A report released by Startup Genome, has revealed that Lagos state remains the regional leader in the Sub-Saharan startup ecosystem with a total valuation of $8.4 billion.
According to the policy and advisory firm, Lagos was closely followed by Nairobi and Cape Town with a total startups valuation of $7bn and $3bn respectively.
The report also stated that startups in Lagos raised around $820 million in early-stage funding which was the highest in the region.
In terms of the amount raised in funding, Lagos held its place in the range of 51 and 60 in the global emerging startup ecosystem ranking.
“OPay’s $400 million Series C in August 2021 was the region’s biggest deal, while Flutterwave’s $250 million Series D in February 2022 saw its valuation increase to over $3 billion.”
Findings from the report also show that Venture Capital (VC) funding in the region declined by 6 per cent from 2021 to 2022. Fintech was the region’s top-performing technology sector comprising 41 per cent of total startup deals between 2018 and 2022. Nairobi was reported to be the region’s biggest fintech hub.
Abuja- Nigeria’s capital city also registered its name in the report as it made it to the top five emerging tech startup ecosystems together with Kampala, Dar es Salaam, Dakar and Abidjan.