Proparco announced an investment in an early-stage venture capital fund managed by DisrupTech Ventures, to support development in Egypt’s fintech sector and help expand access to financial services in the country.
Proparco committed $5 million to DisrupTech, which aims to provide seed capital to up to 28 start-ups with a prime focus on financial technology services. The fund raised $36 million from several investors, including Development Finance Institutions, Funds-of-funds and Family offices. It will be an important financing source for Egyptian tech companies, which often struggle to raise capital to bring their innovations to market.
Along with capital, DisrupTech will also provide advice and mentorship to the businesses it supports.
“Egypt is full of bright, talented founders but too often, they cannot secure the capital they need to expand their businesses, we are always excited about supporting entrepreneurs, increasing access to financial services and contributing to Egypt’s growth,” said Mohamed Okasha, Managing Partner from DisrupTech Ventures.
“We are pleased to partner with DisrupTech Ventures, which has already become one of the leading early-stage investors in Egypt. Thanks to its company-building track record and domain-specific expertise, DisrupTech is bringing much-needed support to young companies in the region. This is in line with Proparco’s strategy to maximise impacts and to finance innovation, by fostering the emergence of a dynamic venture capital industry to back African entrepreneurs” said Françoise Lombard, Chief Executive Officer at Proparco.
