What is the potential for crowdfunding in Africa?
I would just add, with a lack of a good regulatory framework in almost all except a couple of countries, equity crowdfunding in Africa has been lagging behind the world. However, its potential and recognition is growing rapidly.
Crowdfunding in Africa is in its infancy stage of development. Just like in the U.S., donation and reward-based crowdfunding has been trying to take hold in the market for the last several years. That said, equity crowdfunding is springing around since 2015/16 with its potential being recognized by governments and the development/donor community including ours (https://igniteinvestment.com/) launched in September 2022.
With over 80% of African businesses being Small and Medium Enterprises (SMEs) facing a critical lack of access to finance because of collateralized debt financing, the potential for crowdfunding is estimated to reach over 2 Billion in sub-Sahara Africa by just 2025. I also know that Wefunder and Republic have been eyeing around the African equity crowdfunding market. In fact, I actually participated in one of Republic's Twitter spaces event talking about how African company fundraised on their platform.
Hope this help and have a look at these two articles that may give you some more information: https://www.un.org/africarenewal/magazine/july-2022/crowdfunding-emerging-financing-source-african-entrepreneurs#:~:text=Forecasts%20now%20show%20that%20crowdfunding,cent%20of%20the%20global%20market.
https://link.springer.com/chapter/10.1007/978-3-030-46309-0_14
I would just add, with a lack of a good regulatory framework in almost all except a couple of countries, equity crowdfunding in Africa has been lagging behind the world. However, its potential and recognition is growing rapidly.