Nigerian startups attracted $635 million in funding between January and September 2026, restoring the country’s position as Africa’s leading startup investment destination. The recovery comes as funding declined in other major markets, including Kenya and South Africa, while logistics and transport businesses attracted a growing share of investment.
Data from Africa: The Big Deal, which tracks African startups raising at least $100,000, shows that Nigeria’s funding total was 2.6 times the $247 million recorded during the same period in 2025. The country accounted for 37% of funding raised by startups headquartered in individual African countries, excluding pan-African ventures.
The number of Nigerian startups securing at least $100,000 also increased from 70 to 77, making Nigeria the only one of Africa’s four largest startup markets to record growth in funded ventures.
Major Deals Drive Nigeria’s Funding Recovery
Despite the strong performance, investment remained concentrated among a few companies. Moove, Flutterwave, Jumia and Yellow Card collectively raised $440 million, representing approximately 69% of Nigeria’s total.
Meanwhile, logistics and transport became Africa’s best-funded startup sector, attracting $780 million, ahead of fintech’s $760 million. Funding for energy and healthcare startups declined sharply, highlighting the uneven distribution of capital across industries.
Nigeria’s recovery contrasted with Kenya’s 73% decline in funding to $201 million and South Africa’s 58% drop to $182 million. Egypt attracted $445 million, maintaining its position as the continent’s second-largest startup funding market.
The figures also reveal continuing funding gaps for women-founded businesses, which received just 8.9% of total investment during the period.
Nigeria’s next challenge is to sustain its lead while ensuring more startups, particularly smaller and early-stage businesses, can access investment. Whether the continent surpasses its 2025 funding total will depend partly on major deals continuing and capital reaching a broader range of companies.
