Fintech was Africa’s MVP in terms of startup funding in 2024!🥇
According to Partech's new report, fintech led the way in equity funding and deal count, attracting $1.4B, which accounted for 60% of the continent’s total funding and recording 131 deals, representing 29% of the transaction count.
🤑 Top Five Sectors in Africa in 2024 by Share of Total Equity Funding
1️⃣ Fintech — 60% ($1.4B)
2️⃣ Cleantech — 9% ($192M)
3️⃣ E/M/S-Commerce — 7% ($157M)
4️⃣ Enterprise — 7% ($154M)
5️⃣ Agritech — 4% ($89M)
🤝 Top Five Sectors in Africa in 2024 by Share of Total Deal Count
1️⃣ Fintech — 29% (131)
2️⃣ E/M/S-Commerce — 14% (62)
3️⃣ Enterprise — 12% ((55)
4️⃣ Cleantech — 8% (37)
5️⃣ Healthtech — 7% (31)
💹 Total fintech funding and deal count grew 59% and 16% YoY, respectively, in 2024.
💸 Fintech was the primary funding driver for all four top countries except Kenya, accounting only for 13% of the country’s total equity funding. Cleantech (46%) and Agritech (15%) led the charge.
💹 Fintech’s share of the total investment in each country/region:
🌍 Nigeria — 70%
🌍 South Africa — 70%
🌍 Egypt — 60%
🌍 Rest of Africa — >70%
🚀 Fintech wasn’t just dominant, it was also resilient. While its total funding grew YoY, as earlier mentioned (+59%), other sectors recorded a 38% decrease overall. In terms of deal count, other sectors experienced a 10% decline while fintech grew by 16%.
💰 In 2024, the average ticket size in fintech across all stages was the primary driver of the overall average ticket sizes. This would’ve still been the case without the megadeals.
Fintech’s dominance in Africa’s tech investment scene isn’t new. Whether measured by deal count, total funding, average ticket size, megadeals, unicorns or exits, fintechs has always been significantly ahead, and 2024 was no different.
We’ll take a look at some of the trends across the other top sectors next time!
For more insights, click the link in the comments to download Partech’s 2024 Africa Tech Venture Capital Report. 👇
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