Behind these impressive figures are the powerhouse placing big bets on the continent’s startup potential, which include venture capital firms, private equity funds, and private investment funds. 

These investors are not just funding startups but shaping the African startup ecosystem, providing support to companies addressing real-world challenges. Below, are the major investors who led the funding rounds for most of the largest deals in May, with each funding led not less than $10 million:

1. Prosus Ventures

Prosus Ventures is the investing arm of Prosus. It invests in emerging technologies and innovative companies across Europe, Southeast Asia, and the Americas. Focusing on key technology sectors like e-commerce, mobility and logistics, fintech and blockchain, agritech and sustainability.

Prosus Ventures led the Thndr, a Cairo-based investment platform $15.7 million funding round in May, with participation from BECO Capital, JIMCO Capital, Endeavor Catalyst, Y Combinator, and Onsi Sawiris.

It has invested in several startups and innovative companies across the globe; Prosus ventures portfolio includes Bandlab, Bibit, Thndr, Zest Equity, and Zapia, amongst others.

2. Development Partners International (DPI) Venture Capital

DPI Venture Capital is a platform that supports entrepreneurs, from the initial ideas stage to achieving successful sales. DPI venture capital empowers high-growth ventures to solve meaningful challenges and provide access to opportunities across the continent.

DPI has invested in various African startups, from investing $110 million in Moniepoint during its Series C round in 2024 to leading Sylndr’s $15.7 million Series A equity round to accelerate Sylndr’s expansion across Egypt, boost its pricing intelligence, and strengthen partnership with dealers and service providers.

DPI portfolio includes Moniepoint; Solevo, a chemical distribution company; Cofina, a financial services provider; and other companies cutting across retail, telecommunication, and fintech.

3. Al Mada Ventures:

Al Mada is one of Africa’s private investment funds and operates in different sectors, such as banking, telecommunications, renewable energy, and the food sector.

Identifying the capital deficit affecting African startups, Al Mada launched a $110 million capital venture, Al Mada Ventures, to address the gap in growth-stage investing.

Al Mada  Ventures recently led Money Fellow, $13 million pre-Series C round in conjunction with DPI Nclude Fund, a fintech-focused investment vehicle that supports early-stage and growth-stage startups in Egypt and Africa as a whole to drive financial inclusion. 

4. Partech:

Partech Africa is a private equity fund that focuses on startups using tech to address emerging opportunities in various growth stages. It invests in fintech, entertainment companies, mobility as well as companies specialized in supply chain services.

Partech co-led AURA, a South African health tech $15  million Series B round with the Cathay AfricInvest Innovation Fund (CAIF). It also led Nawy’s $52 million Series A equity round with participation from March Capital, VKAV, VentureSouq, and DPI Nclude Fund, among others.

Partech Africa focuses on startups with major activities based in Africa to raise between €0.5 million and €5 million as initial tickets.

By the end of March, only $50 million had been raised, one of the worst months for African startup funding since late 2020.

As revealed in the latest report by Africa: The Big Deal, the impact was a first-quarter total of $460 million—just 5% lower than Q1 2024’s $486 million, but that’s hardly reassuring. 

The previous year wasn’t great either, and this quarter now ranks as the second-worst since 2020. The number of startups raising at least $1 million remained stable at 52, keeping pace with the 2023–2024 average. But the bigger issue is no big deals, no momentum, and no sign of improvement in March.

As usual, the bulk of the money flowed into the continent’s established tech hubs. Kenya, Nigeria, and South Africa each pulled in roughly $100 million (24%, 24%, and 22% of the total, respectively). 

Egypt followed with $61 million (14%). Togo made a rare appearance in the top five, solely due to Gozem’s $30 million Series B round.

Fintech, the usual magnet for funding, held its grip on the market, attracting 46% of the total investment. Notable deals included LemFi’s $53 million and Naked Insurance’s $38 million. Energy startups secured 18% of the funding, while logistics and transportation claimed 10%.

