Africa’s startup funding activity slowed sharply in July 2026, with 47 startups raising a combined $102.2 million across disclosed deals.
Data compiled by Nairametrics shows that the funding landscape remained heavily concentrated, as the top 10 funded startups attracted $88.85 million, accounting for 86.94% of all capital raised during the month.
This means nearly nine out of every ten dollars invested in African startups during the month went to just ten companies.
Three startups involved in merger and acquisition (M&A) transactions did not disclose the value of their deals during the period, as the deal values were not disclosed and do not represent fresh capital inflows into startups.
What the data is saying
While the concentration of funding among leading startups remained significant, it was notably lower than the levels recorded in both July 2025 and June 2026, suggesting a broader distribution of capital among smaller startups despite the overall decline in funding volumes.
- Compared with June 2026, when African startups raised $515.6 million (excluding M&A transactions, which do not represent fresh capital inflows) across 52 deals, July funding plunged by 80.2%. The dominance of the largest deals also moderated, with the top 10 accounting for 86.6464% of total funding compared with 94.4% in June.
- The slowdown was even more pronounced on a year-on-year basis. In July 2025, African startups secured $554.3 million (excluding M&A transactions) across 71 deals, meaning funding declined by 81.6% in July 2026.
Likewise, the share controlled by the top 10 deals fell from 94.4% a year earlier to 86.59%, suggesting that while overall capital became scarcer, funding was distributed slightly more broadly across startups.
The decline highlights a significantly more cautious investment environment, with investors prioritizing larger, de-risked businesses and debt-based financing over aggressive venture capital deployment.
Below are the top 10 African startups by funding in July 2026
10. Mylerz (Egypt) – $2 million
Logistics startup Mylerz raised $2 million, approximately EGP 100 million, in a venture round from Lorax Capital Partners, Fawry, and angel investors.
Mylerz will direct most of the funding toward developing local infrastructure, planning to open a new hub in Sharm El-Sheikh to serve the city’s e-commerce and tourism revival, along with plans to add more hubs in Upper Egypt and continue expanding in Cairo.
- Sector: Logistics & Transport
- Region: Northern Africa
- Fund Type: Venture Round
- Investor: Lorax Capital Partners, Fawry, Angel investors
9. Ora Technologies (Morocco) – $2 million
Moroccan fintech company Ora Technologies secured $2 million through a Series A extension round.
The additional $2 million fund raised by local investors, extended its Series A round to a total of $10 million as it scales its food delivery and digital payments operations.
- Sector: Fintech
- Region: Northern Africa
- Fund Type: Series A Extension
- Investor: Undisclosed
8. Fincart (Egypt) – $2.8 million
Egypt-based e-commerce technology startup Fincart has secured $2.8 million in seed funding to accelerate the expansion of its AI-powered logistics, enhance its technology platform, expand its workforce, strengthen strategic commercial partnerships, and speed up its regional growth strategy across the Middle East and Africa.
The funding round was co-led by Launch Africa Ventures and Antler, with additional backing from Yango Ventures, Five35 Ventures, Bluestream Capital, Hi2 Global, Kalahari Venture Capital, and several other regional investors.
- Sector: Retail
- Region: Northern Africa
- Fund Type: Seed
- Investor: Launch Africa, Antler, Yango Ventures, Five35, Bluestream Capital, Hi2 Global, Kalahari Venture Labs
7. Wamly (South Africa) – $3.05 million
South African HRTech startup Wamly has closed a $3.05 million (R50 million) Series A round led by Hlayisani Capital’s Hlayisani Venture Fund II, giving one of the country’s fastest-growing HR technology businesses fresh capital to deepen its product and push further into international markets.
The new capital will go toward three priorities: expanding Wamly’s AI capabilities across the hiring workflow, growing the team, and entering new international markets.
- Sector: Services
- Region: Southern Africa
- Fund Type: Series A
- Investor: Hlayisani Capital, Knife Capital
6. Peach Cars (Kenya) – $4 million
Used vehicle marketplace Peach Cars raised $4 million in debt financing from Japan Finance Corporation (JFC) and Shoko Chukin Bank, following the $11 million Series A in June 2025, the largest ever in Africa’s mobility sector.
The investment will help expand the brand network, strengthen the company’s inspection and valuation technology, and improve access to vehicle financing across Kenya.
- Sector: Logistics & Transport
- Region: Eastern Africa
- Fund Type: Debt
- Investor: Japan Finance Corporation (JFC), Shoko Chukin Bank
5. Cue (South Africa) – $5 million
Cue, a customer service software company, has raised R82 million ($5 million) to grow its AI customer service platform and expand into new markets.
The funding round was co-led by Knife Capital with FAM Investments. It is the largest raise yet for Cue, following its $500,000 pre-seed and $2m seed rounds in 2023 and 2024, respectively.
- Sector: Retail
- Region: Southern Africa
- Fund Type: Venture Round
- Investor: Knife Capital, FAM Investments
4. Nesa Power (South Africa) – $9 million
Nesa Power Group, a South Africa-based commercial and industrial renewable energy company, has secured R150 million (approximately $9 million) in mezzanine debt funding from Maia Capital Partners. Covington & Burling acted as legal counsel to Maia Capital Partners on the transaction.
The funding will be used as growth capital to acquire solar photovoltaic (PV) assets and expand the company’s portfolio of long-term power purchase agreements.
- Sector: Energy & Water
- Region: Southern Africa
- Fund Type: Debt
- Investors: Maia Capital Partners
3. BioLite (Zambia) – $10.7 million
Clean energy company BioLite secured $10.7 million in debt funding from the Africa Go Green Fund, making it the largest startup funding round recorded in Zambia during the month.
