Last year, Kenya led Africa in total startup funding on the continent, raising just under $800 million, or 28% of the total, according to research firm - Africa: The Big Deal. Furthermore, Kenya's share of the East African region increased from 86% in 2022 to 91% in 2023.
Egypt came second in the ranking, attracting $640 million in startup funding (22.4% of the continent's total), while Cairo's share of North Africa was close to 95%.
Rounding out the top three is South Africa, which has managed to accumulate $600 million in funding in 2023, or 21% of the continent's total. Furthermore, South Africa was the only country in the top three whose total funding did not decrease between 2022 and 2023.
Combining the top three with Nigeria, which has attracted $410 million, the "Big Four" have raised 87% of all startup funding in Africa last year, the largest share since 2019, the report concluded.
Nigeria saw the most notable change, according to the report, from $1.2 billion in 2022 to $410 million in 2023, the lowest of the "Big Four."
Outside of the top four, the research noted, "there is a wealth of activity," although these nations only account for 13% of funding in 2023.
"Encouragingly, 29% of the start-ups who raised $100,000 or more in 2023 were located outside the Big Four," the report concluded.