The International Finance Corporation (IFC) has approved a proposed investment of up to $6 million into a pan-African venture capital fund managed by First Circle Capital, a female-led investment firm backing early-stage fintech startups across the continent.

The commitment includes up to $4 million through IFC’s Startup Catalyst Platform, as well as an additional $2 million from the Women’s Entrepreneurs Finance Initiative (We-Fi), which IFC implements. The two investments will be made on a pari-passu basis, with no concessional terms, and are aimed at catalyzing institutional capital into one of the few women-led funds operating in Africa’s venture capital ecosystem.

First Circle Capital’s Africa Fund I is targeting $25 million in total commitments, with a hard cap of $30 million. The fund will focus on pre-seed and seed-stage investments in fintech companies, with a thematic focus on areas beyond the historically dominant payments segment. Sectors of interest include financial infrastructure, insurtech, alternative lending, regtech, interoperability, and climate fintech.

The fund is registered as a limited partnership in Delaware, but operates primarily from offices in Casablanca and Kampala. It is managed by co-founders Selma Ribica, a former M-Pesa executive and early fintech investor, and Agnes Aistleitner Kisuule, an entrepreneur with a track record of building companies in frontier markets. The duo brings operational experience and a strong pan-African network to the firm’s investment strategy.

The IFC investment comes amid growing global interest in Africa’s fintech sector. According to recent reports by Boston Consulting Group and QED, the continent is the fastest-growing fintech market in the world, with revenues expected to increase 13-fold by 2030. Despite this growth, significant funding gaps persist, particularly for early-stage startups and for women-led ventures.

The We-Fi co-investment is intended not only to boost the fund’s capital base but also to embed gender inclusion into its portfolio strategy. The fund is expected to adopt gender-smart investing approaches, including targets for investing in women-founded or women-led fintech startups.

This gender-lens strategy aligns with broader efforts by institutional investors to increase capital flow to underrepresented fund managers and founders. First Circle is part of a growing but still small number of African-focused venture funds led by women.

Earlier this year, the FSDAi Nyala Facility, a vehicle established by FSD Africa Investments, also committed $1 million to First Circle Capital. Commenting on the investment, FSDAi Chief Investment Officer Anne-Marie Chidzero said: “First Circle stands out as a thesis-led, specialized fund with exceptional expertise in the fintech sector. We believe our support will catalyze further institutional LP investment.”

The FSDAi Nyala Facility is focused on anchoring emerging fund managers, particularly those employing gender-lens strategies or addressing the “missing middle” of small and growing businesses in Africa. The vehicle is supported by the UK government and works across more than 30 African markets.

First Circle Capital has already made 13 investments in fintech startups across seven African countries, spanning verticals such as SaaS for financial institutions, regulatory technology, and alternative lending platforms. Its portfolio strategy is deliberately focused on underserved niches of the fintech ecosystem.

The fund’s backing by institutions such as IFC, We-Fi, and FSDAi reflects increasing willingness among global development finance institutions to support emerging managers and new approaches to financial inclusion. It also comes at a time when venture capital in Africa is facing headwinds from global macroeconomic shifts and reduced risk appetite among traditional investors.

The fund will also benefit from participation in IFC’s Startup Catalyst Booster Program, which offers select emerging fund managers access to capacity-building and support services. According to IFC, the initiative is designed to strengthen the fund manager ecosystem in emerging markets and improve access to capital for underserved founders.

With IFC’s endorsement, First Circle Capital’s Africa Fund I is now one step closer to its $25 million target, aiming to close the gap between early-stage fintech innovation and long-term financial inclusion across the continent.