African startups raised $705 million in the first three months of 2026, a 26.5% increase on the same period last year, according to new analysis. The sum covers 59 deals in 14 countries, African Business reported, pointing to data compiled by Condia and TechCabal Insights.
Egypt was in pole position, drawing $190 million in disclosed funding, followed by South Africa with $157 million, and Kenya with $94 million. “The continent’s startup ecosystem has moved beyond its ‘emerging’ label and is entering a more established phase,” the outlet noted. It also reflected a new trend: the growing presence of Japanese investors, adding a new dimension to capital flows that have previously been dominated by the US and Europe.