
DAVOS – Renowned philanthropist and business magnate Strive Masiyiwa, the founder and executive chairman of Econet Group, delivered a rousing address at the World Economic Forum (WEF) 2025, calling for systemic changes in how African startups are funded.
Speaking to a global audience of leaders, innovators, and policymakers, Masiyiwa highlighted the resilience and creativity of Africa’s youth while urging for the development of robust funding ecosystems to support emerging entrepreneurs.
“We don’t have a problem of entrepreneurship in Africa,” Masiyiwa said. “Our kids leave school knowing that if you don’t start something, you’re not going to be employed.”
The Startup Dilemma: Access to Capital
Masiyiwa, whose telecommunications empire has transformed industries across Africa, emphasised that the continent’s entrepreneurial spirit is unmatched, but it is stifled by inadequate financial support.
“You do not fund startups with debt,” he asserted. “You provide equity capital, venture capital. Startups require patient, risk-tolerant funding to flourish, not the burden of repayment schedules that crush innovation before it even begins.”
Masiyiwa criticised traditional financing systems, which often subject young entrepreneurs to high-interest loans and rigid repayment terms. These structures, he argued, are ill-suited for early-stage ventures that require time to scale and stabilise. Instead, he called for more venture capital firms, angel investors, and equity-based funding models to be established and expanded across Africa.
Entrepreneurial Potential vs Systemic Barriers
Africa is home to the youngest population globally, with millions of young people entering the job market annually. However, with formal employment opportunities limited, many turn to entrepreneurship out of necessity rather than opportunity. Masiyiwa pointed out that while the creativity and drive of African youth are extraordinary, systemic barriers—such as lack of access to capital, mentorship, and infrastructure—severely hinder their progress.
“Our youth are incredibly innovative. They are building apps, inventing sustainable technologies, and solving real-world problems. What they lack is not ideas or work ethic, but access to the kind of capital that allows them to turn those ideas into viable businesses,” Masiyiwa said.
A Call for Global Partnerships
In his address, Masiyiwa also appealed to global investors, development agencies, and African governments to prioritise creating favourable environments for entrepreneurship. He proposed the establishment of regional venture funds, tax incentives for investors, and public-private partnerships to incubate startups.
“We don’t have a problem of entrepreneurship in Africa. Our kids leave school knowing if you don’t start something, you’re not going to be employed….”
At the #WEF2025, Econet Group founder Strive Masiyiwa calls for better funding ecosystems for emerging African entrepreneurs.… pic.twitter.com/wDkpp4MSve
— newZWire (@newswireZW) January 22, 2025
“We need an Africa-wide strategy for funding entrepreneurs,” Masiyiwa explained. “It’s not just about money; it’s about mentoring, access to markets, and policy frameworks that allow innovation to thrive.”
Masiyiwa noted the success of emerging fintech, agritech, and cleantech startups in countries like Nigeria, Kenya, and South Africa as examples of what African entrepreneurs can achieve when given the right support. He encouraged international investors to look beyond risks and focus on Africa’s untapped potential.
Addressing Brain Drain
Masiyiwa also touched on the issue of brain drain, where talented African innovators leave the continent in search of better opportunities abroad.
“Why should our brightest minds leave to create billion-dollar companies in Silicon Valley when they could be building those same companies right here in Africa?” he asked. “The problem is that we do not have the infrastructure to support them. It’s time to change that.”
Reactions at WEF 2025
Masiyiwa’s remarks were met with widespread support from attendees at the forum. Several leaders praised his insights and pledged to work toward fostering more inclusive funding mechanisms for African entrepreneurs.
Ngozi Okonjo-Iweala, Director-General of the World Trade Organization, echoed Masiyiwa’s sentiments, saying, “Africa’s youth are its greatest resource. We must invest in them through policies and funding models that empower them to succeed.”
Moving Forward
As WEF 2025 continues, Masiyiwa’s bold vision serves as a rallying cry for stakeholders to prioritise youth-driven innovation. His call to action underscores the urgency of addressing the structural deficiencies that hinder Africa’s economic growth and the potential for transformative change through entrepreneurship.
The spotlight now shifts to how policymakers and investors will respond to the challenges outlined by one of Africa’s leading business voices.