Africa’s growing startup landscape witnessed a significant setback in 2024 as the number of investors involved in financing deals over $100,000 dropped to about 520 from over 850 recorded in 2021.
Similarly, the number of active investors participating in more than ten deals of $100,000 plummeted from 28 in 2022 to 8 in 2024, a survey by Africa: The Big Deal has revealed.
According to the survey, more than 1,000 investors provided African startups with debt and equity financing worth at least $100,000 in 2022. However, investors’ interest in the African market began to shift in 2023, with only about 610 deals secured.
“Last year, we found 520+ investors involved in at least one $100k+ deal on the continent (excluding grants & exits). This is a large community of investors supporting the ecosystem, but not as large as it used to be compared to 2023 (610+), or to 2022 when 1,000+ investors had participated in at least one deal, twice as much as in 2024,” the report read.
Between 2021 and 2022, the score of active investors rose from 23 to 28. This upward trend reversed in 2023 as the number fell to eight and remained steady in 2024.
On a more positive note, last year, startups in Africa saw the highest number of investors who participated in one $100,000 deal (69%) compared to the last three years.
Topping the list of the eight most active investors was 54 Collective, formally known as Founders Factory Africa, which boasted 26 deals exceeding the $100,000 benchmark.
The report stated that some of the names on last year’s list, including Techstars, Launch Africa, and Catalyst Fund, were among top investors in the three preceding years, highlighting sustained interest in the space.
Digital Africa, Baobab Network, Renew Capital, and EdVentures, on the other hand, increased their investment activities which enabled them to secure spots on the top eight list.

Written by Omoruyi Edoigiawerie, a seasoned startup attorney with over a decade of experience. Learn more.

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The report further explained that "some of the investors on this list also ventured below the $100k bar, and have, in fact, done more deals overall than the $100k+ deals," adding that Y Combinator, 500 Global and Axian Group almost made the list with close to 10 investments.
The researchers, however, noted that while 2024 wasn't the best year for African startups based on available data, it would be a mistake to conclude that investors have abandoned the continent. Expressing optimism about the market’s potential, they pointed out that Africa still has a strong network of investors and is being eyed by others who have committed to providing new capital to the region. Lastly, the report linked the decline in investor participation to their preparations for raising capital for their next round of funding.