Foreign investments in Nigerian startups fell by 65.83 per cent year-on-year to $410m in 2023 from $1.2bn in 2022.
The fall in investments caused the country to lose its top spot in terms of total startup investments on the continent to Kenya.
In 2023, Kenyan startups raised a little under $800m to claim the top spot in Africa. Nigeria finished the year as number four losing out to Kenya, Egypt, and South Africa, according to an analysis of African startup funding of $100k and above in 2023 by a research firm, ‘Africa: The Big Deal’.
The Big Four continued their dominance in 2023, attracting 87 per cent of total startup funding on the continent, their largest share since 2019. Kenya, Egypt, South Africa, and Nigeria were home to 71 per cent (357 out of 500).