A recent preliminary report on the startup ecosystem in Africa shows that Kenya was the leading destination for startup investments in Africa in 2020
According to the report by Startup List Africa, Kenya received over 25% of the total funding in Africa with clean energy and fintech dominating the 2020 investment list.
Here are the top startup investment destinations in Africa in 2020:
- Kenya – $266 million (25%)
- Nigeria – $237 million (23%)
- South Africa – $198 million (19%)
- Egypt – $125 million (12%)
- Ghana – $90 million (9%)
While fintech continues to dominate the bulk of the investments, other industry verticals such as renewable energy, healthcare and SaaS have started to emerge.
A dive into the startup investments in Africa for 2020 reveals the following:
- Top industries funded in Kenya were renewable energy, agritech, and logistics
- Top industries funded in Nigeria were fintech, renewable energy, agritech
- Top industries funded in South Africa were fintech, edtech, and SaaS
- Top industries funded in Egypt were fintech, logistics, and healthcare
- Top industries funded in Ghana were fintech, healthcare, and SaaS
While 2019 saw Nigeria dominate the startup investment space with over $640 million raised, 2020 saw a huge decline. On the flip side, Kenya saw a huge investment increase from $152 million followed by South Africa from $107 million and Ghana at $58 million from 2019.
The above investment numbers paint a good picture of the African startup ecosystem and its growth projections despite a tough 2020.
You can read / down the full report here.
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