Startups in Kenya Hold Potential to Accelerate Country’s Digital Transformation but face survival challenges. The CEO of Communications Authority Ezra Chiloba highlighted that Kenyan startups could contribute significantly to the nation’s digital transformation, potentially up to 70%.
However, most startups encounter obstacles such as financial constraints and regulatory restrictions, leading around 80% of them to close within the first year. Only a small percentage, three to five percent, manage to survive beyond this critical period.
Chiloba emphasized the importance of partnerships, particularly in the fintech sector, to improve survival rates. He added that collaborating with investors from various industries can enhance financial control, operational efficiency, and strategic support, enabling startups to focus on core activities and achieve their goals.
Read Also: Communications Authority threatens to revoke licenses 6 TV stations over coverage of Azimio demo
Group CEO and Managing Director of DTB Nasim Devji, also stressed the significance of partnerships, especially for speeding up the development of new fintech products and services. By linking banking and technology, collaborations provide customers with personalized, secure, and user-friendly financial solutions, positioning the parties at the forefront of the industry.
During the announcement of Boya, a Kenyan fintech that developed a virtual expenditure card for seamless and cost-effective business interactions, Chiloba and Devji discussed the importance of partnerships in driving fintech growth.
Subscribe to Switch TV for more content.
Boya’s CEO, Alphas Sinja, credited their success to cooperation with Diamond Trust Bank and Visa, which integrated DTB’s cards into Boya’s platform, offering customers virtual corporate cards through the Visa card program.
