Jumia and AXA partner to provide insurance products and services to African customers

Posted on February 10th, 2016
Entrepreneurs Insurance Start

Today's top entrepreneurship and business stories (10 February)

AXA will become the exclusive provider of insurance products and services through Jumia and other Africa Internet Group (AIG) online and mobile platforms in Africa

Going forward, AXA’s African insurance companies plan to propose custom-made insurance products to Jumia and AIG’s e-commerce client base through its ecosystem of marketplaces and classifieds services.

As part of the partnership, AXA will also become a shareholder of AIG, along with MTNRocket Internet and Millicom. AXA and Jumia hope to take advantage of Africa’s fast developing market for financial services and insurance products, benefiting from strong fundamentals such as low penetration rates, rise in middle class, urbanization as well as the youth of its population. (AXA.com)

Global high-impact investing platform calls for applications from African entrepreneurs

Malaik, a global portal for high-impact investing in African businesses, this week launched a call for applications to African entrepreneurs with impact focused businesses. The portal offers opportunities for the global crowd to invest in Africa’s growth story.

“Africa is brimming with entrepreneurs with growing high impact businesses that could not only positively impact Africa, but the world,” said Neku Atawodi, founder and CEO OF Malaik.

“Access to finance has always been a tough challenge to overcome and people have typically not wanted to invest in African businesses as they have historically been considered too risky. However, the African narrative is changing for the better and the continent’s exponential growth in the last decade shows that an investment in impact focused African businesses can yield high returns,” Atawodi says.

Malaik allows accredited investors to co-invest in high impact African businesses along with experienced lead investors. (Malaik)

Tourism 2016 not all doom and gloom 

Despite a struggling local economy, the tourism industry is providing a glimpse of hope as one of the critical sectors that will boost growth and create jobs this year.

“While the tourism sector contributes a significant portion to South Africa’s GDP, its impact will be even more significant as the country faces the possibility of a recession, and the South African Reserve Bank (SARB) having cut its growth forecast to 0.9% from 1.5% for this year,” says Charnel Kara, Tourism Specialist for FNB Business.

“Because tourism is a highly competitive and ever-changing sector, businesses that keep ahead of industry developments will reap the rewards.”

Some of the trends Kara says will have an impact on the sector include currency fluctuations, particularly “vulnerability of the rand against the US dollar” which will boost tourism in the country as foreign visitors.

The outbreak of the Zika Virus in South America may also have a “positive spin off for the South African tourism market as tourists redirect to South Africa as an alternative long haul destination.”

Trends to look out for which may negatively impact the sector are drought and water shortages, possible changes to legislation and interest rate hikes.