The African Development Bank Group (AfDB) has approved a €6.5 million investment in the Saviu II Venture Capital Fund to foster the growth of technology start-ups in French-speaking West and Central Africa.
This funding aims to strengthen the early-stage innovation ecosystem by supporting seed-stage companies and their first institutional funding rounds. The funding gap continues to constrain the growth of startups across the region.
Blended finance to reduce innovation risk
The banking group will commit equity of EUR 4.5 million, in addition to a first loss hedge tranche of EUR 2 million provided on behalf of the European Commission under the Boost Africa programme.
The blended financial structure is designed to reduce investment risk and focus additional capital, allowing Saviu II to prioritize high-potential companies with strong technology or digital elements.
By absorbing early losses when necessary, first loss mechanisms increase investor confidence and support venture capital expansion in markets that are often perceived as high risk.
Targeting 20 high-growth startups
Saviu II — the second fund managed by Saviu Partners — plans to invest between €500,000 and €3 million in approximately 20 early-stage, technology-oriented B2B companies.
The fund will focus on startups at the seed stage or raising their first institutional funding round, helping them scale, strengthen governance, and expand geographically.
At least 60% of the Fund’s commitments will target French-speaking countries in West and Central Africa, including:
Ivory Coast
cameroon
Benin
senegal
takeaway
Burkina Faso
mali
The fund may also co-invest in promising technology companies in East Africa that plan to expand into French-speaking West Africa and establish a strong presence there.
Exclusive pre-seed envelope
Recognizing that capital is scarce in the early stages, Saviu II allocates a dedicated envelope for pre-seed investments. These minority stakes are typically made in partnership with startup studios, incubators, and other ecosystem players.
This approach aims to strengthen the innovation pipeline by supporting entrepreneurs from idea generation to preparation for institutional investment.
Strengthening Africa’s digital economy
AfDB’s investments align with broader efforts to deepen Africa’s digital transformation and entrepreneurship ecosystem. Access to risk capital is one of the biggest barriers facing start-ups in Francophone Africa, where levels of venture funding have historically lagged behind English-speaking markets.
Through Boost Africa, a joint initiative between the African Development Bank and the European Commission, the African Development Bank Group is increasing support for early-stage funds that foster innovation, create jobs and build competitive digital economies.
By supporting Saviu II, the Bank aims to foster the growth of technology-driven enterprises that can drive productivity, regional integration, and private sector development across Francophone Africa.
