In 2024, start-up investments in Africa surpassed $1 billion, according to Africa: The Big Deal. The first half of the year saw approximately $800 million raised, excluding exits, marking a relatively quiet period in terms of start-up funding since late 2020. However, the situation changed quickly due to two major deals announced mid-month: d.light, a solar energy company, secured a new $176 million securitization facility, and MNT-Halan, a microfinance lending and payment company, raised $157.5 million.
Including NALA’s $40 million Series A funding from earlier in the month, along with other smaller transactions, the total amount raised in July neared $400 million. This made July 2024 the most successful month for fundraising in Africa in over a year, exceeding the total amount raised in Q2 2024.
While the pace of investments has not yet fully matched the levels seen in the past three years, this news is encouraging. It suggests that 2024 may ultimately deliver stronger results than 2019 and 2020, years often used as benchmarks when the $1 billion mark was only reached in November. In fact, start-ups in Africa have already raised more funding than they did in 2020.
