African Startup Funding Soars 240% in 2025, Hitting $289M in January
Tech In Africa | Grace Ashiru - Feb 14, 2025
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  • Funding into the African startup ecosystem surged by 240% year-on-year to reach $289 million in January 2025.
  • Equity financing accounted for over 90% of the total funds raised, translating to $262 million.
  • The four largest funding deals in January 2025 came from Nigeria, Kenya, Egypt, and South Africa, accounting for approximately 60% of the total capital raised.
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The significant increase in funding for African startups in January 2025 reflects a promising shift in the investment landscape, suggesting that the ecosystem is beginning to recover from previous downturns. However, it is crucial for these startups to leverage this momentum and continue to innovate and expand their operations to maintain investor interest and secure further funding.
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