South Africa Launches $100 Million Digital Inclusion Fund

South Africa has launched a major new initiative under its Business 20 (B20) presidency: the B20 South Africa Digital Inclusion Fund, a $100 million (about R1.7 billion) vehicle aimed at helping African entrepreneurs close the digital divide and grow the continent’s digital economy.

The announcement marks one of the most concrete outcomes of the country’s leadership of the B20 Digital Transformation Task Force.

The fund is designed to back early-stage technology start-ups across Africa, especially those building solutions that expand connectivity, digital skills, digital education, healthcare access, agri-tech, and financial inclusion. Many of these start-ups struggle to secure financing despite high potential for impact. The goal is to give them the capital and support they need to scale.

The initiative is inspired by the Digital Transformation Task Force’s policy recommendations under South Africa’s B20 presidency. It reflects a move away from high-level discussions about inclusion toward real financial action.

A Core B20 Initiative

The B20 serves as the official G20 dialogue forum for the global business community, bringing together business leaders from G20 countries and beyond.

Speaking at the launch, Shalini Khemka, Co-Lead of the Digital Inclusion Fund, explained that the fund “brings together development finance institutions, philanthropic partners, corporates, and private investors through a blended financing model.” This mix of concessional and commercial capital is meant to reduce risk while driving large-scale impact.

Khemka noted that 2.6 billion people worldwide remain excluded from the digital economy, leaving them without access to modern education, healthcare, financial services, and job opportunities. “Digital transformation is not just a global imperative; it is a moral one. “The launch of the B20 South Africa Digital Inclusion Fund is a powerful next step. If we invest and lead with purpose and courage, we can ensure digital progress empowers the many, not just the few.”

Chaired by Phuti Mahanyele-Dabengwa, CEO and Executive Director of Naspers South Africa, the B20 Digital Transformation Task Force focuses on digital inclusion, cybersecurity, and innovation in emerging technologies such as AI and blockchain. It also explores the enabling policies needed for smart infrastructure and digital trade across Africa.

Strong Interest From Investors

The B20 confirmed that advanced discussions are already underway with leading institutions and investors who want to join the fund as limited partners. Over the coming months, the Task Force will finalise the fund’s structure, governance, and anchor commitments, working closely with partners across the B20, G20, and African innovation ecosystems.

A formal call for applications from entrepreneurs will follow once these steps are complete.

What sets this fund apart is the ecosystem it creates around the entrepreneurs it will support. Start-ups will not only receive financing but also gain access to global partners, regulators, distribution networks, and technology experts across the B20 and G20.