The African startup ecosystem has experienced significant growth, attracting global
attention
from investors. In the first nine months of 2023, African tech startups raised $1.4 billion,
with $492 million raised in the third quarter alone. However, this represents a 48% decrease
compared to the same period in 2022, indicating a shift in the investment climate.
Despite this challenging global funding environment, Africa's venture ecosystem is making a
comeback, demonstrating resilience, with a 28% increase in capital raised by entrepreneurs
in Q3
2023 compared to the previous year.
This growth, however, is concentrated in larger deals, with super-sized deals of over $100
million bolstering the ecosystem. In contrast, seed and early-stage companies have faced a
downturn, with deal activity declining by 46% and 40% respectively. The most active sectors
have
been financials, information technology, and consumer discretionary, accounting for nearly
two-thirds of all venture capital deals.
Here we come, to catalyse investment in Africa's startup ecosystem,
focusing on
fostering a more diverse and sustainable investment climate. It brings
together
investors to explore strategies for supporting early-stage ventures and to
diversify investments beyond the dominant sectors. We facilitate
connections,
share insights, and create a collaborative platform for investors to
navigate the
unique challenges and leverage the opportunities present in Africa’s dynamic startup
landscape.