Saturday, January 28, 2023
Techgist Africa | Africa Leading Tech News, Reviews and Tips
  • News
    • World News
    • World Regional News
    • News – East Africa
    • News – West Africa
    • News – South Africa
    • News – Middle East And North Africa
  • The Big 5
  • Specials
  • Opportunities
  • Innovators
  • Events
  • Videos
  • Contact
No Result
View All Result
Techgist Africa | Africa Leading Tech News, Reviews and Tips
  • News
    • World News
    • World Regional News
    • News – East Africa
    • News – West Africa
    • News – South Africa
    • News – Middle East And North Africa
  • The Big 5
  • Specials
  • Opportunities
  • Innovators
  • Events
  • Videos
  • Contact
No Result
View All Result
Techgist Africa | Africa Leading Tech News, Reviews and Tips
No Result
View All Result
Home Specials Report

Africa’s Tech Ecosystem raised $6.5 billion in 2022 – Partech Africa Report

Tech Gist Africa by Tech Gist Africa
01/25/2023
in Report, The Big 5, Venture Capital
0 0
0
Africa Tech Ecosystem

Africa Tech Ecosystem

0
SHARES
Share on FacebookShare on Twitter

A total of $6.5 billion, an 8% increase over 2021, was invested in the tech ecosystem across Africa, split across 764 deals in comparison to 2021’s 724 deals.

The annual report on Africa Tech Venture Capital has been published by Partech Africa, the VC fund dedicated to technology startups in Africa.

According to the report, which sets out to portray a realistic view of the ecosystem, the African IT ecosystem thrived at a higher pace than any other market globally despite the global decline in venture capital.

With +8% growth from 2021, the African tech ecosystem stands out amid the sharp decline in global VC funding.

Still at the forefront, fintech garnered 39% of the entire equity volume, with Nigeria maintaining its top rank with 23%.

Debt finance more than doubled in volume, hitting $1.55 billion through 71 deals [65% YoY growth] in the report, which includes both declared and confidential deals.

In contrast, there was a slight decrease in the number of equity rounds completed, with 653 African tech startups raising $4.9B [-6%] in 693 equity rounds [2% YoY growth].

The ecosystem was still accelerating in Q1 and Q2 of 2022 compared to Q1 and Q2 of 2021, according to the report’s focus on equity funding, which showed that Q1 and Q2 were +127% YoY and +83% YoY, respectively.

The leading investment locations in Africa continue to be Nigeria, South Africa, Egypt, and Kenya, with a percentage of the overall volume remaining largely constant at 72%. Despite a fall of 36% from 2021, Nigeria maintained the top spot, attracting $1.2B in funding; South Africa, Egypt, and Kenya each received over $0.7B in funding; Ghana rounded out the top 5 with just over $0.2B. In total, 28 nations received equity funding in 2022, with 13 of those nations being in Francophone Africa.

The report’s findings also showed that, despite the market slump, fintech is still the most well-funded industry in Africa, receiving 39% of all equity funding ($1.9B) and 45% of all debt funding ($691M). This year, several industries saw significant expansion and increased their share of equity fundraising activities, most notably Cleantech, which made a strong comeback with 18% of all equity funding at $863 million (+347% YoY), as well as 39% of all debt funding at $605 million.

The following are some more aspects that the report’s findings show:

The share of equity funding received by companies created by women increased to 22% in 2022 from 20% in 2021. Additionally, they contributed $644 million, or 13% of the overall equity funding, a decrease of 3% from 2021’s 16%.

Ghana ($202 million), Algeria ($150 million), Tunisia ($117 million), and Senegal ($105 million) were the only other nations that exceeded the $100M funding threshold except for the top 4 nations.

The IT ecosystem in Africa attracted 1,149 unique investors for the first time [+29% YoY in 2021] despite a slowing in the growth rate of equity investors.

Investor commitment to African technology has increased, with 89 individuals participating in 5 or more deals (compared to 65 investors in 2021).

With a healthy mix of local debt institutions, foreign lenders with emerging market vehicles, and Development Finance Institutions, the number of debt investors operating on the continent has increased by a factor of 2.5 year over year.

Click here to download the complete “2022 Africa Tech Venture Capital” report.

