It was a fitting homecoming for Africa’s startup sector. Ten years after ABAN was born to unite early-stage investors across the continent, the movement returned to where Africa’s entrepreneurs thrive the hardest, Lagos.

The 2025 ABAN Annual Congress, themed “Accelerating Local Capital Participation,” gathered hundreds of founders, investors, policymakers, and ecosystem enablers to tackle the question of “Who really funds Africa’s future?”

Representing Governor Babajide Sanwo-Olu, Mrs Folashade Ambrose-Medebem, Lagos State commissioner for Commerce, Cooperatives, Trade and Investment, described the city, with 23 million people and more than 2,000 active startups, as a living, breathing symbol of African ambition. 

“Lagos stands as the commercial heartbeat of Africa and a city of boundless enterprise, boundless resilience and boundless innovation,” she said, welcoming the continent’s top angel investors.

She also noted the city contributes over 30% to Nigeria’s GDP and houses 65% of its industrial activity, but its actual power lies in what it’s building, a model megacity driven by innovation, not just infrastructure.

Through reforms, Lagos has simplified business registration, created startup funds, and is now developing the Lagos State Medical Innovation Industrial Zone, Ikorodu Industrial Hub, and a new International Convention Centre.

“Beyond the numbers, Lagos State is a story of determination, creativity, and possibility,” Ambrose-Medebem said. “It is where ideas become industries and where vision meets execution.”

Osinbajo: Believe Before You Build

Prof. Yemi Osinbajo, speaking on the heart of Africa’s funding dilemma, said, “Without local belief and resilience, there is no local validation. Unless there is local belief and resilience, why should anyone invest in us?”

He challenged investors to become “the capital that understands the context, stays through the storm, mentors, guides, and builds companies designed to last in Africa or after that.”

“When we invest locally, we are not just funding startups, we are funding our own future.”

A Reality Check for Africa’s Angels

That future, however, still faces major gaps, as Khaled Ismail, chairman of HIMAngels, pointed out in his session on The State of Angel Investing in Africa.

He revealed that Africa now counts around 6,000 angel investors, up from barely a hundred a decade ago. Yet, only 10% of them are actively investing.

“Imagine all of those 6,000 were investing. Imagine how big the ecosystem would have grown,” he said.

The continent’s average angel investment ticket sits at $3,500 per year, compared to $15,000 in India, a country with the same population but five times more investors. That gap, Ismail argued, has ripple effects across the entire ecosystem.

“That’s 20 times more angel capital being poured into India’s ecosystem compared to Africa’s,” he said. “And it’s no surprise that they have more unicorns and exits, their base is simply bigger.”

But beyond the numbers, Ismail reminded us what true angel investing really means.

“It’s not just about making money. It’s about giving back, mentoring, sharing experience. If you don’t get involved, it will never happen,” he said. “Just putting your money and sleeping on it will not get you there.”

He called for better alignment between angels, founders, and venture capitalists, and for new clauses that let angels exit early when venture funding arrives, freeing up funds for fresh investments.

“If angels don’t exit, they won’t invest again,” he warned. “And if they don’t invest again, the pipeline breaks.”

Ten Years On: A Movement Grows

Commendably, ABAN also celebrated those who are building that pipeline. Adedotun Sulaiman was named Angel Investor of the Year, while Core Angels MEA received Angel Network of the Year.

For an ecosystem once dependent on foreign backing, the progress is concrete, but the work is far from over. Africa’s next decade of growth will depend on building confidence, capital, and collaboration at home.

In Osinbajo’s words, “Let’s first be believers.”

Focused on strengthening local capital participation across the continent, the partnership is designed to bridge long-standing gaps between early-stage startups and local investors, focusing on three critical areas, including pipeline sharing, market knowledge exchange, and ecosystem development. 

Together, both organisations aim to build a stronger foundation for sustainable startup growth driven by African investors and African capital.

Speaking at the signing ceremony, Yemi Keri, president of ABAN, said, “The future of Africa’s innovation economy depends on how effectively we can mobilise local capital and empower local investors. Our collaboration with Madica helps bridge the gap between angel investors and institutional capital, ensuring that more funding comes from within the continent, and that startups everywhere in Africa can access the right type of support to scale.”

