In 2024, Kenya solidified its position as Africa’s top destination for startup funding, leaving Nigeria trailing for the second consecutive year. Despite Nigerian startups raising over $400 million, the total was insufficient to reclaim the lead, according to the latest report by Africa: The Big Deal.
Nigeria’s performance largely hinged on two major deals: Moove’s $110 million, which included a $100 million Series B round led by Uber, and Moniepoint’s $110 million Series C round. These significant investments brought Nigeria’s total funding to $410 million, almost identical to the figure from 2023. While impressive, this wasn’t enough to surpass Kenya, which pulled in a massive $638 million, accounting for 88% of East Africa’s total funding of $725 million.
Kenya’s success was driven by substantial investments in climate tech startups such as d.light, SunCulture, and Basigo. This strong focus helped East Africa retain its position as the leading region, contributing 33% of the continent’s total $2.2 billion funding, despite an 18% decline from the previous year.
West Africa, meanwhile, made a notable comeback by raising $587 million, capturing 27% of Africa’s total. Nigeria led the charge, but contributions from Ghana ($68 million), Benin ($50 million), Côte d’Ivoire ($33 million), and Senegal ($22 million) demonstrated the region’s diverse growth.
North Africa saw a significant drop, with funding falling 35% to $478 million. Egypt, the dominant player in the region, experienced an even steeper decline of 37%. Morocco, however, held steady, raising $70 million, positioning itself as the fifth-largest recipient on the continent.
Southern Africa also faced challenges, with total funding dropping by 36% to $397 million. South Africa remained the cornerstone, accounting for nearly all of the region’s funding, though it also saw a decline of 34%.
Central Africa, on the other hand, contributed just $5 million, highlighting its minimal impact compared to other regions.
The Big Four—Kenya, Nigeria, Egypt, and South Africa—continued to dominate Africa’s startup scene, attracting 84% of all funding in 2024. As we look forward, the performance of these markets, alongside emerging players like Morocco and Ghana, will be crucial in shaping Africa’s startup ecosystem in the coming years.
