The African startup ecosystem in 2024 demonstrated resilience amidst global funding challenges, raising $2.2 billion in equity, debt, and grants (excluding exits). The year unfolded as a year of two contrasting halves. The first half of the year saw a notable dip in funding, with just under $800 million raised, representing the slowest semester for fundraising since 2020.

In 2024, Nigeria experienced a period of turbulence as the government attempted several market-driven policies to attain macroeconomic stability. The naira exchange rate, inflation and interest rates hit all-time highs and this drastically affected the cost of doing business for startups, SMEs, and households leading to layoffs and shutdowns.

Despite these headwinds, Nigeria’s startup ecosystem recorded significant milestones, as it accounted for 22.5% of total equity deals and 16.3% of equity funding in Africa, underscoring the maturity of some players within the ecosystem.

In support of this dynamic ecosystem, the Japan International Cooperation Agency (JICA) launched Project NINJA (Next Innovation with Japan) in 2020, to provide support for startup innovations in developing countries. For the third consecutive year, JICA has partnered with TechCabal Insights to publish the Nigeria Startup Ecosystem Report.

This report provides a comprehensive analysis of Africa’s startup ecosystem featuring key activities and events that have shaped the space in the past year including policy changes, funding rounds, exits, acquisitions, and more.