Africa's tech funding landscape witnessed a significant shift in 2024, with a notable decline in the amount of funding raised compared to previous years. Despite this, Kenya solidified its position as the top destination for venture funding in 2024, raising an impressive $638 million, which accounted for 88% of East Africa's total funding and 29% of the $2.2 billion raised on the continent.

According to Africa: The Big Deal, the continent saw a 25% drop in funding from $2.9 billion in 2023 to $2.2 billion in 2024. This decline is further reflected in the number of startups hitting the $1 million mark in 2024, with 188 companies securing funding—down 10% from 209 in 2023, and a sharp contrast to the 353 startups that achieved the same in 2022.

Kenya's achievement was fueled by investments in climate tech companies like d.light, SunCulture, and Basigo. The country, along with Nigeria, Egypt, and South Africa—collectively known as Africa's "Big Four"—continued to dominate the venture funding landscape in 2024, attracting a combined 84% of all start-up funding on the continent.

Nigeria, which once held the top spot as Africa's preferred destination for venture capital, secured second place in 2024. Startups in the country raised $410 million, accounting for 18.6% of the $2.2 billion total secured across Africa.

The top 10 African countries with the highest tech funding in 2024 are: Kenya ($638 million), Nigeria ($410 million), Egypt ($400 million), South Africa ($394 million), Morocco ($70 million), Ghana ($68 million), Tanzania ($53 million), Benin ($50 million), Côte d'Ivoire ($33 million), and Senegal ($22 million).

The decline in funding raises concerns about the sustainability of Africa's startup ecosystem. However, the continued dominance of the "Big Four" suggests that investors remain bullish on the continent's potential. As the startup landscape continues to evolve, it will be crucial to monitor the funding trends and their implications for Africa's economic growth.

The story of Africa's tech funding in 2024 serves as a reminder that the continent remains a critical player in the global startup ecosystem. Despite the decline, the region's potential for growth and innovation remains vast, and it will be essential to track the developments in the coming years.