Report: Kenyan, Nigerian and Egyptian Startups Got KSh9 Billion in August

Published By The Statesman For The Statesman Digital
4 hours ago

Startups in Kenya, Nigeria and Egypt raised Sh9 billion in August, accounting for the bulk of the Sh12 billion mobilized by African startups that month, new data shows.

Figures from Africa: The Big Deal, a newsletter tracking startup funding, indicate that firms in other African nations shared the remaining Sh3 billion.

Egypt, Kenya, and Nigeria solidified their positions as Africa’s startup powerhouses, capturing 75 percent of the $93 million raised by 33 startups across the continent in August through deals exceeding $100,000, Africa: The Big Deal latest report revealed.

While the month marked the second-quietest fundraising period of 2025, trailing only March, the total surpassed August 2024’s figures, signaling sustained momentum in Africa’s entrepreneurial ecosystem.

Equity deals drove three-quarters of August’s funding, with notable rounds including Nigeria’s Koolboks securing $11 million in a Series A, Hewatele raising $10.5 million, Breadfast closing a $10 million Series B2, and Chowdeck nabbing $9 million in a Series A.

Overall, 33 startups raised $93 million (Sh12 billion) in deals worth over $100,000, excluding exits. About three-quarters of the funding came in equity, while the rest was debt, including a $9 million securitised bond issued by Egypt’s valU.

Sectorally, funding was spread across at least five industries, each attracting 10 percent or more of the total. The period also recorded a handful of exits, the most notable being Nedbank’s $93 million acquisition of South Africa’s iKhokha.

Despite the activity, August was quieter compared to July. However, the report notes that amounts raised were still higher than in August 2024, while the number of startups that secured funding matched levels seen in both 2024 and 2023.

In 2024, Kenyan startups raised Sh82.3 billion ($638 million), placing the country ahead of Nigeria (Sh52.9 billion), Egypt (Sh51.6 billion), and South Africa (Sh51 billion) in Africa’s startup funding rankings.