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Good morning! 
The rise of food delivery platforms and courier services has significantly boosted employment by onboarding numerous riders, often functioning as a form of business process outsourcing. The pressing question now is: can automation and robotics replace these human couriers?
Recently, Robomart, an innovative startup based in the United States, unveiled its RM5 autonomous delivery robot, offering a flat delivery fee of $3-more affordable than popular services like Uber Eats and DoorDash. Watching a vlog where a rider completed over ten deliveries in a single day sparked curiosity about how much more efficient a robot could be. Customers are likely to welcome faster deliveries at lower costs, regardless of whether a human or machine makes the drop-off.
Additionally, don’t miss the latest edition of our newsletter, The Next Wave: Francophone Africa, releasing today. It covers the most important developments and trends shaping the Francophone African tech ecosystem. If you haven’t subscribed yet, now’s the perfect time.
Subscribe to TNW: Francophone Africa to stay updated with the latest insights.
- NDPC intensifies scrutiny on 1,369 Nigerian companies for data privacy breaches
- Premium Trust Bank secures $131 million in capital to meet CBN’s recapitalisation mandate
- Pan-African fintech DigiTax appoints new country director amid Nigerian expansion
- Somalia enacts new legislation targeting cybercrime
- Exploring the future of Web 3.0
- Emerging opportunities in African tech
Regulatory Updates
NDPC Launches Investigation into Over 1,300 Nigerian Companies for Data Privacy Infractions
Nigeria’s Data Protection Commission (NDPC) has initiated a comprehensive investigation targeting 1,369 companies suspected of breaching data privacy laws. This move marks a significant escalation in enforcement efforts by the regulatory body.
Background: The Nigeria Data Protection Act (NDPA), enacted in 2023, aims to protect the nation’s data sovereignty and personal information. For nearly two years, the NDPC adopted a lenient approach, focusing on remediation and warnings rather than immediate penalties. However, in July, the commission imposed a hefty fine of ₦766.2 million (approximately $498,000) on MultiChoice, a major pay-TV operator, following repeated non-compliance.
Current focus: The companies under scrutiny include 795 financial institutions, 392 insurance brokers, 35 insurance firms, 10 pension management companies, and 136 gaming enterprises. The NDPC has mandated these organizations to demonstrate, within three weeks, that they have appointed Data Protection Officers, submitted their 2024 compliance audits, and implemented adequate data protection frameworks. Failure to comply may result in substantial fines akin to those levied on MultiChoice.
Implications: This sweeping enforcement action signals the NDPC’s commitment to upholding data privacy with tangible financial consequences. The commission underscores that responsible data management is crucial for Nigeria’s ambition to become a leading digital economy in Africa and beyond. Observers will be watching closely to see if this crackdown fosters genuine compliance or merely serves as a revenue-generating mechanism through fines.
Banking Sector
Premium Trust Bank Secures $131 Million to Fulfill CBN’s Recapitalisation Mandate
Established in 2022, Premium Trust Bank has successfully raised ₦200 billion (equivalent to $131 million) to meet the Central Bank of Nigeria’s recapitalisation requirements for national banks. This achievement comes with seven months remaining before the official deadline, placing Premium Trust alongside mid-tier banks like Wema and Stanbic IBTC, which have also met the capital threshold.
Funding strategy: The bank combined a rights issue-offering new shares to existing shareholders-with private placements, where shares are sold directly to select investors, to amass the required capital.
Context: In 2024, the Central Bank of Nigeria mandated a recapitalisation exercise to fortify the banking sector. The minimum capital requirements are ₦500 billion ($328 million) for international banks, ₦200 billion ($131 million) for national banks, and ₦50 billion ($33 million) for regional banks.
Industry outlook: To date, only Access Bank and Zenith Bank have met the recapitalisation targets among the largest banks, highlighting the ongoing challenges within Nigeria’s financial landscape.
Seamless Global eCommerce: Accelerate Your Payments Worldwide
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Leading Nigerian Banks Strengthen Capital and Expand Reach
Major Nigerian financial institutions are actively enhancing their capital bases to support growth and stability. Following its recent dual listing on the London Stock Exchange, Guaranty Trust Bank (GTBank) is preparing for another capital raise to bolster its financial position. Similarly, United Bank for Africa (UBA) is in the process of securing additional funding, while First Bank of Nigeria is on track to complete its recapitalization ahead of regulatory deadlines.
Premium Trust Bank’s Rapid Expansion and Challenges
Since its inception, Premium Trust Bank has pursued an aggressive growth strategy, establishing 26 branches across 14 states in Nigeria. The bank aims to extend its footprint into the Southeast region and intensify its focus on serving small and medium-sized enterprises (SMEs), a sector critical to Nigeria’s economic development.
However, the bank is currently embroiled in legal proceedings after allegations surfaced that an employee, in collusion with external parties, attempted to misappropriate $10,000 from a customer’s account. This incident highlights ongoing challenges in internal controls within the banking sector.
