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Africa Pushes for Data Control as UniCloud and OADC Sign Sovereign Cloud Deal

Lindsay Eke
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Africa Pushes for Data Control as UniCloud and OADC Sign Sovereign Cloud Deal

UniCloud Africa and Open Access Data Centres have announced a new partnership aimed at keeping African data within the continent and reducing reliance on foreign cloud providers.

Under the agreement, UniCloud Africa will deploy its sovereign cloud and artificial intelligence infrastructure inside OADC’s data centres located in Nigeria, Democratic Republic of Congo, and South Africa. These facilities will provide local hosting for governments and businesses, helping them meet data protection rules and keep sensitive information within national borders.

The deal comes as concerns grow over “data colonialism”, a term used to describe how African data is often stored and controlled outside the continent. Both companies say building local infrastructure is key to ensuring digital independence and stronger control over data.

Krish Ranganath said the partnership supports the company’s “One Cloud, One Africa” vision. He explained that hosting services locally will reduce delays in data processing, improve performance, and allow customers to pay in local currencies while still meeting global security standards.

Ranganath added that relying on overseas cloud systems can create risks around data privacy and unclear regulations, which many African organisations have struggled with.

“Our goal is to build a strong foundation for Africa’s digital and economic independence,” he said, noting that keeping data within the continent will give clients faster access and more secure, compliant services.

Ayotunde Coker described the agreement as an important step towards building a connected digital system across Africa. He said OADC’s Tier III-certified facilities will provide the reliability needed to support advanced technologies such as artificial intelligence and large-scale data processing.

The partnership will make use of OADC’s growing presence across key markets. In Lagos, Nigeria, the data centre campus will support the country’s expanding fintech and business sectors. In Kinshasa, the project will introduce local cloud services to help speed up digital adoption in the Democratic Republic of Congo. In South Africa, a network of facilities will provide both primary and backup data services.

Beyond infrastructure, UniCloud Africa plans to introduce a GPU-as-a-Service model. This will allow companies, researchers, and startups to access high-performance computing for AI and data analysis without needing to invest heavily in hardware.

The model is expected to lower costs and make advanced technology more accessible, especially as global cloud providers often charge high fees and require payments in foreign currencies. The partnership will also remove data transfer charges and offer pricing in local currencies, addressing a major challenge for African businesses.

The move aligns with wider efforts across the continent to strengthen digital infrastructure, support local innovation, and reduce dependence on foreign technology systems. As more governments introduce data protection laws and policies that require data to be stored locally, demand for such services is likely to grow.

For UniCloud Africa and OADC, the agreement marks a long-term plan to build an African-owned digital backbone, aimed at supporting economic growth while ensuring that the continent retains control over its data.

Flutterwave CEO Olugbenga Agboola Earns Endeavor Outlier Honour for Sixth Year Running

Lindsay Eke
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Flutterwave CEO Olugbenga Agboola Earns Endeavor Outlier Honour for Sixth Year Running

Olugbenga Agboola, chief executive of Flutterwave, has been named to the 2026 Outlier Class by Endeavor for the sixth year in a row. The recognition highlights his continued work in improving payment systems across Africa and other emerging markets.

Endeavor said its 2026 Outlier group reflects a new phase in global entrepreneurship, where founders are building strong, competitive businesses despite uncertain economic conditions.

Agboola first joined Endeavor in 2019 as an Endeavor Entrepreneur. Since then, he has taken on a more active role within the network, including serving on its board and supporting younger founders. His involvement also includes investing in the ecosystem to help grow fintech and other sectors.

Under his leadership, Flutterwave has reached several milestones. The company was listed among the TIME 100 Most Influential Companies in 2025 and received the Excellence in Cross-Border Payments Award at the Africa Tech Summit. Agboola was also honoured with the Fintech Pioneer in Africa Award for his impact on the industry.

In 2025, Flutterwave expanded its global reach by opening new payment routes, including connections between Africa and Asia. The company processed close to $1 billion in the first half of the year and has now handled more than $40 billion in total transactions across over 1 billion payments.

Flutterwave has also strengthened its technology through partnerships with Polygon and Turnkey. These partnerships focus on improving access to payments and making cross-border transfers faster and more efficient.

