Nigeria Takes Off On The Startup Funding Pad

Nigeria Takes Off On The Startup Funding Pad

The last funding report is out, from companies that typically compile them in Africa. The summary is this: Nigeria did well across number of deals and total dollar amount, overtaking South Africa in the process. It is evident that investors are plotting to win Africa through Nigeria. I see that as a strategic redesign as decades ago, the window into sub-Saharan Africa was opened to the rays of Johannesburg and Cape Town.  It seems like lagoons of Lagos are looking better!

The report shows Nigeria emerged as the premier investment destination on the continent in 2018; with 58 startups raising a total of US$94,912,000.  South Africa fell behind with 40 businesses raising US$59,971,000; while Kenya ranked third in terms of the number of startups that raised.

The report also contains in-depth data on the investment landscape in Egypt, Ghana, and Uganda; as well as an overview of activity in 14 other countries.

Sector-specific research shows the fintech sector remained the most popular among investors, attracting 39.7 per cent of total funds raised on the continent.  Other spaces, such as e-health, transport and logistics are garnering ever-more attention and funding.

Yet, Disrupt Africa numbers are smaller than what WeeTracker had reported even though the trajectory is in the same direction.

According to numbers compiled in WeeTracker’s Venture Investments Report 2018, US$726 million was invested across 458 deals in African startups. That is a 300% gigantic leap in the total funding amount and over 127% increase in the number of deals as compared to 2017.


Fintech has remained the most funded sector in the continent.


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