IFC To Back Africa’s Tech Future with USD 6 M Investment in Ventures Platform Fund II

In a move that signals strong confidence in Africa’s early-stage tech ecosystem, the International Finance Corporation (IFC) has announced a proposed USD 6 M equity investment in the Ventures Platform Pan-African Fund II (VP II).

The fund, managed by Nigeria-based Ventures Platform, is designed to support seed-stage, technology-driven startups across the continent, with a particular focus on Nigeria.

This investment is set to come at a crucial time for African startups. While the global venture capital landscape has cooled, the need for early-stage funding remains high. For many African founders, access to capital is a major hurdle, and funds like VP II are stepping in to bridge that gap. IFC’s backing is set to add credibility and much-needed liquidity, helping to sustain momentum in the region’s growing tech sector.

Ventures Platform, led by seasoned investors Kola Aina and Dotun Olowoporoku, has built a reputation for identifying and nurturing high-potential startups. Founded in 2016, the firm has played a key role in shaping Africa’s digital economy. It initially launched with a USD 40 M fund in 2021, later increasing it to USD 46 M in 2022 after securing additional commitments from global institutional investors, including Standard Bank, British International Investment (BII), Proparco, and AfricaGrow.

Over the years, Ventures Platform has backed over 90 startups, many of which have gone on to become industry leaders. Companies like Piggyvest, PayHippo, Mono, SeamlessHR, and Tizeti have benefitted from its early-stage support, demonstrating the fund’s ability to identify winners in Africa’s fast-evolving digital landscape.

With VP II, the firm is looking to double down on its strategy, focusing on sectors that are critical to Africa’s economic transformation, such as fintech, insurtech, health tech, edtech, agritech, enterprise SaaS, and digital infrastructure.

What makes this investment particularly noteworthy is its timing. The African startup ecosystem, like much of the global market, has been experiencing a slowdown in venture funding. Rising interest rates and economic uncertainty have made capital harder to secure. However, Kola Aina sees this as an opportunity rather than a setback.

IFC’s investment in VP II is part of a broader strategy to strengthen Africa’s venture capital infrastructure. The institution has been steadily increasing its commitments to the region, recognizing the potential of homegrown innovation to drive economic growth. In addition to the proposed USD 6 M investment in Ventures Platform’s new fund, IFC has also injected capital into other early-stage funds. It recently committed USD 6 M to Flat6Labs’ USD 85 M Africa Seed Fund and another USD 6 M to Lofty Alpha, a venture capital firm focusing on startups across the continent.

The global finance body has also been expanding its reach beyond traditional tech sectors. In a bid to support sustainable innovation, IFC has pledged USD 5 M to the Equator Africa Fund I, marking its entry into climate tech venture capital. It has also acted as a limited partner in P1 Ventures’ first institutional fund, which closed at USD 50 M, and Janngo Capital’s second fund, which secured EUR 73 M (USD 78 M). These investments highlight IFC’s commitment to not only supporting tech startups but also empowering diverse founders and underserved markets.

For Africa’s tech ecosystem, these capital injections couldn’t come at a better time. With global investors becoming more cautious, funds like VP II provide a much-needed safety net for early-stage founders. By supporting local venture capital firms, IFC is helping to create a sustainable investment pipeline—one that ensures that promising startups don’t just survive the funding winter but emerge stronger.

As Africa continues to cement its place in the global digital economy, investments like these will play a crucial role in shaping the continent’s future. The next generation of African unicorns may well be emerging from funds like Ventures Platform Pan-African Fund II, and with backing from players like IFC, the foundation for long-term success is being laid.