Beyond his role at Flutterwave, Agboola is active as an investor and mentor. Through his venture platform, Resilience17, he supports early-stage companies, especially in fintech and digital identity. The platform has backed more than 70 startups worldwide, including Vesti, Klasha, LemFi, and Bamboo.

His investment work earned him the Tech Investor of the Year award from Business Insider Africa in 2022. One of his portfolio companies, Brass, was successfully acquired in 2024, further strengthening his track record.

Agboola has also entered the field of artificial intelligence with the launch of Go Time AI, Nigeria’s first dedicated AI accelerator. The programme provides funding and computing resources to founders in the Global South building AI solutions for local markets.

His investments extend beyond technology. They include Lagoon Hospital, a healthcare provider, and Nairobi City Thunder Basketball Club, a two-time national champion.

In 2026, Flutterwave has taken further steps to expand its services. The company acquired Mono to improve access to financial data across Africa. It also secured a microfinance banking licence, allowing it to offer a wider range of financial services to businesses.

Agboola joins other founders from more than 50 underserved markets in the 2026 Endeavor Outlier Class. Together, they are recognised not only for building successful companies but also for mentoring others and supporting innovation in their regions.

Bfree Raises $3.1 Million to Tackle Rising Bad Loans Across Africa

Lindsay Eke
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Bfree Raises $3.1 Million to Tackle Rising Bad Loans Across Africa

Lagos-based fintech firm Bfree has secured $3.1 million in new funding from undisclosed investors, as it expands its work in buying and managing bad loans across Africa.

The latest funding comes after a series of earlier investments. In 2024, the company raised $2.95 million in equity led by Capria Ventures, with backing from firms including Angaza Capital, GreenHouse Capital, Launch Africa, Modus Africa, and Axian CVC.

The same year, TLG Capital provided a $3 million debt facility to support what both parties described as ethical microlending. Another $3 million came from the Verdant Capital Hybrid Fund. Altogether, Bfree has raised more than $12 million in funding since it was founded in 2020.

Bfree operates in a less crowded part of the fintech space. While many startups have focused on digital lending and buy-now-pay-later services, fewer have built systems to manage loans that are not repaid. This gap has often led to high default rates for lenders and harsh recovery methods for borrowers.

The company was founded in 2020 by Julian Flosbach, Chukwudi Enyi, and Moses Nmor. It was created as an alternative to aggressive debt collection practices such as public shaming and repeated harassment, which have drawn criticism in several markets.

Instead of using pressure tactics, Bfree applies machine learning to analyse unpaid loans. Its system studies borrower behaviour, estimates their ability to repay, and then suggests flexible repayment plans. Customers interact through automated tools such as chatbots and self-service platforms, and the company avoids penalties like late fees or blacklisting.

So far, Bfree says it has managed over $740 million in distressed loans, working with about 6.6 million borrowers across Nigeria, Ghana, and Kenya. It also serves more than 30 financial institutions, including digital lenders and traditional banks.

The new funding will mainly support Bfree’s move into buying bad loan portfolios directly. Rather than only offering software to lenders, the company is now purchasing non-performing loans and handling the recovery process itself.

This approach aims to solve a long-standing problem in Africa’s financial sector. Selling bad loans has been difficult due to poor data, unclear pricing, and legal challenges. For lenders, however, selling these debts can help clean up their accounts without long legal battles or full losses.

Bfree is working to turn these troubled loans into a more predictable investment opportunity. By combining its repayment prediction tools with a more respectful approach to customers, the company hopes to attract investors such as asset managers and hedge funds.

The firm is also exploring new technologies. Its engineering team, led by Konrad Pawlus and Yohan Theatre, is testing how blockchain and decentralised finance tools could make buying and selling debt easier.

This comes at a time when regulators across Africa are paying closer attention to digital lending. Countries such as Nigeria and Kenya have introduced stricter rules to protect borrowers from unfair treatment, pushing lenders to adopt safer and more transparent recovery methods.

Flosbach has said the company’s goal is to help borrowers recover financially while also supporting lenders. As economic pressures continue and more people struggle to repay loans, firms like Bfree are becoming an important part of Africa’s growing financial system.

Microsoft Invests $329 Million to Expand Data Centres in South Africa

Lindsay Eke
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Microsoft Invests $329 Million to Expand Data Centres in South Africa

Microsoft has announced a new $329 million investment to grow its cloud and artificial intelligence infrastructure in South Africa. The funding will go towards building more data centre capacity, buying land, and improving power and water systems needed to support large-scale computing.

