Startup Funding in Africa Reaches $1.35 Billion in H1 2025

Startup funding in Africa has hit a new milestone in the first half of 2025, with startups across the continent raising a total of $1.35 billion, according to a new report published by Africa: The Big Deal. The rebound comes after a sluggish 2023 and early 2024, when macroeconomic pressures and global market volatility stifled investment flows into the continent’s tech sector.

Nigeria, Kenya, Egypt, and South Africa retained their positions as leading hubs for venture capital activity, accounting for a significant portion of the total funding. Fintech remained the dominant sector, followed by healthtech, cleantech, and logistics. The report highlights that the resurgence is being fuelled by a growing appetite among global investors for emerging market innovation, as well as regional reforms that have helped stabilise business environments.

Compared to the same period in 2024, this marks a significant upward shift, pointing to restored confidence among investors and renewed momentum across Africa’s entrepreneurial ecosystems.