This archive report was first published on 5 July 2020.
Published on July 5, 2020, a report by the African Private Equity and Venture Capital Association Ltd (AVCA) highlighted Kenya's exceptional growth prospects, making it one of the top African countries for start-up and small business financing.
South Africa led the way with 21% of the total early-stage investments, followed closely by Kenya with 18%, and Nigeria with 14%.
Kenya's venture capital scene is thriving, with financial technology (fintech) firms dominating the start-up scene, alongside growth in other sectors such as utilities, logistics, transportation, e-commerce, healthcare, and agribusiness.
According to the report, nearly one-third (32%) of the total number of early-stage investments in Africa during the period were seed stage deals, providing initial equity funding for start-ups.
Series A and Series B transactions accounted for 29% of the total volume and 38% of the total value of early-stage deals, while 65% of the total number of VC deals reported were below $5 million.
Corporate venture firms from North America played a key role in bridging funding gaps, accounting for 37% of the total number of corporate venture firms that participated in VC deals in Africa from 2014 to 2019.
