Q. Is there a recent trend in the African ecosystem that makes you excited?

Africa is incredibly diverse, with each country exhibiting its own unique characteristics and trends. So, it's challenging to pinpoint a unified trend across the continent. However, one overarching observation is the increasing economic growth and the corresponding rise in consumer spending. As economies expand, people are increasingly inclined to invest in improving their quality of life, whether through wellness, entertainment, or other avenues.

Countries like South Africa, Nigeria, Kenya, and Egypt are experiencing notable economic growth, reflected in their rising GDPs. So, there's a growing trend of increased spending in various sectors within these countries. For instance, the wellness industry is witnessing significant growth as more individuals become aware and prioritize health and well-being.

Also, the fintech sector, particularly prominent in Kenya, presents substantial opportunities for startups. While cash remains a primary method of payment in many areas, there's a noticeable shift towards digital financial services. Although investing in fintech startups requires careful consideration due to existing barriers, we see considerable potential in this sector. While we haven't yet invested in fintech, we believe that as startups' business models become more tangible, investment opportunities will emerge.

Q. What advice would you give to aspiring entrepreneurs and startup founders who want to attract investment from Japan?

In my numerous sessions advising foreign startups on dealing with Japanese investors or business partners, I've emphasized the importance of understanding cultural differences. This is paramount and serves as the foundational element. Often, individuals assume that business practices are uniform across countries, but the reality is quite different. There exists a significant gap between Africa and Japan in terms of business culture.

First and foremost, entrepreneurs must recognize this disparity. Furthermore, within Africa itself, there are distinctions; Nigerians, for instance, tend to be optimistic, while Kenyans lean towards conservatism.  Japanese culture is characterized by conservatism, and many Japanese companies are not really open to embracing new concepts.

To navigate these challenges, entrepreneurs must enlist the assistance of a cultural guide who can facilitate not only language translation but also help bridge the gap in business practices, attitudes, and communication styles. Having a knowledgeable guide familiar with Japanese culture is essential for successfully engaging with Japanese companies and investors.