A venture capitalist and an operator for over 20 years, Basil Moftah has been around the block, both in Silicon Valley and at home in Egypt.
But having built and run various companies, and working with Reuters across numerous markets, Moftah now runs Nclude, with a focus on accelerating fintech innovation and driving financial inclusion.
Backed by Egypt’s largest national banks – Banque Misr, National Bank of Egypt, and Banque du Caire – Nclude spun out of Global Ventures, a leading MEA-focused venture capital firm. Its initial US$85 million investment was led by Banque Misr as an anchor investor, with National Bank of Egypt and Banque du Caire as strategic investors.
Moftah told Disrupt Africa’s “The month in VC” podcast series, powered by Katapult Africa, Kalon Venture Partners, Hlayisani Capital and ARM Labs Lagos Techstars Accelerator, that after a successful career running a multi-billion dollar company, and a life-changing experience doing his MBA, he had sought to utilise his network and expertise to invest in MENA and Africa.
“I recognised the potential for technology to address some of Africa’s most pressing challenges, such as access to healthcare, education, and financial services,” he said.
Nclude’s launch can be attributed to several factors, Moftah said.
“One key driver was Africa’s vibrant entrepreneurial ecosystem, which has become a fertile ground for technological advancements. The region has witnessed a surge in technology-driven initiatives due to supportive government regulations and an increasing partnership between established players and startups. This collaborative effort aims to transform the region into a digital economy and foster an inclusive society through innovative solutions,” he said.
So far, Nclude has invested US$22.5 million across eight portfolio companies.
“Our strategy is to build a portfolio that complements each other, believing that the future of finance is embedded and that digital financial services can power all sectors of the economy,” Moftah said.
So what companies make up that portfolio? They include Paymob, Egypt’s leading digital payments platform; Khazna, a credit-led financial super app; Lucky, Egypt’s largest consumer-based rewards and cashback solution; and Mozare3, an all-encompassing agri-fintech enabled solution for small farmers’ agricultural and non-agricultural needs.
“We consider all our investments to be stellar investments and given the right resources and backing they will all be poised to grow, disrupt and provide tremendous value,” Moftah said.
Nclude’s specific interests lie in fintech and fintech-enabled companies.
“We invest from seed stage all the way up to Series A with the occasional Series B and follow on when deemed appropriate by the investment team,” Moftah said.
“Our primary mandate and focus will be investing in Egypt. However, we will also be looking to make some investments in MENA and Africa so long as there is some plausible nexus to Egypt demonstrated.”
Nclude is committed to adding value to its portfolio companies beyond its initial investment.
“We offer our startups and entrepreneurs the tools they need to succeed including access to capital for follow-on funding, access to advisors and mentors, support in technology development, access to talent and corporate governance best practices as well as administrative support,” said Moftah.
From his perspective, Moftah said the tech space in Africa is incredibly exciting and full of immense potential.
“As a team, we have been closely monitoring the trends and developments taking place across the continent, and it’s truly inspiring to witness the rapid growth and innovation happening in the African tech sector,” he said.
“One of the remarkable aspects we’ve observed is the thriving startup ecosystem. Africa has become a hotbed for entrepreneurial activity, with a multitude of tech startups emerging in various sectors such as fintech, e-commerce, health-tech, agri-tech, and ed-tech. These startups are not only driving innovation but also addressing local challenges through tailored solutions.”
Focusing specifically on fintech, Nclude has seen tremendous advancements in Africa.
“The continent has leapfrogged traditional banking infrastructure in many regions, paving the way for innovative mobile payment solutions and digital banking services. Fintech startups are playing a crucial role in promoting financial inclusion by providing access to banking services for the unbanked population, facilitating cashless transactions, and enabling cross-border remittances,” said Moftah.
“Moreover, the widespread adoption of smartphones and internet connectivity has sparked a mobile technology revolution in Africa. This mobile penetration has opened up vast opportunities for mobile-based services, digital content, and e-commerce. It’s remarkable to witness how mobile technology has become a catalyst for economic growth and social development throughout the continent.”
The influx of investment and venture capital into the African tech sector is another aspect that truly excites Nclude, Moftah said.
“International investors have recognised the untapped potential of Africa and are actively supporting local startups. This influx of capital is crucial for scaling businesses, building necessary infrastructure, and fostering further innovation,” he said.
