Miami startups got more funding than African peers in 2024 — Report

Startup funding that came to Africa in 2024 was only a tiny slice of total global startup funding in the same period. The data insight company that tracks funding of $100,000 and above noted that Africa’s share of funding was almost equal to that of Miami, the 12th city in the US.

According to Africa: The Big Deal, Africa got 0.6 percent of global startup funding. With $1.5 billion in equity raised in 2024, the continent’s share is meagre compared to the global total of $275 billion. “It can’t be right that a continent of 1.4 billion people attracts about the same amount in startup funding as Miami ($1.8 billion), the 12th city in the United States in terms of equity fundraising last year,” it said.

Africa’s 11 percent year-on-year decline in equity fundraising contrasts with other regions. Asia recorded a 27 percent decline, mainly due to China’s steep 56 percent drop; other markets performed better. India, which has a population and GDP comparable to Africa, saw a 40 percent increase in startup funding. Meanwhile, North America and Latin America both experienced growth.

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“All things considered, equity startup funding in Africa contracted 11 percent in 2024, while it grew 4 percent globally,” the firm noted.

Despite the decline in 2024, Africa has recorded strong growth over the past four years. Between 2020 and 2024, equity funding in the continent increased 62 percent from $0.9 billion to $1.5 billion. This long-term trend sets Africa apart from many other regions.

Over the same period, the US (5 percent), Europe (9 percent), and India (1 percent) barely grew, while Latin America (33 percent), Asia (54 percent), and China (78 percent) all declined significantly.

“The other regions and markets that display positive trends over the same period have more or less gotten back to their 2020 levels,” it stated.

While Africa remains an outlier in long-term growth, the persistent funding gap highlights the need for deeper investor confidence. According to Africa: The Big Deal, if this imbalance continues, Africa risks missing out on critical capital that could accelerate innovation, job creation, and economic transformation.