This latest investment adds to an earlier $1.2 billion already committed by the company, showing a continued long-term focus on strengthening its presence in the country.

Speaking about the expansion, Brad Smith highlighted the importance of physical infrastructure in developing artificial intelligence. He explained that AI systems depend heavily on data centres, which require reliable electricity, strong computing power, and efficient cooling systems to operate effectively.

These needs present real challenges. AI workloads must run continuously, meaning they require stable power and controlled environments. In places where these conditions are not consistent, it becomes harder and more costly to scale up operations.

South Africa remains an attractive location for large technology firms due to its relatively strong internet connectivity, established business environment, and clearer regulations compared to many other countries in the region. This makes it easier for companies like Microsoft to build infrastructure that can also serve nearby markets.

Beyond infrastructure, Microsoft is also forming local partnerships. The company is working with Lelapa AI to develop language models trained on African data. This aims to improve how AI systems understand and respond to local languages, which are often underrepresented in global datasets.

In education, Microsoft has teamed up with the South African Broadcasting Corporation to deliver digital skills training through the SABC+ platform. The programme is designed to reach students, teachers, and people looking for work.

The investment comes as other global cloud providers expand across Africa. Oracle has launched a cloud region in Casablanca, allowing businesses in Morocco to access computing and AI services locally while meeting data rules and reducing delays.

Oracle already operates in Johannesburg and plans to open another region in Nairobi as part of its expansion into East Africa. Other firms are also entering the market with smaller infrastructure setups, including edge networks linked to regional hubs.

Microsoft’s latest move strengthens its position in a growing market where demand for cloud services and AI is rising, but infrastructure gaps remain. Rather than entering a new country, the company is focusing on deepening its investment in a location that already supports large-scale operations.

The strategy reflects a longer-term approach, where future growth will depend on how quickly key systems such as power supply, land availability, and connectivity can keep pace with demand.

AI-Driven Fraud Threatens Africa’s Booming Mobile Money Sector

Lindsay Eke
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AI-Driven Fraud Threatens Africa’s Booming Mobile Money Sector

Africa’s fast-growing mobile money industry, now worth about $1.4 trillion, is facing a rising wave of fraud powered by artificial intelligence. Experts warn that the same systems helping millions gain access to financial services are now being targeted by more advanced and organised cybercrime.

Data from GSMA shows that Sub-Saharan Africa handles nearly two-thirds of the world’s mobile money transactions. The region has around 1.2 billion registered accounts, with 341 million people actively using these services.

But as usage increases, so do risks. In an interview with IT Web Africa, Thalia Pillay said the industry is entering a new phase where fraud is becoming more widespread and harder to detect.

She described mobile money as a major success story for financial inclusion, but warned it is also becoming a key target for criminals. Industry figures show that 90 percent of mobile money providers reported identity fraud in the past year, while 88 percent faced social engineering attacks. Across the continent, cybercrime is estimated to cost more than $4 billion each year.

In Zimbabwe, the impact is already clear. The country’s ICT minister, Tatenda Mavetera, said mobile money fraud costs the nation over $30 million annually. She added that phishing attacks have risen by more than 40 percent, targeting the country’s expanding digital economy.

Mavetera warned that as more services move online, new risks continue to emerge. Each step towards digital growth, she said, opens another door that criminals can try to exploit using AI tools.

According to Pillay, fraud methods are changing quickly. Criminals are now using techniques such as SIM swap attacks, fake identities created with AI, and deepfake scams where voices are copied to trick business owners into approving payments.

She explained that AI can now produce fake documents and even biometric data that can pass identity checks, known as Know Your Customer processes, at scale. This makes it much harder for financial institutions to spot fraud early.

Another problem is that many fraud detection systems used in Africa are built for other regions. These tools often assume stable internet access, strong identity systems, and consistent user behaviour. In many African markets, where people may share devices or use multiple SIM cards, these assumptions do not always hold.

Pillay said this mismatch means systems can either block too many genuine users or fail to stop fraud effectively. She stressed the need for solutions designed specifically for African conditions, using local data and patterns.