The funding is aimed at financing the purchase and distribution of at least 163,500 improved cookstoves across Zambia.
- Sector: Energy & Water
- Region: Southern Africa
- Fund Type: Debt
- Investors: Africa Go Green Fund
2. Bridgement (South Africa) – $20.3 million
South African fintech Bridgement has raised R330 million ($20.3 million) in funding from Rand Merchant Bank (RMB) and Standard Bank, strengthening its capacity to lend to small and medium-sized businesses while highlighting a growing partnership between traditional banks and AI-driven lenders.
The capital will help Bridgement expand its loan book at a time when access to finance remains one of the biggest obstacles facing South African SMEs.
- Sector: Fintech
- Region: Southern Africa
- Fund Type: Debt
- Investors: Rand Merchant Bank (RMB), Standard Bank
1. M-Kopa (Kenya) – $30 million
Kenyan fintech platform M-Kopa emerged as the month’s biggest fundraiser after securing $30 million in debt financing from Dutch entrepreneurial development bank FMO, to accelerate the shift from petrol motorcycles in Kenya.
The deal accounted for 29.4% of all startup funding raised in Africa during July.
The funding is structured in three tranches: two loans totaling $22.5m provided directly by FMO, and a $7.5m commitment under the bank’s Building Prospects label that will refinance a bridge facility originally extended by an existing shareholder.
The fresh capital will primarily fund a growing book of pay-as-you-go receivables tied to electric motorbikes and batteries, with up to $23m earmarked for new originations.
- Sector: Fintech
- Region: Eastern Africa
- Fund Type: Debt
- Investor: FMO
More Insight
Southern Africa attracted the largest share of disclosed funding during the month, raising $49.5 million, representing 48.43% of total funding across nine deals. The region’s dominance was driven largely by Bridgement, Nesa Power, Cue and Wamly, alongside BioLite’s Zambian funding round.
- Eastern Africa followed with $37.3 million, accounting for 36.50% of total funding across 18 deals, supported primarily by Kenya’s M-Kopa and Peach Cars.
- Northern Africa ranked third with $9.2 million, representing 9.00% across seven deals, while Western Africa raised $5.9 million, or 5.77%, across 11 deals.
- Central Africa contributed $0.1 million (0.10%) from one deal, while pan-African startups accounted for another $0.2 million, representing 0.20% of disclosed funding.
- At the country level, South Africa emerged as the leading destination for startup funding, attracting $38.8 million, equivalent to 37.96% of total funding across eight deals.
- Kenya followed closely with $36.8 million, accounting for 36.01% across 13 deals, while Zambia ranked third after securing $10.7 million, representing 10.47% of total funding from a single disclosed transaction.
- Egypt attracted $7 million, representing 6.85%, while Nigeria raised $4.9 million, accounting for 4.79% across six deals.
Other notable funding destinations included:
- Morocco secured $2 million (1.96%)
- Ghana attracted $0.8 million (0.78%)
- Tanzania raised $0.4 million (0.39%)
- Rwanda secured $0.3 million (0.29%)
- Tunisia and pan-African startups each accounted for $0.2 million (0.20%).
- The Democratic Republic of Congo recorded $0.1 million, representing 0.10%
- Ethiopia recorded one deal whose disclosed funding amounted to zero.
Fintech once again dominated Africa’s startup investment landscape, attracting $53.6 million, representing 52.45% of all disclosed funding across nine deals.
Energy & Water ranked second after raising $20.2 million, accounting for 19.77% of total funding from three deals, reflecting continued investors’ appetite for climate-focused infrastructure.
Other sectors trailed significantly:
- Retail startups secured $7.8 million (7.63%)
- Logistics & Transport attracted $6.4 million, representing 6.26% across five deals.
- Agriculture & Food raised $5.1 million, accounting for 4.99%
- Services with $3.2 million (3.13%)
- Education & Jobs at $2.1 million (2.05%)
- Healthcare with $1.8 million (1.76%)
- Deeptech at $1.3 million (1.27%).
- Waste Management attracted $0.7 million (0.68%)
- Telecom, Media & Entertainment recorded one deal without disclosed funding.
A closer look at funding structures reveals that Debt financing overwhelmingly dominated Africa’s funding landscape during July.
Debt deals accounted for $75.5 million, representing 73.87% of all disclosed funding across nine transactions, highlighting investors’ growing preference for structured financing amid tighter venture capital conditions.
Venture Rounds followed with $12.1 million, representing 11.84% across 20 deals.
Other deal types included:
- Seed funding contributed $4.3 million (4.21%).
- Series A funding accounted for $3 million (2.94%)
- Pre-Seed rounds attracted $2.5 million (2.45%)
- Series A Extensions contributed $2 million (1.96%)
- Pre-Series A funding accounted for $1.5 million (1.47%)
- Grants represented $1.3 million (1.27%).
Although three M&A transactions were recorded during the month, no funding values were disclosed and, consistent with Nairametrics methodology, such transactions are excluded from capital inflow analysis because they do not represent fresh investment into startup operations.
What you should know
July 2026 was one of the weakest recent months for African startup fundraising, with disclosed funding falling to $102.2 million, down 80.2% from June and 81.6% from July 2025.
Capital remained concentrated, with the top 10 deals accounting for 86.59% of disclosed funding, down from 94.4% in June 2026 and July 2025, suggesting a slightly broader spread across smaller startups.
Debt financing also dominated, accounting for nearly three-quarters of disclosed capital as founders sought non-dilutive funding and equity investors stayed selective. Fintech led funding, while clean energy maintained momentum on financial inclusion and climate resilience themes.
