: President Duma Boko confirmed a new diamond agreement with De Beers to stabilize the economy and promote natural diamonds (Bloomberg).

• DR Congo: The Grand Inga Dam, set to be Africa's largest hydroelectric project, faces delays despite its potential to surpass China's Three Gorges Dam in power generation (BBC Africa); Siege on Goma continues (Bloomberg). 

• Egypt: Issued $2B in its first dollar-bond sale in nearly two years, signaling renewed investor confidence amid economic recovery efforts (Bloomberg).

• Ghana: 2024 trade surplus hit a record $5B, driven by a 50% surge in gold exports (Bloomberg); the country plans to launch a Gold Board in March to regulate gold purchases, reduce smuggling and boost national earnings (Reuters).

• Ivory Coast: Will face Mozambique in their first match of the 2025 Africa Cup of Nations as they defend their title in Morocco; the tournament will be held in six Moroccan cities from Dec. 21 to Jan. 18, 2026 (Reuters).

• Mozambique: TotalEnergies failed to secure U.S. approval for nearly $5B in loans for its stalled Mozambique LNG project, which remains in limbo due to security concerns and financing delays (FT).

• Nigeria: Gasoline imports are set to hit an eight-year low as the Dangote refinery ramps up production, reducing reliance on foreign fuel (Bloomberg).

• South Africa: The rand hit record-low risk premiums as improved sentiment, driven by U.S. tariff optimism and South Africa's easing inflation, supporting its performance among emerging market currencies (Bloomberg).

• South Sudan: Lifted a ban on Facebook and TikTok after removing violent videos that sparked protests and unrest (Reuters).

• Uganda. The African Development Bank will fund a 300 km power line to export Ugandan electricity to South Sudan, boosting access in a country where only 5% have power (Bloomberg).

• Zimbabwe: The central bank will keep a 35% interest rate to stabilize the ZiG currency, curb inflation and support 6% economic growth (Bloomberg).

Peace & Security in Africa 

Goma Under Siege

What Happened

• In an escalation that started January 25, 2025, the M23 rebel group, allegedly backed by Rwanda, launched a significant offensive in eastern Democratic Republic of Congo (DRC), capturing the strategic city of Goma, leaving at least 17 dead and more than 300 injured.  

• The M23 group has controlled much of Eastern DRC since 2021. 

Of course, the international community is asking for a ceasefire (wsj.com):

• On January 29, 2025, the U.S. called for an immediate truce (Bloomberg). 

• Angolan President João Lourenço also weighed in (Bloomberg). 

• And South African President Cyril Ramaphosa warned of repercussions (Bloomberg).

• Rwanda denies involvement but faces global backlash for its role in eastern Congo’s instability (Reuters).

We wrote a piece in 2023 that is still all too relevant to the conflict:

“The continent is home to ~30% of the world’s mineral reserves, 12% of the world’s oil and 8% of the world’s natural gas reserves.” 

“By far the most important of these rare earths is cobalt — the silver-grey metal (symbol Co atomic number 27). It is essential for lithium-ion batteries. The DRC produces somewhere between 70-75% of the stuff…”

If you want the context on Goma, read more: Special Edition | Africa's Minerals.

Business & Finance in Africa

Rates Stay Stubborn

Central Banks’ Plans:

• Rate cuts coming, but not aggressively—8 African central banks, including South Africa and Kenya are set to ease rates, while 7 others, like Nigeria and Ghana, will likely hold stead. 

• Trump factor looms, with African policymakers watching U.S. economic policies for potential inflationary effects.

• Inflation is still a threat, especially in countries like Malawi and Zambia, where high interest rates are needed to stabilize currencies.

Why It Matters:

• Borrowing costs remain high, limiting business growth and household spending.

• Global risks linger, with U.S. policies and a strong dollar pressuring African economies.

• Slow relief ahead, as rate cuts are expected to be gradual and uneven across the continent.

Read more: Bloomberg.

The Cost of Cash

• Remittances to Africa hit $56B in 2024, with Nigeria as the top recipient.

• Fintech startups like LemFi and Nala are making cross-border transfers faster and cheaper.

Why It Matters

• Sending money to Africa is costly, averaging 2% higher than the global rate.

• Big opportunity for fintech, as innovators tackle high fees and delays to boost economic growth.

Read more: Semafor

Tech & Society in Africa

Africa’s Power Push

• At the Africa Energy Summit in Dar es Salaam this week, the World Bank, AfDB and others advanced "Mission 300,” to drive Africa’s electrification. Funders made a $50B pledge to power 300M Africans by 2030 and push for reforms to end energy poverty with dignity (Semafor), (AfDB).

Moove Enters Brazil

What Happened

• Moove bought Kovi in a $750M deal, expanding beyond Africa into Latin America. 

• From Lagos to global, Moove grew from 76 cars in 2020 to 36K and 52M+ trips as of today.

• Backed by Uber, Moove raised $100M in 2024, pushing annual revenue to $275M.

Why It Matters

• Now a top-three fleet operator, Moove cements its role in global rideshare financing.

• Latin America expansion, positions Moove in the region’s biggest mobility market.

Read More: Bloomberg and AfroTech.

Europe in Africa

Africa’s Space Boost

The EU launched a €100M Africa-EU Space Partnership to boost Africa’s space capabilities with a focus on climate, policy and innovation, using space tech for disaster response, environmental monitoring and economic growth. The partnership aims for:

• Better disaster preparedness through early warning systems.

• Stronger EU-Africa ties in space policy and innovation.

• Boost for Africa’s space industry, creating new market opportunities.

Read more: The European Commission.

Trump’s Aftershocks Continue

• On January 24, 2025, the U.S. State Department issued a directive on freezing all foreign assistance programs and pausing any new aid, except for assistance to Israel and Egypt, as well as emergency food aid. 

The dust has not settled. 

• Africa has been hit hard, with PEPFAR, malaria prevention and maternal health programs at risk.

• NGOs scramble, uncertain if staff can be paid or offices can stay open.

• Critical health programs in Africa face funding cuts, affecting millions.

• U.S. influence wanes, opening the door for rivals like China and Russia.

• Security impact, with military cooperation and funding for joint exercises in question.

Read more on Bloomberg: Trump’s Aid Order Seen Risking Lives and US Influence in Africa

Explorations in Africa 

A Horseback Dream

Yes! Ride through Zambia’s last untamed frontier—where elephants roam, skies explode with color and a horseback safari unlocks a rewilding dream. If you want to sit and plan your next adventure this weekend, read more: FT.

Africa Trivia Response

Answer: B) Tunisia. Read more: Participedia. And look out for more context soon on Startup Act statuses from key ecosystems!

P.S. We hope you enjoyed the Brief! Reach out if you have ideas or feedback ([email protected]).