Funding dries up as tech start-up businesses falter

African venture capital investment remains centred around four countries (Nigeria, Kenya, Egypt and South Africa) attracting 80 percent of the volume invested.

According to the report, most of the private equity investments in the continent find their way into key sectors such as financial technology (fintech), agritech, logistics and mobility, off grid/energy, and healthtech.

Fintech investment is quite concentrated with Nigeria (38 per cent), Egypt (28 per cent) and Ghana (13 per cent while agritech is even more concentrated with 79 per cent of the equity funding flowing into Kenya.

Nigeria and Kenya are dominated by one particular industry representing almost half of the funding volumes. These are fintech (44 per cent) and agritech (46 per cent) for Nigeria and Kenya, respectively.

Read more: The EastAfrican



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