In the third quarter of 2022, European financial startups raised around EUR 3.2 billion. This is far below the same quarter last year but is still significantly more than in previous years. Layoff waves, burst financing rounds, and also several insolvencies - the mood in the fintech sector is particularly gloomy at the moment. Gone are the days when founders only had to include the word "fintech" in their pitch deck to be overrun by backers.
According to McKinsey & Co, revenues for African financial technology companies could rise to $30.3 billion by 2025 - eight times higher than in 2020 - as a growing, young, underbanked population gains more access to the Internet. Financial services revenues in Ghana and Francophone West Africa will grow fastest, followed by Nigeria and Egypt.
