Sudanese E-commerce, Alsoug Raises $5m, The First VC Investment Into The Country In 30 Years
Sudanese e-commerce, Alsoug raises $5m, the first VC investment into the country in 30 years
The completion of a $5 million funding round has been announced by Additionallyug, a Sudanese online retail and financial technology startup founded in 2013. It is a significant investment for the Central African country because it is the first international venture capital investment in a technology business in nearly three decades, and it is the first international venture capital investment in a technology business since international sanctions were lifted in 2020.
Fawry was the driving force behind the investment, which is the first time the Egyptian fintech has ventured outside of the country in its 13-year history. The Western Venture Capital Funds is one of the additional investors in this round of financing. Additionally, Additionallyug will make use of Fawry's in-house technology and experience to expand its Cashi payment infrastructure, which is currently in beta.
Sudan was subjected to a prolonged period of economic isolation as a result of a series of sanctions imposed by the United States, the European Union, the United Kingdom, the United Nations, and, of course, the African Union, primarily in response to the Darfur conflict. After sanctions were gradually lifted in 2017, the most recent step was the country's removal from the United States' terrorist watch list, which occurred in 2020.
Taking advantage of the reopening of the country's economy to the rest of the world, Additionallyug says it is leveraging its reputation for integrity, long-term growth, and social impact by promoting technological literacy throughout the country.
As a result, the startup hopes to use this funding to make the transition into financial technology by establishing a national payments network that will allow all Sudanese to conduct transactions in a quick, easy, and secure manner.
According to Tarneem Saeed, CEO of Alsoug and Sudan's only female technology CEO, the development represents "exciting times" for Sudan, which now faces a long race to catch up with the rest of Africa in terms of technological advancements, which she described as "a long race."
From e-commerce to fintech and everything in between
Alsoug was founded in 2016, is an e-commerce platform that allows users to buy and sell products and services across a wide range of categories, including real estate, automobiles, electronics, furniture, and other household items. Additionally, it provides users with the ability to post job openings.
Buyers and sellers of goods and services can conduct direct transactions through the platform, according to the company. Cashi is a payment service provider that allows users to pay for goods and services such as utility bills, airtime top-ups, and government education services. Additionally, the company owns and operates Cashi.
Sudanese consumers, businesses, and organizations, according to the company's CEO, are handicapped and constrained due to a scarcity of payment options in the country. In order to provide the Sudanese people with greater financial independence, Alsoug is expanding its payment service beyond its own platform.
Additionally, with nearly two million downloads, Additionallyug is by far the most popular technology platform in Sudan. It will become the country's largest digital payments network as a result of its diversification into fintech and payments, which will benefit from the country's 41 million-strong population.
It is hoped that by investing in this new technology, the company will be able to continue developing its payment platform, Cashi, and to build a network that will allow people to deposit cash, withdraw cash, transfer cash, and conduct digital transactions. Additionally, it states that the investment will aid Sudan in its efforts to catch up with the rest of the continent in terms of development.
"Because of its large user base, financial technology (fintech) has been one of Africa's fastest-growing industries over the last decade. As a result of this fundraising, Sudan is expected to catch up with the rest of the continent "According to the CEO.
In addition, she stated that her company is critical in the removal of barriers that are impeding certain segments of society from achieving their goals. The ability to trade in the goods and services that one requires should be available to any Sudanese consumer, whether wealthy or impoverished, male or female.
"We have played a critical role in breaking down barriers for women and girls in this country, and I am particularly proud of that accomplishment. Bringing traditionally male-dominated public spaces online has enabled women to make important life purchases such as automobiles, real estate, and electronics without relying on a man, according to the World Economic Forum "She went on to explain.
Aside from expanding its marketplace through the addition of new features, Alsoug intends to keep its position as Sudan's premier digital buying and selling platform by leveraging its payments investment.
