African Startups Raise $1 Billion in Seven Months — Report

Funding raised by startups in Africa has surpassed $1 billion as of July, according to Africa: The Big Deal. The firm reported that the African startup ecosystem closed H1 2024 with nearly $800 million, excluding exits, indicating it will soon exceed the $1 billion mark.

This increase was driven by significant deals announced since mid-July: d.light’s $176 million securitization facility and MNT-Halan’s $157.5 million expansion raise. Including NALA’s $40 million Series A and other smaller deals, the fundraising total for July 2024 is approaching $400 million.

July has become the most successful month for fundraising on the continent in over a year, surpassing the total raised in Q2 2024.

The report highlighted that Kenya led in funding, partly due to M-Kopa’s $51 million round, totaling $244 million for the country. Nigeria followed with $172 million, Egypt with $101 million, and South Africa with $85 million. The ‘Big Four’—Nigeria, Egypt, South Africa, and Kenya—attracted 79% of the funding, a decrease from 92% in H1 2023.

African startups raised $780 million in H1 2024, a 57% decline from H1 2023. Two-thirds of this funding was equity and one-third was debt, a higher share of debt compared to previous years.

Transport and logistics attracted 28% of the funding, with notable deals including Moove and Spiro. Fintech, while second in total amount raised, led in the number of startups securing $1 million or more.