 

Read more on Tech Gist Africa:

Over $4 billion was raised by African tech startups in 2021

Disrupt Africa in partnership with Flutterwave and GreenHouse Capital has released Finnovating for Africa 2021, a free open-source flagship Fintech report

South Africa ranks first in the African Tech Ecosystems, according to a report

Digital wallet transaction value is expected to reach $12 trillion by 2026

 

ShareTweetShare

Get real time update about this post categories directly on your device, subscribe now.

Unsubscribe
Tech Gist Africa

Tech Gist Africa

Tech Gist Africa is a new media and technology news platform that focuses on the untold stories of innovative ideas closely connected to technology news from Africa.

Related Posts

Africa Startup Initiative Program
Accelerator

11 Startups have been Selected for Cohort 3 of the Africa Startup Initiative Program (ASIP) Accelerator

by Tech Gist Africa
01/23/2023
0

Africa's leading tech Accelerator, Startupbootcamp AfriTech, together with founding partner and leading telecom giant, Telecel Group has selected the participants...

Read more
macbook

Apple launches MacBooks with the latest M2 chips

01/23/2023
amazon

Amazon has surpassed Apple to become the most valuable brand in the world

01/23/2023
Earthshot Prize 2023

African startups are invited to apply for the $1.2 million Earthshot Prize

01/19/2023
African Startups

The second annual Stitch showcase for early-stage startups is now accepting applications

01/13/2023
Next Post
KEWAZO Germany

Munich-based KEWAZO bags €10M

FUERGY Slovakia

Slovakia-based FUERGY raises €16M

Welinq France

Paris-based Welinq raises €5M

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

I agree to the Terms & Conditions and Privacy Policy.

No Result
View All Result

The Big 5

Africa Tech Ecosystem

Africa’s Tech Ecosystem raised $6.5 billion in 2022 – Partech Africa Report

by Tech Gist Africa
01/25/2023
0

...

Africa Startup Initiative Program

11 Startups have been Selected for Cohort 3 of the Africa Startup Initiative Program (ASIP) Accelerator

by Tech Gist Africa
01/23/2023
0

...

macbook

Apple launches MacBooks with the latest M2 chips

by Tech Gist Africa
01/23/2023
0

...

amazon

Amazon has surpassed Apple to become the most valuable brand in the world

by Tech Gist Africa
01/23/2023
0

...

Earthshot Prize 2023

African startups are invited to apply for the $1.2 million Earthshot Prize

by Tech Gist Africa
01/19/2023
0

...

TGA

  • About us
  • Terms and Conditions
  • Privacy Policy
  • Contact

TGA

  • About us
  • Terms and Conditions
  • Privacy Policy
  • Contact

AFRICA

  • Made In Africa
  • People
    • Tech Leaders
    • Innovator of the Week
  • Start-Up Spotlight

NEWS

  • Africa News
  • World News

THE BIG 5

  • Big 5 Daily
  • Weekly News Roundup

SPECIALS

  • Guest Articles
  • How Tos
  • Op-Eds
  • Reviews
  • Tech Leaders
  • Tips

VIDEOS

  • Interviews
  • Tech Videos

TGA

  • About us
  • Terms and Conditions
  • Privacy Policy
  • Contact

AFRICA

  • Made In Africa
  • People
    • Tech Leaders
    • Innovator of the Week
  • Start-Up Spotlight

NEWS

  • Africa News
  • World News

THE BIG 5

  • Big 5 Daily
  • Weekly News Roundup

SPECIALS

  • Guest Articles
  • How Tos
  • Op-Eds
  • Reviews
  • Tech Leaders
  • Tips

VIDEOS

  • Interviews
  • Tech Videos

Copyright © 2020 Techgistafrica. All Rights Reserved

No Result
View All Result
  • News
    • World News
    • World Regional News
    • News – East Africa
    • News – West Africa
    • News – South Africa
    • News – Middle East And North Africa
  • The Big 5
  • Specials
  • Opportunities
  • Innovators
  • Events
  • Videos
  • Contact

Copyright © 2019 TECHGISTAFRICA. All Rights Reserved

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms below to register

*By registering into our website, you agree to the Terms & Conditions and Privacy Policy.
All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.