Under the new MoU, ABAN and Madica Ventures will share access to curated, investment-ready startups, focusing on underserved regions that usually fall outside major investment hubs. 

Both parties will also facilitate direct learning between African angel investors and Madica’s global investment experts, a move expected to boost investor trust and improve deal quality across the board.

Emmanuel Adegboye, head of Madica, reinforced the partnership’s mission to go beyond funding:

“Early-stage founders in Africa need more than just capital. They need a community of investors who understand their context and champion their growth. We have seen firsthand that remarkable founders exist in every corner of the continent, yet too many remain disconnected from the capital and networks they need to thrive. 

“Through this collaboration with ABAN, we are closing that gap, aligning angels and institutional investors to work in sync, expand early funding pathways, and ensure that high-potential startups, wherever they are in Africa, have a real shot at scale.”

The agreement, which will remain active for two years, sets a foundation for more collaborative initiatives aimed at aligning local wealth with Africa’s rapidly growing startup scene.

Fadilah Tchoumba, CEO of ABAN, noted, “This collaboration reinforces our belief that Africans must finance Africa’s growth. By working with Madica, we are amplifying local capital participation and creating new pathways for investors to engage more meaningfully with the continent’s most promising ventures.”

Beyond the signatures and formalities, the ABAN–Madica partnership goes beyond capital mobilisation, it focuses on ownership, influence, and redefining the flow of investment power back to the continent.

In merging ABAN’s extensive angel network with Madica’s venture-building expertise, both organisations are bolstering how Africa’s startup ecosystem can evolve, prioritising sustainability, inclusivity, and local empowerment over dependency on foreign capital.

Africa’s next wave of innovation will be financed by Africans themselves.

Over the past decade, angel networks across Africa have invested $35 million into more than 1,200 early-stage startups, a solid foundation, but tiny compared to the continent’s potential. 

In the East African economic block alone, 18 active networks, from Nairobi Business Angel Network to Ajax Capital Group, form one of the region’s most active clusters. However, real capital flows usually lag behind policy results.

At ABAN Congress 2025 in Lagos, themed “Accelerating Local Capital Participation,” this gap will be addressed. African startups raised $289 million in 2025 alone, with 90% in equity deals, revealing a shift toward more structured, scalable investment. 

Angel syndicates now account for 46% of investments, enabling pooled capital, shared risk, and larger deals. Catalytic Africa, ABAN’s co-investment platform, has mobilised 10× more capital since 2022, backing startups across 15+ countries. Despite these advances, we wonder why policy is not translating into capital in the hands of founders?

To understand why these policies haven’t fully translated into funding, Techeconomy spoke with Martin Warioba, managing partner at Warioba Ventures and a leading voice in East Africa’s investment ecosystem, to dissect the gap between policy intentions and actual capital deployment, and explore ways to turn investor-friendly frameworks into real-world funding.

Turning Policy into Capital

On the disconnect between policy and execution, Warioba says: “Policies like the Startup Act or tax incentives mainly exist but are undermined by unclear implementation guidelines, slow regulatory approvals, and minimal awareness among local stakeholders.”

“The real gap is execution muscle and ecosystem feedback loops. Without collaboration between policymakers and actual capital deployers, policies risk becoming symbolic rather than catalytic.”

A policy in East Africa that has already had a measurable impact on early-stage investment is Rwanda’s Capital Markets Authority (CMA) regulatory framework for Collective Investment Schemes (CIS).

“This has provided a clear path for registering venture capital funds and has attracted cross-border investment. Warioba Ventures has leveraged this policy to structure its Pan-African VC fund with domiciliation in Kigali.

“Catalytic Africa’s matching fund could be another example – though not a policy per se – has operationalised policy intentions by directly channelling local and foreign capital into early-stage startups.”

While Rwanda shows what’s possible with the right framework, scaling impact across East Africa also requires active participation from angel networks.

