HEVA’s new $5 million fund + Nigeria’s creative economy breakthroughs

Kenya’s HEVA Fund launches a new $5 million investment fund to support local creatives and entrepreneurs, while Nigeria secures creative economy partnerships with the U.K. and China.

Mar 14, 2025

Hello there,

We’ve got three exciting updates for you today.

First, we’re hosting Communiqué IRL today at the British Council, Ikoyi, Lagos. If you haven’t gotten your ticket yet or were waitlisted, don’t worry. This is just the first of many, and the next one is coming sooner than you think. For those who have secured a ticket, expect a splendid time.

Also, mark your calendars so you don't miss the 3rd edition of Africa’s largest tech and startup event, GITEX AFRICA. It will happen from April 14–16, 2025, in Marrakech, Morocco. Communiqué will be curating the event’s Creative Economy Track—and trust us, you won’t want to miss out. You’ll get a 50% discount on tickets if you register today.

And finally, a small milestone worth celebrating: this is the seventh edition of our digest! Thank you for being part of this journey. If you’ve been enjoying these updates, please share them with friends and family.

As always, feel free to reply with news tips, industry insights, or just good vibes.

In today’s digest, we discuss:

HEVA’s new $ 5 million financing program, and
Nigeria’s growing ‘bromance’ with the creative industry.

Enjoy.

Center Spread 🗞️

HEVA launches $5 million investment fund for Kenyan creatives

Kenya’s Happily Ever After (HEVA) Fund has launched a new $5 million investment fund to support local creative professionals and entrepreneurs.

The newly launched program builds on the fund’s hybrid approach to capital deployment. It expands HEVA's existing Ota Growth program which gives beneficiaries loans to cover their operational costs for one year, help them get the assets like machinery or software that would grow the business, or provide them with other specialized financing options like credit facilitation and invoice discounting.

The new fund will provide loans specifically through two main products: Ota Kopa (up to $7,700) and Ota Kopa Plus ($7,700-$38,500). HEVA targets over 7,000 creative entrepreneurs with a deliberate focus on inclusivity. The organization says the beneficiaries will be 70% women, 10% refugees, and 5% people with disabilities.

Since its launch in 2013, HEVA Fund has established itself as a pioneer in creative industry financing across Eastern Africa. As of December 2024, the organization has disbursed over $100 million to over 100 businesses. From 2021 to 2024, it partnered with the British Council in Kenya to distribute grants of up to $190,000 across 14 countries in the region. It has also worked with Alliance Française Nairobi to showcase Kenyan artists via shows in several locations throughout the country.

Notably, HEVA's approach extends beyond funding. The organization provides comprehensive business support including pre-financing and post-financing assistance, financial modeling, legal guidance, tax advice, HR consultation, accounting services, and cash flow management. Beneficiaries also gain access to training opportunities and international platforms that expand market access.

Funding for the African creative sector takes multiple forms, reflecting the diverse needs of the industry. While some initiatives focus on direct venture capital to help businesses scale, others, like CoCreation Hub (CcHub)’s Creative Economy Practice, invest in building infrastructure that directly supports creatives. A few, such as HEVA, take a hybrid approach by offering both funding and capacity-building programs.

But as we have always argued, sustainable capital flow into the creative economy depends on establishing a robust infrastructure that guarantees returns.

Nigeria ramps up efforts to build its creative industry

Nigeria appears to be strengthening its commitment to ensuring that the creative industry contributes significantly to its GDP. On March 11, the government announced two separate partnerships with the United Kingdom and China, both aimed at building infrastructure and expanding the industry’s reach.

The U.K. partnership led to the creation of a Creative Industries Technical Working Group under the U.K.-Nigeria Enhanced Trade and Investment Partnership (ETIP). This group is expected to help identify areas for commercial alliances between both countries in key creative subsectors such as film and TV, music, fashion and design, architecture, advertising, and gaming.

The China partnership is primarily focused on tourism. Chinese Ambassador to Nigeria, Yu Dunhai, emphasized that numerous untapped opportunities could benefit both countries economically. He stated, “China would like to explore opportunities for cultural exchange, allowing Nigerian artists to tap into the Chinese market, where there is a growing demand for Nigerian music.”

