Peter Banigo is an Entrepreneur, Podcast Host of “Tech Your Business” and “Green Tech Pulse,” and Founder of Target ICT Ltd.—a business committed to helping companies understand and leverage technology more efficiently. With years of experience guiding others through digital transformation, Peter is also passionate about exploring the world and working remotely from different corners of the globe. Below, we present our exclusive interview with Peter Banigo for African&Gulf Magazine.
1. Emerging Trends: Based on your experience as a founder and investor, what do you see as the most promising sectors for African startups right now, and why?
Even though there are a lot of big (and small) players in the space, I believe the fintech sector is still the most promising sector in Africa, especially coming from the angle of financial inclusion and trans-continental payment infrastructure, as it’s still more difficult to transact within African countries than with the Western world.
Another promising sector is healthcare tech. With the alarming statistics of the number of people to a doctor, things like telemedicine and diagnostic tools, if deployed affordably, should enjoy a huge market.
Renewable energy is another big one, especially in places like my home country Nigeria where there’s a shortfall in power supply from the grid. Every day I see people switch or add solar to their energy supply, and I believe if it can be made affordable, the market is huge as it typically needs a huge capital outlay to start. Finally, I’m biased, but AI is still early and I’d love to see a lot more African startups providing data, home-grown AI models and even AI solutions to common problems. The key is focusing on solutions that work despite infrastructure limitations, not in spite of them.
2. Investment Climate: How has the investment climate for African startups evolved in the past few years, particularly in markets like Nigeria? What are international investors looking for when considering African ventures?
The investment climate has come a long way from where it was maybe 10 years ago. When I build businesses focusing on Africa, I typically tilt more towards the profit than growth side of things, and I can see most investors are now tilting that way too, as you aren’t really sure what’s going to happen policy-wise and otherwise in the medium to long term most of the time.
Investors these days, I believe, are looking for solutions and products that actually address local needs (not just imported ideas), realistic unit economics, as well as competent teams that really understand the local markets.
I believe the days of growth-at-any-cost funding are largely over, and investors want to see sustainable business models that can weather economic volatility
“Investors these days, I believe, are looking for solutions and products that actually address local needs (not just imported ideas), realistic unit economics, as well as competent teams that really understand the local markets.”
Peter Banigo
3. Challenges and Solutions: What are the most significant challenges that early-stage startups in Africa face today, and what practical steps can founders take to overcome them?
I think the biggest issue is infrastructure first of all. When I moved back to Nigeria, the first thing I had to invest in was a solar installation so I could have 24/7 power. The short time I tried to depend on the public utility, it was a nightmare and a huge hit on productivity. I subscribe to 3 ISPs simultaneously just so I know I’d always be online, and another challenge for startups trying to expand internationally is literally being locked out of most payment systems and platforms.
Another thing is it’s common for early-stage startups to lose key team members to international opportunities which pay better.
Local funding opportunities are scarce as most African startups look outside the continent for early-stage funding, dealing with most regulatory bodies can be very difficult, and building a continent-wide business is hard, as I mentioned earlier, because of the fragmentation.
For solutions, I’d advise, like I did, owning the infrastructure issue as part of the business plan, working with local experts and advisors to make dealing with regulatory bodies easier, as well as going beyond salary to offering equity to retain staff
4. Infrastructure & Talent: In your view, how are infrastructural limitations and the availability of skilled talent impacting the pace of innovation and startup scale-up in Africa?
Look, the infrastructure limitations are real – I’ve lived them. But here’s what I’ve learnt from building businesses across different continents: these constraints actually force you to build better, more efficient solutions. When you can’t rely on constant power or high-speed internet, you design systems that work lean and fast. That discipline often gives you advantages when you expand to markets with better infrastructure.
On talent, Africa has some of the smartest people I’ve worked with. The issue isn’t ability – it’s retention. Young talent sees international opportunities paying 5-10 times local salaries and they leave. But money isn’t everything. In my businesses, I’ve kept great people by offering equity early, creating clear growth paths, and giving them meaningful work they can be proud of. That way you’re not just competing on salary; you’re competing on opportunity and impact
“When you can’t rely on constant power or high-speed internet, you design systems that work lean and fast. That discipline often gives you advantages when you expand to markets with better infrastructure.”
Target ICT Logo
5. Advice to Aspiring Entrepreneurs: What key advice would you give to aspiring entrepreneurs in Africa looking to launch their own startups in the current ecosystem?
Stop waiting for perfect conditions – they don’t exist anywhere. I started businesses during the 2008 financial crisis and in markets with significant challenges. What matters is solving real problems for people willing to pay for solutions.
Focus on revenue from day one. I see too many African entrepreneurs obsessing over raising funds instead of proving their business model actually works. Build something people want to buy, not something that looks good in pitch decks. And here’s the thing – being based in Africa doesn’t mean your market is limited to Africa. I’ve run businesses serving customers across three continents from whatever base I was in at the time.
The moment you start thinking globally whilst solving locally, you’re already ahead of most startups anywhere in the world.
In a rapidly advancing tech landscape, entrepreneurs like Peter Banigo remind us that African startups possess the ingenuity and resilience to overcome challenges and build scalable, impactful solutions for the continent and beyond. His insight serves as encouragement for those willing to see opportunity where others see obstacles.
Editorial Team / Africangulf.ae
