African Startups Raise Over $1.4 Billion in H1 2025

Startups across Africa raised more than $1.4 billion in the first half of 2025 through deals valued at $100,000 or more, excluding exits.

June stood out as the most successful month so far this year, accounting for $365 million in funding.

The average monthly funding for H1 2025 now stands at $237 million—an increase from $187 million in 2024 and significantly up from $133 million in H1 2024.

This represents a robust 78% year-on-year growth compared to the $800 million raised during the same period last year.

The current performance also closely matches H2 2024’s total funding of $1.4 billion, with only a slight decline of 1.5%.

Kenya:

Kenya has remained a stronghold for innovation and capital attraction. Notable deals include:

BasiGo: Raised $42 million to expand its fleet of electric buses and support green mobility in urban transport.
PowerGen: Secured $50 million to scale its renewable energy infrastructure across the region.
M-KOPA: Landed a $51 million loan to enhance digital connectivity and further its financial services offering.

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M-KOPA continues to lead in financial inclusion having reached five million customers across five African countries, becoming the first Kenyan fintech to hit the ceiling.

Its pay-as-you-go model enables low-income households to afford solar energy systems through small, flexible payments.

So far, over 750,000 homes in East Africa have been connected to solar power. Impressively, the company maintains a loan default rate of just 10%—lower than the average for traditional banks in the region.

Meanwhile, SunCulture raised $12 million to expand its energy and water solutions for smallholder farmers.

Other rising Kenyan startups are also gaining traction: