African startup funding for 2025 has crossed the $3 billion mark as of December 8. This figure, according to the African tech startup funding analytics company, Africa the Big Deal, signifies that 2025 has surpassed both 2024 and 2023 in total investments, with the year still having active funding rounds.
Previously, African startups raised $2.9 billion in 2023, followed by a drop to $2.2 billion in 2024, according to Technext reports. Both of these years were widely considered to be within the midst of a venture funding winter.
With the current numbers showing an upward trend, this suggests a potential thawing of the funding climate.
The 2025 numbers also represent the first year-on-year growth recorded over the last three years. Startup funding had fallen from $4.6 billion in 2022 to $2.9 billion in 2023, a substantial 37 per cent decline. Funding for startups further decreased to $2.2 billion in 2024, marking a 24.1 per cent decline from the previous year.
With the total funding now exceeding $3 billion for 2025, the increase rate stands at an impressive 36.3 per cent. This cements the year as a truly remarkable period for investments into tech startups on the continent.
Major Funding Rounds Fueling 2025's Performance
Achieving over $3 billion in 2025 is a significant accomplishment. This impressive total is supported by numerous startups and investors involved in funding rounds throughout the year. While the total encompasses rounds of at least $100,000, it is pertinent to highlight some of the major funding rounds that have contributed to this substantial haul.
In January, Nigerian cross-border payment startup LemFi successfully raised $53 million in a Series B round, with the aim of expanding its remittance offerings into Europe and Asia. Following this, Kenya-based PowerGen secured $50 million in the same month.
These two startups were at the forefront, contributing to a total of $289 million raised by African startups in January alone.
Gozem, a ride-hailing platform based in Togo, emerged as a standout performer in February, which was the slowest February since 2019, by raising $30 million in a Series B funding round. In April, hearX, a Pretoria-based healthtech company providing accessible hearing care through smart, digital health solutions, closed the first mega deal of 2025, securing $100 million through its merger with U.S.-based Eargo.
Egypt-based property technology company, Nawy, raised $75 million in a record-breaking deal in May. In June, Wave, a Senegalese fintech company, secured the second mega deal of the year, raising $137 million in debt financing led by Rand Merchant Bank (RMB).
Kenyan clean energy startups experienced a strong July, with Sun King closing a $156 million securitisation to scale its affordable solar energy supply. Spiro secured a $100 million raise in October, recognized as the largest e-mobility raise on the continent and the fourth mega deal overall for the year.
South African solar electricity company, SolarSaver, raised $60 million in equity funding in November. These are among the key startups that have significantly contributed to the 2025 funding total from January through November.
A more comprehensive list will be provided in the coming days.