The growth of cross-border and interoperable payments is also adding to the challenge. As money moves more easily between banks and mobile wallets across countries, criminals are finding new ways to move stolen funds quickly, often faster than regulators can act.

Pillay noted that fraud networks operate across borders, while many defence systems remain limited to single countries. This gap, she said, gives cybercriminals an advantage in an increasingly connected financial system.

Lagos State Introduces New Cybersecurity Guidelines to Improve Digital Safety

Sodiq Ajala
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Lagos State Introduces New Cybersecurity Guidelines to Improve Digital Safety

Lagos State has launched a new set of cybersecurity guidelines aimed at improving digital safety and protecting public and private systems from cyber threats.

The guidelines are part of a broader effort by the state government to strengthen its digital environment as more services move online. They are designed to help government agencies, businesses, and institutions better protect their data, systems, and users.

Officials say the new framework provides clear rules and best practices for managing cyber risks. This includes steps for identifying threats, preventing attacks, and responding quickly when incidents occur. It also focuses on improving data protection and ensuring that sensitive information is handled safely.

The initiative reflects growing concern about cyberattacks, which have become more frequent as digital adoption increases. By setting common standards, Lagos State hopes to reduce risks and build trust in digital systems used for services such as banking, healthcare, and public administration.

The guidelines also encourage organisations to invest in staff training and modern security tools. This is meant to help build a stronger cybersecurity culture and ensure that workers understand how to prevent and respond to threats.

Experts note that clear policies like these are important for any region that wants to grow its digital economy. Strong cybersecurity measures can protect businesses, attract investment, and support innovation.

With this move, Lagos State is positioning itself as a leader in digital safety in Nigeria, taking steps to create a more secure and reliable online environment for both organisations and residents.

Kenyan AI Startup Lúa Secures Funding to Expand Its Technology and Reach

Sodiq Ajala
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Kenyan AI Startup Lúa Secures Funding to Expand Its Technology and Reach

Lúa, a startup based in Kenya, has raised new funding to grow its artificial intelligence technology and expand its operations.

The company is focused on building AI tools that help businesses improve how they communicate and serve their customers. Its platform uses automation to handle conversations, respond to users, and support customer service across digital channels.

With this new investment, Lúa plans to strengthen its technology, hire more talent, and reach more businesses both within Kenya and in other markets. The funding will also help the company improve its systems to handle larger volumes of users and deliver faster, more accurate responses.

Lúa is part of a growing number of African startups using artificial intelligence to solve everyday business challenges. As more companies move online, the demand for tools that can manage customer interactions efficiently continues to rise.

Investors are showing increasing interest in startups like Lúa that combine AI with practical business use. These solutions can help companies save time, reduce costs, and improve customer satisfaction.

The Kenyan startup ecosystem has become one of the most active in Africa, especially in areas like fintech and AI. Companies like Lúa are helping to drive this growth by building technology that meets local needs while also competing on a global level.

With fresh funding and a clear focus, Lúa aims to scale its impact and become a key player in Africa’s fast-growing AI sector.

Terra Industries to Build Africa’s Largest Drone Factory in Ghana

Lindsay Eke
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Terra Industries to Build Africa’s Largest Drone Factory in Ghana

Nigerian defence technology firm Terra Industries has announced plans to build the largest drone manufacturing facility in Africa. The new plant, a 34,000-square-foot site in Accra, Ghana, will serve as the company’s main production base for both drone and counter-drone systems across the region.

Named Pax-2, the facility is in its final stage of construction and is expected to begin full operations by the end of June 2026. Once up and running, the plant is projected to produce up to 50,000 drone units each year by 2028. The company also says the project will create around 120 engineering jobs in Ghana.

Pax-2 will be more than twice the size of Terra’s current 15,000-square-foot Pax-1 facility in Abuja. It marks a major step in the company’s expansion plans following a recent $34 million fundraising effort. This includes an $11.75 million round in January 2026 led by 8VC, founded by Joe Lonsdale, and a later $22 million investment led by Lux Capital. Terra says the funds will be used to increase production capacity and grow its engineering teams across Nigeria and other African countries.

The Ghana facility will manufacture several of Terra’s main products. These include the Archer VTOL, a long-range drone used for surveillance and strike missions, and the Iroko UAV, designed for quick tactical use. It will also produce Kama, a new high-speed interceptor drone capable of reaching speeds of up to 300 kilometres per hour. Kama is built to detect and stop hostile drones and is designed for large-scale production.