DigiTax Launches Nigerian Operations to Revolutionize Tax Compliance
Nigeria’s tax administration is undergoing a digital transformation, with DigiTax, a pan-African e-invoicing and tax compliance platform, now officially recognized by the Federal Inland Revenue Service (FIRS) as an Access Point Provider and System Integrator for the new Merchant Buyer Solution (MBS) e-invoicing system.
This integration enables DigiTax to seamlessly connect businesses to Nigeria’s government-backed e-invoicing infrastructure, streamlining tax reporting and compliance. Already operational in Kenya and Zambia, DigiTax supports over 800 companies across Africa, processing invoices exceeding $10 billion in value.
Leading the Nigerian expansion is Olumide Akinsola, a seasoned tech entrepreneur with nearly two decades of experience scaling technology ventures across Africa. Akinsola previously played a pivotal role in growing QuickBus, a ticketing platform acquired in April 2024.
For Nigerian businesses, DigiTax’s direct link to FIRS promises to reduce manual errors and delays in tax filings, potentially saving time and increasing revenue accuracy. This development marks a significant step toward modernizing tax compliance in Africa’s largest economy.
Somalia Enacts New Cybercrime Legislation to Combat Rising Digital Threats
In a decisive move to strengthen its digital security framework, Somalia’s Council of Ministers recently approved a comprehensive cybercrime bill introduced by the Ministry of Communications and Technology. This legislation addresses offenses such as unauthorized computer access, hacking, online fraud, and other cyber-related crimes.
The bill establishes clear penalties for violations and equips law enforcement agencies with the legal authority to investigate and prosecute cybercriminals effectively. This initiative comes amid a surge in internet usage, with Somalia’s online population surpassing 5 million users in 2024.
Recent data indicates a 27% increase in piracy incidents during the first quarter of 2024 compared to the previous year. Furthermore, INTERPOL reports that cybercrime constitutes over 30% of all reported crimes in both Western and Eastern Africa, underscoring the urgency for robust digital governance.
Somalia’s commitment to combating cyber threats is further demonstrated by its recent partnerships with Malaysia’s Communications and Multimedia Commission and Cyber Security Malaysia, focusing on collaborative efforts to enhance cybersecurity regulations and enforcement.
While the enactment of this bill signals Somalia’s readiness to foster a safer digital economy, the effectiveness of its implementation remains to be seen as the country navigates the challenges of enforcing new cyber laws.
Paystack’s 2024 Highlights: Innovations and Support for African Businesses
Discover the milestones Paystack achieved in 2024, from significant product enhancements to innovative solutions designed to empower African entrepreneurs. Explore the full Year in Review to see how Paystack continues to drive growth and digital transformation across the continent.
Unlock $50,000 in funding, expert mentorship, and international exposure! If you’re developing FinTech solutions or startups integrating FinTech infrastructure across Africa, this is your gateway to success. Submit your application now for the MEST Africa Challenge 2025.
Crypto Tracker
Navigating the Expanding Web3 Landscape
Source:
| Coin Name | Current Price | 24h Change | 30d Change |
|---|---|---|---|
 Bitcoin |
$110,167 | -2.09% | -6.87% |
| Ether |
$4,435 | -6.11% | +16.84% |
| Spark |
$0.0676 | -6.29% | -33.95% |
| Solana |
$188.86 | -7.71% | +0.52% |
* Prices and changes accurate as of 6:45 PM WAT, August 26, 2025.
Opportunities
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Nithio is providing flexible funding ranging from $50,000 to $500,000 for clean energy startups operating in Kenya and Nigeria. Eligible ventures include providers of solar home systems, clean cooking technologies, and sellers of energy-efficient appliances such as solar refrigerators and mills. Applications opened on July 21. Find out more here.
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SheScales Africa presents a 6-week intensive Investment Readiness Program tailored for female tech entrepreneurs across Africa. Given that women-led startups attract less than 2% of venture capital on the continent, this initiative offers masterclasses, pitch deck refinement, financial modeling assistance, personalized coaching, and an exclusive Demo Day featuring active VCs and angel investors. Submit your application here.
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The Lagos Venture Finance Summit, scheduled for September 5, 2025, will spotlight Africa’s burgeoning venture capital ecosystem. Organized by Vencapital, the event will convene leading limited partners, general partners, policymakers, and ecosystem stakeholders for strategic discussions, networking, and deal-making opportunities. Register now to participate.
- Ask an Investor: How Consonance is innovating research and startup support in African venture capital
- Follow the Money: Mobile money transactions hit ₦20.7 trillion as bank apps experience outages, benefiting OPay and PalmPay
- Inside Africa’s leading e-commerce platform’s strategy to compete with Shein and Temu
Written by: Emmanuel Nwosu, Opeyemi Kareem, and Ifeoluwa Aigbiniode
Edited by: Ganiu Oloruntade
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