Africa’s startup funding landscape witnessed a strong resurgence in April 2025, following a sluggish March. Over 39 startups across the continent secured a combined total of $343 million in funding last month, representing a dramatic rise from the $50 million recorded in March.
This rebound has significantly boosted the year’s funding trajectory. In January, startups across Africa raised $289 million, followed by $119 million in February. With April’s sharp increase, total startup investment for the first four months of 2025 now stands at $803 million across 163 deals. This marks a 43% increase compared to the same period in 2024, when startups secured $563 million. So far in 2025, at least 225 investors have participated in deals exceeding $100,000.
A standout transaction during the month was the $100 million deal involving South African healthtech company hearX, which secured the funding through a merger with U.S.-based hearing aid firm Eargo. The deal is among the largest recorded in Africa since the start of the year.
Another major development came from Egypt, where Islamic fintech startup Bokra raised $59 million through a sukuk issuance—an unusual feat for a company that raised just $4.6 million in a pre-seed round a year earlier. Meanwhile, South Africa’s Stitch attracted $55 million in follow-on funding from existing backers as it pushes forward with plans to build comprehensive payment infrastructure across Africa.
In addition to new funding rounds, the continent also saw several acquisitions. Egypt’s ADVA was acquired by Maseera, Nigeria’s Bankly was taken over by investment firm C-One, and South African payments company Peach Payments was acquired by PayDunna, which is aiming to expand into Francophone West Africa.
South Africa and Egypt were the most prominent markets in April, accounting for a substantial share of funding. In contrast, Nigeria and Kenya—typically major players in Africa’s startup scene—were less active during the month. Notably, Kenya, which led the continent in 2024 with $638 million raised (amounting to 29% of total African startup funding), experienced a subdued performance in April 2025.
Despite earlier slowdowns, April’s performance suggests renewed investor confidence in the African startup ecosystem. The month also saw a notable increase in visibility for local African funds and diaspora-backed venture capital firms, signalling a broader diversification in funding sources and growing momentum within the continent’s innovation landscape.