African Tech Startups Raised $186M In 2015 – Report

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Written by Kevin Mwanza

African tech startups raised  nearly $186 million in funding last year lead by South African, Nigerian and Kenyan companies, a report by Disrupt Africa showed.

The ‘African Tech Startups Funding Report 2015‘ showed that 125 tech startups in the region received the funding, with the solar sector seeing “the most activity” and accounting for a third of the total funding.

The fintech sector got the second most funding at 29.6 percent.

Gabriella Mulligan, co-founder of Disrupt Africa, said the continent’s tech startup ecosystem was becoming increasingly vibrant, with more quality tech startups and more investor activity than ever before.

“There is so much happening in this space, but often the level of innovation has not been matched by the amount of funding on offer,” Mulligan said.

“This data is important, as it demonstrates that African startups are being backed by investors both at home and abroad. We fully expect this figure to be larger next year, and hope this research proves a useful starting point in understanding and growing the ecosystem.”

The report also showed that the Egypt, Ghana and Tanzania were “key hotspots for funding activity”

Tom Jackson, Disrupt Africa co-founder, said the amount compiled in the report was only the tip of the iceberg as there were many undisclosed funding rounds for African startups during the year.