The Commonwealth Development Corporation (CDC), a financial institution owned by UK government earlier this month invested a 500million EURO equity fund into Jumia parent company Africa Internet Group (AIG) and about nine other online consumer businesses in other parts of Africa. Going by the CDC’s statement on its official website, it is evident they had been keeping tabs on AIG before ultimately deciding to invest a lump sum into the business stating categorically that AIG currently connects more than 50,000 local and international companies with millions of African consumers and that CDC’s capital will help AIG improve its existing operations and expand into new countries which is in line with the vision of the UK government parastatal.

Welcoming the investment, Mark Pay, CDC’s Managing Director, Equity Investments said:

“CDC’s investment in AIG means that we’re backing a business that is playing a leading role in Africa’s growing ecommerce market. The investment will help create thousands of jobs and allow many small businesses to access new markets previously closed to them.

“Smartphone-driven ecommerce will be one of the most important technological and economic trends in Africa in the next decade. More and more Africans can now access the internet, with half the population expected to be online by 2025. We’re pleased to be supporting a company that can be a financial success and make a big difference to the continent’s development.”

Welcoming CDC’s investment, Sacha Poignonnec, Co-CEO of Jumia Group said: 

 “We are very glad to be partnering with CDC. Their proven experience in investing in Africa and their expertise on long-term development will be decisive in building a healthy ecosystem around Jumia, developing and accompanying more and more African businesses and entrepreneurs in this shift towards mobile and online. Today, Jumia already reaches 50 million people every month and there is no doubt CDC will be a crucial partner in extending that reach over the next months and years.”

Follow this link to see our mini-documentary on the number of businesses that AIG operates in Nigeria and were recently made subsidiaries under the Jumia brand.