Five days earlier, the Central Bank of Nigeria (CBN) governor Yemi Cardoso projected that the country’s creative industry could generate $25 billion in revenue. He made this statement at the unveiling of the National Theatre in Lagos, emphasizing that the newly refurbished facility would be a major driver in achieving this ambitious target.

Also, five months ago, the Minister of Art, Culture, and the Creative Economy unveiled her plan for Nigeria’s creative industry. The plan, which outlines ambitious goals like generating $100 billion in revenue and 2 million jobs, shows the government is finally fully interested in the sector again after years of neglect.

In Communiqué 41, we pointed out that this move is laudable but an important part, the execution and funding strategies, leaves room for too much to be said.

"Obviously, this plan raises almost as many questions as it answers. It could succeed, and it could fail. Its outcome depends heavily on how well the government collaborates with local and foreign partners—and how much control it is willing to cede to the private sector," the essay concluded.

These new partnerships indicate that Nigeria’s creative industry may finally be gaining the momentum it needs. The U.K. collaboration, in particular, involves private sector stakeholders, which could improve its chances of success. However, given the past antecedents, the effectiveness of these moves remains to be seen.

Crunch Time 📈

How South Africa became Africa’s gaming capital

In 2024, Africa's gaming industry grew six times faster than the global average, surpassing revenue projections and reaching $1.8 billion. South Africa played a major role in this growth.

The country has quietly established itself as a powerhouse in the sector, hosting about 12% of Africa’s active gamers. Unlike Nigeria and Egypt, whose dominance are due to population size and geographic advantage, South Africa’s success is driven by infrastructure development, education investment, and community building.

South Africa’s gaming evolution traces back to the 1980s when access was limited to privileged youth like Elon Musk. Today, the country boasts a thriving ecosystem of developers, publishers, and esports champions. Local game studio Nyamakop’s Semblance became the first African-developed game on Nintendo in 2018, and in 2023, 24 Bit Games was acquired by American publisher Annapurna Interactive—a testament to the sector’s progress. To crown it, the country is now home to one of the very first indigenous game publishers on the continent, Carry1st.

Our latest Communiqué essay explores South Africa’s rise in the gaming world and what is next for it. Read it here.

Curiosity Cabinet 🗄️

Read Baraza Media Labs’ report on the state of influencer marketing in East Africa.
Due Dilly lays out a blueprint for how content creators can build an IP juggernaut on the scale of Mattel and Disney.
Has YouTube truly claimed the throne as the best podcasting platform, as it wants us to believe? Tony Doe thinks it’s a bit of a stretch.
ARTX Collective, the host of the Lagos-based art fair ArtXLagos, is celebrating 10 years and hiring three new team members. Take a shot at it!
YouTube reigns as the top platform for content creators, but conquering it is no easy feat. Neil Patel shares tips on mastering its algorithm.

Challenge Yourself 🧐

Find, solve, and win

This week's challenge comes with a big prize, a complimentary monthly subscription to Communiqué.

Below are excerpts from two different Communiqué essays referenced in today’s Digest. Your task? Fill in the missing words in each passage.

(A)

“The fundamental error in this approach became _______ as investors realized that creative businesses typically follow different growth trajectories than tech startups. While venture capital thrives on the potential for exponential growth and outsized returns, creative _________ often develop more linearly, building sustainable value over time rather than achieving hockey-stick growth curves. There are a few exceptions to this rule, like Carry1st, a gaming company that combines creative content with technological infrastructure. But the vast majority of creative businesses – from fashion houses to film production companies – operate on fundamentally different principles.”

(B)

“Africa needs these investments urgently — from governments and private sector investors. There have to be more film cities, music recording complexes, and cultural centers. Additionally, there must be more ______intellectual property frameworks to protect creative work. The market also requires more advanced digital infrastructure such as data centers and high-speed internet to support the growing demand for ______ and digital content.”

We’re feeling generous, so here are two clues:

The first pair of missing words starts with the first two vowels in the English alphabet.
The second pair follow the same order in the alphabet.

The first two people with correct replies will win the prize.

Good luck!