African firms became the largest bloc investing in African startups for the first time in 2024, with nearly a third of investors that year coming from the continent, up from a fifth a decade earlier.
The firms helped raise the $3.6 billion total that African startups received last year, the African Private Capital Association (AVCA) investment industry body said in its latest report. While the figure was 22% lower than the year before, amid an overall uptick in the global venture capital market, the dominance of African investors “underscores the momentum in domestic capital formation,” said AVCA, which focuses on private equity and venture capital investment in Africa.
Fintech startups took the biggest share with $1.4 billion across 116 deals, while Nigeria was the top destination, accounting for 16% of the total, AVCA said. Artificial intelligence deals raised $108 million, the body said.
