A report released today by Disrupt Africa, showed that 146 start ups from across the African continent raised $ 129,133,200 in funding over the course of 2016. This is coupled with a 16.8% rise from 2015 in the number of African tech startups.
“2016 was another great year for African tech start ups and investors. Our ecosystem progressed in leaps and bounds over the course of the year, which is evidenced by strong growth in the number of startups raising funding, and an encouraging expansion of ecosystem activity across the continent.
The report analyzed nine sectors with the fintech sector receiving the most backing in 2016 with 24% of the total, raising a combined $31.4 million. This highlighted the massive emphasis placed on technological advancements in the finance sector in Africa.
The three most popular investment destinations are South Africa, Kenya and Nigeria, between the three nations they account for 80.3% of funds secured. The fourth most popular country is Egypt who saw their growth raise an impressive 100%.
WHAT TO EXPECT FOR 2017
Tom Jackson , co-founder of Disrupt Africa said that “The African tech space has not been immune to the economic pressures faced by other sectors, but it is proving extremely resilient.
The fact more startups raised funding in 2016 than ever before demonstrates the vitality of this sector, and we expect investor interest to grow and grow over the course of 2017”.