Female Founders Get Just 1% of the Money

The gender funding gap refuses to close. Startups with female CEOs raised only $10 million in Q1—just over 2% of the total. Strip out grants, and that figure collapses to an abysmal 0.7%. The single largest funding round for a female-led startup was a $6.2 million grant awarded to South African biotech firm African Biologics.

Meanwhile, the industry is still overwhelmingly male-dominated. Solo male founders took 11% of total funding, and all-male founding teams pocketed 67%. Diverse teams—those with at least one female co-founder—secured 20%. But solo female founders or all-female teams? Just 1% of the pie.

The most striking feature of Q1 2025 wasn’t just the drop in funding—it was the absence of major deals. In March, not a single startup announced a funding round exceeding $10 million. That’s unusual, and it raises serious questions about investor confidence.

So, what happens next? The market isn’t in free fall, but it’s not thriving either. Investors seem hesitant, large-scale bets are disappearing, and if this trend continues, African startups could be in for a rough year.

It’s not all doom and gloom, though. The long-term trend still shows resilience, and startup activity hasn’t dropped dramatically. But without major deals to drive momentum, the ecosystem is running on fumes.

As revealed by Africa: The Big Deal, that’s nearly 3.5 times more than the $85 million raised in January last year. This funding majorly came from the renewable energy, fintech, insurtech, and education sectors.

Investors are pouring money into Africa’s innovation sector, not allowing the challenges sway them. More than 90% of January’s funding—$262 million—came from equity deals, making it the second-largest January for startup equity financing since 2019, only behind the funding frenzy of 2022.

Big Money, Big Players

While there were 40 funding deals above $100,000 last month, the real game-changers were the 26 deals that were over $1 million—more than last year’s 21 high-value transactions. 

However, nearly 60% of the total funding was swallowed up by just four major deals, all originating from Africa’s biggest startup hubs: Nigeria, Kenya, Egypt, and South Africa.

The biggest winners of the month were:

• PowerGen (Energy): Raised over $50 million to expand its distributed renewable energy solutions across Africa.
• LemFi (Fintech): Secured $53 million to push into Asia and Europe, proving African fintech is now a global export.
• Naked (Insurtech): Bagged $38 million in a Series B round to automate and diversify its insurance offerings.
• Enko Education: Pulled in $24 million to continue expanding its African school network.

Where Does This Leave the Rest of Us?

The tech sector is clearly off to a strong start in 2025, but this cash inflow is a big contrast to the financial issues of everyday Africans. While startups thrive, inflation keeps rising, wages remain stagnant, and the naira keeps playing hide and seek with stability.

Last year, African startups raised a total of $2.2 billion, a drop from the $2.9 billion in 2023, but the numbers show that there could be a rebound. 

If this pace continues, investors will keep betting big on Africa’s tech—even if the rest of the continent is left wondering when that wealth will finally trickle down.

He made this statement at the 10th Annual National Migration Dialogue in Abuja, themed “Beyond Borders: Celebrating Migrants’ Legacy, Protecting Their Rights.”

Shettima noted that Nigeria leads West Africa in diaspora remittances, with $21.9 billion recorded in 2022. This figure represents 64% of all remittances within the region, highlighting the economic value of Nigerian migrants. 

“Migration is not merely a movement across borders; it is a powerful force driving development at both global and national levels,” Shettima said.

Beyond financial contributions, Nigerian migrants do great in diverse fields such as technology, medicine, sports, and the creative arts. “Our migrants are global ambassadors, showcasing the transformative potential of Nigerians worldwide,” Shettima added.

Irregular Migration Remains a Challenge

The Vice President acknowledged that Nigeria serves as both a source and destination for migrants, with over 1.3 million international migrants residing in the country. 

However, irregular migration continues to bring challenges. In 2024 alone, Nigeria repatriated and reintegrated approximately 10,000 citizens detained for migration-related offences in Africa and Europe.

“These figures reveal the vulnerabilities associated with migration and emphasise the need for coordinated efforts to mitigate these challenges while harnessing migration’s potential for economic growth,” Shettima stated.

He assured that the Federal Government remains committed to addressing these issues through policies aimed at protecting the rights of migrants and maximising their economic contributions.

