Former French Minister of Gender Equality and current President of Ring Capital, Elisabeth Moreno, has taken a stand against stereotypes and advocated for increased investment in African startups.
Africa’s rapid population growth and huge market potential mean there are investment opportunities in key areas such as renewable energy, climate change and infrastructure, Moreno said. Sunday PANTS on the sidelines of GITEX Africa in Morocco.
Moreno, who heads Ring Capital, a venture capital firm based in Paris, France, invests in high-growth technology and impact companies.
The company has not penetrated West Africa, but is currently focusing on French-speaking countries, where investment is largely low compared to Nigeria, Kenya, South Africa and Egypt – ‘The Big Four’.
Persistent prejudices and stereotypes faced by Africans make it more difficult for start-ups to attract funding.
Nigerian start-ups like Kuda Technologies needed to set up their headquarters in the UK, a move the company described as a good strategy to attract funding from investors.
The former minister challenged the notion that Africa was not a viable investment destination, saying there were three key areas of investment focus, including renewable energy, infrastructure and electrification.
“The sectors that are really booming are those related to renewable energy sources. Africa has plenty of sun and wind, providing many possible solutions.
“Climate change is another critical issue. I am very focused on water – water is life. Climate impact has significant consequences for the African continent. Infrastructure and electricity are also important issues,” the businessman explained.
Stereotypes aside, Africa is often at a disadvantage when it comes to ensuring investor confidence through strong regulatory policies.
Moreno emphasized the importance of creating a safe and transparent investment environment to attract capital to African startups.
“If you want to invest your money, you would naturally choose a safe option. You worked hard for that money and want to invest it wisely, hoping for returns. Once you get returns, you can invest even more.
“We need to make sure investors feel safe. How do we achieve this? Through transparency, regulation and building the best possible projects that investors will be proud to support,” he explained.