Grace Ashiru
African startups raised an estimated $1.3 billion to $1.4 billion during the first half of 2026, keeping overall investment close to the level recorded during the same period in 2025.
Although the total amount remained relatively stable, funding was concentrated in fewer companies. Only 146 disclosed funding deals were completed during the first six months of 2026, compared with 252 deals one year earlier.
Investors directed a significant share of the available capital towards established businesses with proven revenue models and physical infrastructure. Electric mobility, clean energy and financial services attracted some of the largest investments.
Electric-mobility company Spiro completed the biggest fundraising activity of the period, securing a combined $270 million through two equity rounds in June. Other transactions included a $37.1 million equity-and-debt round for Egyptian fintech Blnk, a $5 million seed round for Moroccan property-technology company Agenz and $2.6 million for South African charging company Zimi Charge.
Early-stage companies faced a more difficult fundraising environment, particularly those seeking seed or pre-Series A investment. The figures suggest investors are placing greater emphasis on revenue, operational efficiency, strong unit economics and a clear route to profitability.
Merger and acquisition activity moved in the opposite direction. A total of 63 transactions were recorded during the period, almost twice the 33 deals completed in the first half of 2025. The increase points to growing consolidation and a more active market for startup exits.
Overall, the headline funding total suggests stability, but the decline in the number of funded businesses shows that capital is becoming more selective and concentrated among larger companies.
