Fintech once again proved by far and away the most popular sector for investors in African tech startups in 2024, yet it saw a second successive year of decline, and indeed declined at a greater rate.
This is according to the 10th edition of the annual African Tech Startups Funding Report released by startup news and research portal Disrupt Africa, which is available free to all as part of an open-sourcing initiative in partnership with Art of Scale.
A total of 200 startups raised a combined total of US$1.1 billion over the course of the year, down by more than 100 per cent on 406 startups and over 50 per cent on US$2.4 billion in 2023. This is the second consecutive year of decline.
Fifty-one fintech startups raised funding in 2024, more than a quarter of the continent’s total, while those ventures raised a combined total of almost US$500 million. Both those numbers were down for a second consecutive year, however, by 60 per cent and 40 per cent respectively.
Serious dents in fintech funding, then, but other sectors performed just as badly, and in some cases worse, meaning the sector’s share of funding is broadly the same as in previous years. Of all the leading sectors, only mobility saw a leap in funding raised, by 14.4 per cent to US$231,800,000, meaning it came in second for the first time.
Indeed, the big rounds raised by fintechs like Moniepoint, MNT-Halan, NALA and Yellow Card, and mobility ventures Moove and BasiGo, account for almost half the continent’s total venture funding in 2024. Without them, the broader funding picture would look a lot worse.
For more information, or to download the report, please visit disruptafrica.com/funding-report, or email Gabriella on gabriella@disruptafrica.com, or Tom on tom@disruptafrica.com.
About Disrupt Africa
Disrupt Africa is the one-stop-shop for all news, information and commentary pertaining to the continent’s tech startup – and investment – ecosystem. With journalists roaming the continent to find, meet, and interview the most innovative and disruptive tech startups, Disrupt Africa is a true showcase of Africa’s most promising businesses and business ideas. Its research arm releases in-depth reports on various aspects of the African tech startup ecosystem. Details here.
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