Image Credits: Badili
Kenya-based Badili has secured $400,000 in debt financing to tackle the burgeoning e-waste problem in Africa, while bridging the continent’s digital divide. French development finance institution, Proparco, backed the Kenyan startup through its “Bridge by Digital Africa” initiative. The initiative is designed to support innovative African startups with short-term financing between its funding rounds. Young companies, in their efforts to navigate the early stages of growth while seeking to scale their operations, will find this type of “bridging finance” invaluable.
Mobile phone usage in Africa has surged dramatically in recent years as the need for accessing online services like mobile banking, e-learning, and healthcare becomes more apparent. The increase in demand for smartphones has necessitated an increase in prices, a significant hurdle for a large portion of the population. Badili sources for used devices from developed markets, takes them through a thorough refurbishment process, then offers them for sale in Kenya at reduced prices. This approach, beyond making smartphones more affordable, enables participation in the digital economy.
Furthermore, Badili’s model directly confronts environmental sustainability and financial issues by extending the lifespan of smartphones, reducing the demand for new devices and thus curbing the environmentally damaging extraction of raw materials used in their production.
“Getting validation and trust from Proparco is a great boost to the morale of the team. It’s a great pleasure to welcome one of the most progressive and supportive DFIs in the world as part of Badili’s billion-dollar journey,” Rishabh Lawania, Founder and CEO of Badili, said.
Fabrice Perez, head of the Venture Capital Division at Proparco, highlighted the dual impact of the investment. “Badili’s initiative to refurbishing smartphones locally in Kenya is a game-changer. This project not only promotes economic resilience but also underscores the importance of sustainability in today’s digital economy.”
Electronic waste is quickly becoming a global problem, with Africa fast becoming the dumping ground for used gadgets from wealthier nations. By refurbishing these devices, Badili is directly addressing this challenge, reducing the pressure on landfills and mitigating the environmental damage associated with both e-waste disposal and the extraction of minerals required for new electronics. Furthermore, the initiative promotes a circular economy, encouraging the reuse of valuable materials and reducing reliance on finite natural resources.
Beyond environmental gains, Badili’s affordable smartphone offering has a significant socio-economic impact. Increased smartphone ownership unlocks access to essential online services, fostering economic empowerment and improving livelihoods. For many in low-income communities, a refurbished smartphone is the gateway to digital literacy and participation in an increasingly interconnected world.
