Grace Ashiru
The African Development Bank Group has approved a €7.5 million investment into the Breega Africa Seed I Fund, directing capital toward early-stage technology startups operating across the continent.
The financing package is structured as €5 million in direct equity capital from the Bank and €2.5 million provided as a junior tranche on behalf of the European Commission, under the Boost Africa Initiative, which is designed to support young entrepreneurs building innovative businesses across Africa.
The fund will channel resources into high-growth sectors including fintech, insurtech, agritech, healthtech, logistics, education technology, and climate technology — all considered critical to improving access to essential services and stimulating economic growth. By targeting climate tech and agritech specifically, the fund advances what the AfDB describes as “Building Resilience and Value Addition,” backing climate-resilient infrastructure and fostering sustainable agricultural value chains and green innovation.
Geographically, the fund will concentrate on five major innovation hubs: Nigeria, South Africa, Kenya, Egypt, and Francophone Africa — markets identified as key centres for startup activity that are well-positioned to drive technology-led solutions across the continent.
Breega, the fund manager, focuses on backing technology-driven companies from pre-seed through to growth stages across Europe and Africa. With offices in Paris, London, and Lagos, the firm manages assets exceeding €700 million and provides portfolio companies with operational support spanning hiring, marketing, sales, and business strategy.
Beyond financing, the fund is expected to generate employment — particularly for women and youth — while supporting climate-resilient infrastructure and green innovation through targeted agritech and climate-focused investments. The European Commission’s participation via a junior tranche underscores the growing role of blended finance in de-risking investments and unlocking capital in underserved segments of the market.
AfDB’s investment reflects a deliberate strategy of backing innovation early and at scale, as global interest in Africa’s tech sector continues to rise.