The Role of Angel Networks

Angel investor networks, Warioba explains, are essential to bridging the gap between policy and capital: “Angel networks are the frontline of early-stage capital. They see firsthand what policies work, where frictions lie, and what founders need to thrive. Angel networks can translate these insights into actionable policy proposals – on tax breaks, capital gains treatment, investor protection, and cross-border capital mobility.

“More importantly, angel networks can pilot co-investment models, like Catalytic Africa, that demonstrate what’s possible when policy meets private initiative.”

Warioba stresses that inclusive policy must extend beyond urban hubs: “Governments must decentralise innovation infrastructure – innovation hubs, access capital, and capacity building programs – beyond major cities. Policies should include incentives for investors who support startups in rural or underserved regions.

“Digital infrastructure and interoperable payment systems remain foundational to building inclusive ecosystems across East Africa’s secondary cities and border regions.”

On government agencies to partner with in order to unlock capital flows immediately, he says: “I will work with the Ministry of Finance to establish the Startup Investment Guarantee Facility backed by public and philanthropic capital.

“This facility would de-risk private and foreign capital entering early-stage startups through first-loss guarantees and co-investment structures into early-stage funds managed by licensed local GPs. This would signal long-term national commitment and crowd in institutional and private participation across the region.”

With ABAN Congress 2025 approaching, Warioba stresses that policies alone do not move capital for any startup; but combined with strategic co-investment models, engaged angel networks, and targeted government initiatives, East Africa has the potential to become a thriving region where startups can scale successfully.

The continent’s overall early-stage investment has grown from less than $300 million a decade ago to over $6 billion in 2022, but Lusophone markets account for only a fraction of this. 

The gap is structural, with limited recognition of angel investors, no tax incentives, and weak deal flow being stubborn barriers.

It’s a paradox worth pausing on, because lately, money can travel faster than ideas. How is it that entire linguistic and cultural blocks of Africa still struggle to tap into the continent’s rising tide of capital? 

And more importantly, what will it take to unlock these markets so that entrepreneurs in places like Cape Verde and Mozambique can access the same opportunities as their peers in Lagos, Nairobi, or Johannesburg?

To explore these questions, Techeconomy spoke with Rui Levy, president of the Business Angels Association of Cape Verde (ABAC), and one of the key voices representing Lusophone Africa at the upcoming ABAN Congress 2025 in Lagos. 

Rui Levy will be addressing how investor education and mentorship can strengthen this underdeveloped ecosystem and why building frameworks tailored to local realities is the first step towards sustainable growth.

TE: One of ABAN Congress 2025’s goals is to build the next generation of angel investors. How can Lusophone Africa grow both the pool of investors and their investment capacity at the same time?

Rui Levy: The starting point is recognition and awareness. In Lusophone Africa, angel investing is still underdeveloped, with no formal recognition of angel investors, no tax incentives, and very limited deal flow. To grow the pool, we need campaigns to demystify angel investing and showcase its impact. To grow capacity, we need structured vehicles, such as syndicates or investor clubs, and partnerships with the diaspora, which represents an untapped resource of capital and expertise. This twin approach, education plus collective investment, can accelerate growth.

TE: What does an effective investor education programme look like for someone just starting in angel investing?

Rui Levy: It must be foundational, practical, and relevant. Foundational, because most new investors in Lusophone Africa are unfamiliar with concepts like convertible notes, syndicates, or exits. Practical, because real case studies and opportunities to co-invest in small tickets are critical for learning by doing. Relevant, because it needs to be contextualised in Portuguese, and adapted to local realities where formal exits are rare and the entrepreneurial base is still fragile.

TE: How can mentorship between experienced and new investors strengthen Lusophone Africa’s early-stage investment ecosystem?

Rui Levy: Mentorship provides confidence and credibility. Experienced angels, whether local or from the diaspora, can accompany new investors in their first deals, explain risks and returns, and introduce them to best practices. This peer learning reduces mistakes, builds trust, and over time, creates a stronger and more professional community of investors.

TE: How can regional collaboration with other parts of Africa help accelerate the development of Lusophone Africa’s angel investing pipeline?

