April 2025 proved to be a significant month for African startups, raising $343 million. This marked impressive growth compared to previous periods.
Overview of Startup Financing
According to the analytics firm Africa the Big Deal, African startups raised a total of $343 million in April 2025. This far exceeds the $50 million raised in March, representing an increase of 586%. The April total is also a remarkable 357.3% higher than the $75 million raised in April 2024, making April 2025 the second-highest month for funding in history, surpassed only by April 2022.
Key Deals Outcomes
In April, 39 startups raised $100,000 or more in equity, loans, and grants. This number is lower than the monthly average of 44 startups over the past 12 months, which may indicate a cautious approach from investors preferring more mature and reliable companies. The most notable deals included:
- hearX — a South African startup that secured $100 million through a merger with US company Eargo. - Bokra — an Egyptian Islamic fintech platform that raised $59 million through a sukuk issuance. - Stitch — a payments infrastructure startup that secured $55 million from existing investors.
Outlook and Conclusions
According to the report, African startups have raised $803 million in 2025 so far, which is a 43% increase from the same period last year. The increase in the number of startups receiving funding (163 in 2025 compared to 147 in 2024) also indicates positive trends. As experts noted, "this is not just a rebound from a disappointing March; it indicates the early stages of a more stable recovery in the startup ecosystem in the region."
April 2025 marked an important milestone for African startups, demonstrating significant funding volume and signaling a return of investor confidence to the market.