The expansion comes at a time when security threats are changing across Africa. In regions such as the Sahel and other parts of sub-Saharan Africa, armed groups are increasingly using modified commercial drones and fibre-optic systems as weapons. This trend has already been seen in conflicts in the Middle East and Eastern Europe.

Terra believes this shift will increase demand for advanced defence systems that combine surveillance, electronic warfare, and interception technology. Speaking on the development, the company’s co-founder and chief executive, Nathan Nwachuku, said Africa must reduce its reliance on foreign defence systems.

He stated that long-term peace on the continent depends on building strong, local defence capabilities. He also explained that Ghana was chosen for the new facility because of its skilled workforce, strategic location, and government support for becoming a major defence exporter.

The Accra factory is part of a series of recent moves that have strengthened Terra’s position in the defence sector. In February, the company signed a joint venture agreement with the Defence Industries Corporation of Nigeria to boost local defence production. The partnership covers manufacturing, technology sharing, and supply chain development.

Founded in 2024 by Nwachuku and Maxwell Maduka, Terra Industries, formerly known as Terrahaptix, aims to build a network of manufacturing hubs called Pax Factories. This vision, described as “Pax Africana”, focuses on enabling Africa to design, produce, and control its own defence technologies.

While challenges such as global politics, production demands, and regulations across countries remain, Terra’s recent funding, government partnerships, and new Ghana facility suggest the company is making strong progress towards shaping Africa’s defence industry from within.

inDrive Launches Cashless Payments Option for Riders and Drivers in South Africa

Sodiq Ajala
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0
inDrive Launches Cashless Payments Option for Riders and Drivers in South Africa

inDrive has introduced a cashless payment option in South Africa, allowing passengers to pay for rides using digital methods instead of cash.

The new feature is designed to make trips safer and more convenient for both riders and drivers. With cashless payments, users can pay through cards or other digital payment options directly within the app, reducing the need to carry physical money.

Until now, inDrive has been known for its strong focus on cash-based transactions in many markets. The move to introduce digital payments marks a major step in adapting to changing customer needs, especially in urban areas where more people are using online and mobile payment systems.

The company said the update will help improve the overall user experience. Riders can complete trips more quickly without worrying about having the right amount of cash, while drivers can reduce risks linked to handling physical money.

This change also aligns with broader trends in South Africa’s digital economy, where businesses are increasingly adopting secure and fast electronic payment solutions. As more consumers shift toward digital finance, companies like inDrive are adjusting their services to stay competitive.

In addition to convenience, the new system is expected to improve transparency. Digital payments create clear records of each transaction, which can help resolve disputes and improve trust between users and drivers.

By introducing cashless payments, inDrive aims to attract more users, support safer travel, and strengthen its position in South Africa’s ride-hailing market.

Visa Highlights 18 Promising African Fintech Startups at GITEX Africa Demo Day

Sodiq Ajala
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Visa Highlights 18 Promising African Fintech Startups at GITEX Africa Demo Day

Visa has presented 18 high-potential African fintech startups at the GITEX Africa Demo Day, giving them a platform to showcase their ideas to investors, partners, and industry leaders.

The event, held as part of GITEX Africa, focused on supporting early-stage fintech companies that are building solutions in digital payments, financial access, and business tools across the continent.

The selected startups come from different African countries and are working on a wide range of financial technologies. Their solutions include improving payment systems, expanding access to credit, supporting small businesses, and using digital tools to make financial services easier to use.

Visa’s program aims to help these startups grow by connecting them with funding opportunities, mentorship, and industry networks. By taking part in the demo day, the startups were able to present their products directly to investors and potential partners, which could help them scale their businesses.

According to Visa, Africa’s fintech sector continues to grow quickly as more people and businesses adopt digital financial services. The company said supporting startups is an important way to drive innovation and improve financial inclusion across the region.

Events like this also give startups a chance to test their ideas, receive feedback, and build relationships that can support long-term growth. For many of the companies involved, the exposure from GITEX Africa could open doors to new markets and partnerships.

The showcase reflects increasing global interest in Africa’s fintech space and highlights the role of young companies in shaping the future of finance on the continent.

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