African technology companies raised $684 million between January and September 2026, representing a 30% increase from $527 million recorded during the same period in 2025. The funding came through 100 rounds, down 3% from 103 a year earlier. This increase in funding reflects a growing interest in African tech startups, but also highlights a concentration of capital in a few large deals.
The funding landscape is characterized by a few large transactions, with electric-mobility company Spiro's $215 million Series E round alone exceeding the entire year-on-year increase. Excluding Spiro's round, the total funding would be $469 million, below the $527 million recorded in the corresponding period of 2025. This concentration of capital in a few large deals raises questions about the accessibility of funding for early-stage startups.
Different funding trackers report varying figures, reflecting different tracking methodologies and inclusion criteria. TechCabal Insights and FCMB Hub One reported $2.49 billion across 315 disclosed deals, while Africa: The Big Deal recorded $2.16 billion, representing a 4% decline from $2.24 billion in the same period of 2025. These differences highlight the need for a standardized approach to tracking African tech funding.
Spiro's substantial funding illustrates the growing investor appetite for businesses addressing physical infrastructure challenges. The company, which operates across several African countries, including Kenya, Rwanda, Uganda, Togo, Benin, Nigeria, and Cameroon, has deployed over 100,000 electric motorcycles and established over 2,500 battery-swapping stations. Its electric motorcycles can reduce riders' daily transport costs by up to 40%.
Geographic concentration is another defining feature of the funding landscape, with Nairobi attracting $277 million, accounting for 41% of total funding, followed by Cairo with $126 million, and Abuja with $52 million. Together, these three cities accounted for 67% of the reported funding. This concentration of funding in a few cities highlights the need for more investment in other African cities.
The wider distribution of capital reveals an increasingly selective market, with only 311 ventures raising at least $100,000 in the first nine months of 2026, an 18% decline from 381 a year earlier. Transactions worth $10 million or more accounted for 83% of total funding, while early-stage financing weakened, with seed funding falling to approximately $100 million.
Sector performance reinforces the shift towards larger investments in infrastructure-oriented businesses, with logistics and transport attracting $780 million, representing 36% of African startup funding, narrowly ahead of fintech at $760 million, or 35%. Nigeria's performance also offers an important perspective, with four companies, Moove, Flutterwave, Jumia, and Yellow Card, accounting for approximately $440 million, or 69% of the total funding.
Key points
- African technology companies raised $684 million between January and September 2026, a 30% increase from 2025.
- The funding landscape is characterized by a concentration of capital in a few large deals, with electric-mobility company Spiro's $215 million Series E round alone exceeding the entire year-on-year increase.
- The increasingly selective market is prioritizing businesses with established operations, demonstrable demand, and the capacity to deploy substantial capital.