The Bigger Picture: Shifts in African Startup Funding

Nigeria’s place in migration-driven economic contributions contrasts with its recent decline in startup funding rankings within Africa. Once the leading destination for startup investments, Nigeria fell to fourth place in 2023, with Kenya taking the top spot by attracting $800 million.

Research by Africa: The Big Deal shows that African startups raised $2.9 billion in 2023, a 39% year-on-year decline. The “Big Four”—Kenya, Nigeria, South Africa, and Egypt—accounted for 87% of the total funding, with Kenya securing 28% of the continent’s share.

South Africa was the only country among the Big Four to experience growth in startup funding, with a 21% share of the total and a year-on-year increase of 8%. Conversely, Nigeria’s funding took a significant hit, reflecting broader economic challenges.

While Shettima celebrates the resilience and achievements of Nigerian migrants, the economy stresses the need for more solid strategies to maintain Nigeria’s competitiveness in key sectors.

Moniepoint’s $110 million funding alone represented 43% of the month’s investment activity, reiterating the strength of Nigeria’s tech sector and the increasing interest in African fintech ventures. 

This funding achievement, revealed by Africa: The Big Deal’s latest report, places October as the second-highest month for startup funding on the continent this year, surpassed only by July.

Throughout October, 42 startups across Africa secured funding in amounts exceeding $100,000 through equity, debt, and grant deals, setting a record for the month since 2019. 

This achievement was nearly 50% above the average monthly funding of the past year. Contributing transactions included Kenya’s BasiGo, a leading electric vehicle company, which raised $42 million in its Series A round, and the cryptocurrency platform Yellow Card, which secured $33 million through a Series C deal.

Nigeria led the funding sector in October, capturing 60% of the total amount raised. Fintech led the sector, accounting for 60% of the month’s investments. 

However, gender diversity remained a challenge, as 98% of the funds went to male-led startups, and 97% of funded ventures had no female founders. Meanwhile, a rare exit was reported with OmniRetail’s acquisition of Nigeria-based Traction Apps.

Year-to-Date Funding Down 32% from 2023

The year-to-date funding for African startups reached $1.7 billion, a 32% decline compared to the same period in 2023. By early June last year, startups had already reached this achievement, noting a slowdown in funding activities this year. 

Again, the number of startups raising $100,000 or more fell by 10% year-over-year, and those securing $1 million or more in funding dropped by 20%.

This decline shows the trends in the African tech sector. Nigeria, historically a major destination for startup investment, saw reduced funding activity. 

Although Moniepoint’s Series C round was a significant boost for Nigerian startups, larger funding rounds have been relatively scarce. 

Kenya, which overtook Nigeria as the top destination for startup funding in 2023, continued to attract investment. Kenyan startups raised approximately $800 million last year, double Nigeria’s $410 million. 

In the first half of 2024, Kenyan ventures led the funding totals, securing $244 million, or 32% of the continent’s total, compared to Nigeria’s $172 million.

Economic challenges and changing investor interest are issues to deal with, but the October funding results reveal ongoing resilience in Africa’s tech sector. 

With the year entering its final months, November is anticipated to bring new rounds and potential changes in the regional funding sector.

The African startup funding winter has continued to bite harder as African tech startups raised $780 million in the first half of 2024 This was disclosed in the first half funding report by African funding analytics company, Africa the Big Deal.

The total H1 2024 funding represents a 31% decline from the total funding attracted in the second half of 2023. But it looks even worse if compared with the total funding numbers from the first half of 2023, representing an even steeper 57% decline.

Indeed, African tech startup funding between January and June 2024 is the lowest recorded since the second half of 2020, indicating how much funding into the continent continues to decline.

Two-thirds of the total $780 million funding ($513 million- representing 66%) was raised using equity. This is an improvement compared to only 60% in 2023. 33% came in the form of debts, a decline compared to 38% in 2023. 1% of the total funding came in the form of grants.

“Two-thirds of this funding was in the form of equity, and a third was debt. As for 2023, this is a much higher share of debt than what we’d been seeing in the past (17% on average since 2019),” the report says.

Coming closely behind Kenya, was Nigeria which became second with $172 million – representing 23% of the total.

Egypt accounted for $101 million of the total funding representing 13% while South Africa rounds off the Big 4 with $85 million attracted in funding representing 11% of the total.

Together, the Big 4 tech startup ecosystems raised $602 million of the total $780 million raised on the continent between January and June 2024. This represents 79%of total funding.

“4 out of 5 dollars invested in start-ups in Africa went to ventures based in the Big Four. This is high, but not the highest we’ve seen (92% back in H1 2023). A third of all the funding went to Kenya alone,” the report noted.

Other African countries that attracted at least 10 million in funding include the Benin Republic with $50 million, Ghana with $29 million, Uganda with $19 million, Morocco with $14 million, and Senegal with $11 million.

The Transport and Logistics sector has continued to edge financial technology, attracting $218 million. This represents an outstanding 28% of the total H1 2024 funding. This was bolstered by two of the three largest deals announced in H1 (Moove and Spiro) belonging in that space.

The Fintech sector attracted $186 million representing 24% of the total while Energy and Water raised $132 million representing 17% of the total.

Though fintech came only second in the amount raised, it stayed in the lead in terms of the number of start-ups raising $1 million or more during the period (30).

Despite best efforts to bring some degree of gender parity into the African tech startup funding space, it appears male-led startups have continued to dominate the space. In the first half of 2024, 85 % of the funding went to startups without a single female founder on the team.

Similarly, 92 % of the funding went to startups with a male Chief Executive Officer (CEO). In total, 98% of the funding went to startups with at least one male founder while only 15% went to startups with at least one female founder. Only 8% of funding went to startups with a female CEO.

Compared to the previous month’s $77 million, the total startup funding in February reached nearly $217 million, marking almost a threefold increase according to Africa: The Big Deal’s report

This positive development, however, comes with the caveat that funding still falls short of figures observed in the same period during the past four years.

Despite the lower overall funding compared to previous years, several positive indicators suggest a potential rebound for the rest of 2024. 

Notably, the number of startups securing at least $1 million in funding remained healthy, with 38 companies achieving this success in the first two months. This figure indicates a continued flow of investment, albeit at a slightly more cautious pace.

Taking a closer look at the geographical distribution of the funding reveals that Nigeria and Kenya emerged as the frontrunners, collectively attracting 86% of the total investment. This dominance shows the continued prominence of these established startup hubs within the African sector.

An analysis of the sectors attracting the most funding sheds light on the growing investment trends. Interestingly, the Logistics & Transport sector topped the chart, with a huge portion of this investment attributed to the Nigerian transportation technology company, Moove. 

Moove made headlines by securing $10 million in debt financing reserved for its expansion into India. Nonetheless, recent whispers of an impending Series B round have gone around the industry, with insider confirmations corroborating the rumors. 

This trend shows the growing importance of efficient logistics infrastructure in facilitating Africa’s economic development.

Additionally, startup funding in February witnessed three notable exits, highlighting the dynamism and maturation of Africa’s startup industry.

Carbon’s acquisition of Vella Finance, Auto24’s purchase of Kupatana, and FairMoney’s potential acquisition of Umba showed a sector ripe with consolidation and strategic manoeuvring.

A retrospective glance at the year-to-date figures for 2024 shows a promising growth direction, with startups raking in nearly $300 million in funding. Of the 80 startups that secured funding, 38 crossed the million-dollar threshold, accentuating the resilience and growth potential of African ventures. 

Following closely behind Logistics & Transport were the Healthcare and Fintech sectors, both of which secured notable investments in February. This continued interest in these sectors points to the potential for significant growth and societal impact in the African context.

While the overall funding for the first two months of 2024 remains lower compared to previous years, the considerable growth observed in February brings a reason for cautious optimism. 

It is important to acknowledge that predicting the total funding for the entire year remains challenging. However, based on historical trends and the positive momentum witnessed in February, estimates suggest a potential range of $1.4 billion to $3.2 billion for 2024. 

Ultimately, the actual figure will depend on various factors, including the potential emergence of mega-deals in the coming months.