Rui Levy: Collaboration is essential to overcome the language and knowledge barriers. By connecting Lusophone investors with more mature ecosystems in East, West, or Southern Africa, we can learn from proven models, share best practices, and co-invest in cross-border deals. Translation, knowledge transfer, and ABAN’s continental platform can help Lusophone Africa integrate faster into Africa’s broader innovation and investment networks.

TE: What would success for Lusophone Africa’s angel investment ecosystem look like by the time ABAN marks its 15th anniversary?

Rui Levy: Success would mean that by ABAN’s 15th anniversary, Lusophone Africa has:

1. A formal legal status for angel investors
2. Tax and policy incentives in place
3. Active angel networks with regular deal flow, and;
4. Stronger bridges with the diaspora to mobilise smart capital.

Ultimately, success is when entrepreneurs in Lusophone Africa can count on a vibrant community of local and diaspora investors to back their growth, moving from informality and scarcity to a recognised and sustainable ecosystem.

This collaboration marks a significant milestone in the drive to deepen local capital participation in Africa’s innovation ecosystem, particularly across Nigeria’s South-East region.

The event will also be a flagship feature of #StartupSouthX, the 10th convening of the #StartupSouth ecosystem billed for October 2-3, and is expected to bring together a powerful mix of angel investors, founders, policymakers, and ecosystem leaders.

The partnership will catalyse efforts to:

• Mobilise local and diaspora capital to support high-growth African startups

• Launch the Imo Business Angel Network (IBAN)

• Showcase investment-ready ventures from South-East Nigeria and beyond

• Foster cross-border collaboration among investors and ecosystem enablers

• Position Imo State as a leading model for sub-national, innovation-led development

• Contribute critical insights and momentum to the main ABAN Congress on 17 – 18 October 2025

Uche Aniche, #StartupSouth Convener, expressed his excitement in partnering with ABAN in this historic effort to build the investment infrastructure in South-East Nigeria. He emphasised that Owerri is a fitting stage for this gathering, and looks forward to welcoming Africa’s investor community.

“This partnership with ABAN and the hosting of the African Business Angel Investment Roundtable in Imo State represents more than a milestone; it is a clear signal of the growing maturity and strategic depth of Africa’s startup and investment ecosystem. By convening this high-level conversation in the South-East, we are elevating the region’s role in shaping the future of innovation and entrepreneurship on the continent. More importantly, it creates a timely platform to catalyze local capital participation and deepen the investment pipeline for founders across the South-East and South-South. It’s a bold and fitting way to commence #StartupSouthX Sessions.” 

Speaking on the strategic importance of regional engagement and inclusive capital mobilisation, Yemi Keri, President of ABAN, emphasized the importance of this partnership:

“This partnership with #StartupSouth is a clear demonstration of ABAN’s commitment to deepening local capital participation across all regions of Africa. By co-hosting this roundtable in Owerri, we’re not only expanding the reach of angel investing but also celebrating the innovation potential of Nigeria’s South-East. It is essential that every founder, no matter where they are based, has access to smart capital and supportive networks.”

Also speaking on the significance of the partnership and its alignment with the broader goals of ABAN Congress 2025, Fadilah Tchoumba, CEO of ABAN, stated:

“ABAN is committed to amplifying early-stage capital mobilisation across the continent. Our partnership with #StartupSouth is a strategic step towards democratizing access and ensuring that angel investment reaches founders and regions often overlooked. The Owerri roundtable sets the tone for ABAN Congress 2025, where we will reflect on a decade of impact and activate bold, Africa-led capital solutions for the next. We are excited to build with partners who share our vision.”

The event will feature curated startup showcases, investor-founder dialogues, ecosystem conversations, and the unveiling of the IBAN Framework.

Outputs from the roundtable will feed into the main ABAN Congress 2025, taking place in Lagos, this October 2025.

This collaboration reflects a shared commitment to building stronger sub-national investment ecosystems and ensuring that insights from regional innovation hubs help shape continent-wide investment strategies. 

For partnership opportunities and general inquiries, contact secretariat@abanangels.org