Scaling digital innovation in low- and middle-income countries (LMICs)

This report examines the transformative impact of the GSMA Innovation Fund on 33 tech startups in low- and middle-income countries from 2021 to 2024. By distributing £5.5 million in equity-free grants and providing tailored venture-building support, the fund enabled these startups to test and scale digital innovations across sectors such as agriculture, climate resilience, e-commerce, education, energy, financial services, humanitarian challenges, sanitation, waste management, and water. Collectively, the start-ups raised £35.8 million in follow-on funding, demonstrating significant investor confidence.

The report highlights insights from the top 10 alumni, who secured over £31 million in follow-on funding, addressing challenges like infrastructure gaps, user acquisition, and scaling in resource-constrained environments. The report further delves into lessons learnt from their fundraising journeys, outlines emerging trends in fundraising, and funding instruments. The analysis also offers investor insights on fostering sustainable, impactful startups.

Key findings include the critical role of strategic partnerships, such as those with mobile network operators, in expanding market access and driving adoption.

The report concludes with practical tips from investors which highlights the need for clear business models, strong teams, and impactful storytelling to attract funding and scale effectively.