Nigerian edtech startup AltSchool Africa will receive support from the $30 million Rwanda Innovation Fund for its next phase of growth. The fund aims to position Rwanda as a technology leader in Africa.
AltSchool, which offers online coding and skills training like US bootcamp BloomTech, will get strategic help from consulting firm Intellecap. This support is fully covered by the Rwanda Innovation Fund, which invested an undisclosed amount in AltSchool’s $3 million fundraise last April.
The innovation fund was launched in 2021 with a $30 million loan from the African Development Bank. Beyond the initial loan, it hopes to attract an additional $30 million from private donors, including $8.6 million from the Rwandan government. The aim is to invest in 150 startups, incubators and accelerators across Africa. So far, $6.6 million has been paid to 11 East African startups.
“The Rwandan government has been very helpful since we entered the market, and we are grateful for their support,” said Adewale Yusuf, CEO of AltSchool. The startup opened an office in Rwanda last year and now has four employees, with more positions open. Other companies like Flutterwave and Paystack have also established operations in Rwanda.
AltSchool offers fully online learning covering business, data, engineering and more. Unlike BloomTech, courses range from $20 to $50 per month. The startup also uses revenue sharing agreements where students pay a percentage of their income after getting a job. Internship placement is essential.
So far, AltSchool has trained around 20,000 learners in eight African countries. Unemployment is a persistent problem in Africa, where only 3 million out of 10 million young people are able to find a job or an income. AltSchool aims to provide skills for developing a career, both in technology and beyond.
Rwanda was AltSchool’s second funding round following a $1 million pre-seed round in 2022 from venture capital firms like Voltron Capital and angel investors including Paystack’s Sola Akinlade.
With support from the Rwanda Innovation Fund, AltSchool can continue to work to close the technology skills gap in Africa while empowering youth. This support demonstrates Rwanda’s commitment to developing local talent and becoming a pan-African technology leader.