African startups raised a total of $174 million in January 2026, marking a fourth consecutive year of tighter funding as investors concentrate capital on fewer, larger deals.
According to Africa: The Big Deal, a platform that tracks disclosed startup funding deals, the January total represents a notable decline from the $276 million raised during the same month in 2025.
However, analysts say the data still signals resilience compared with earlier downturns.
Egypt-based fintech valU emerged as the top fundraiser, securing $64 million in debt financing from the National Bank of Egypt.
Nigeria’s mobility financing startup MAX followed, raising $24 million through a blend of equity and asset-backed debt.
Other notable raises included $20 million by Egyptian fintech NowPay, a $15 million Series A for Moroccan proptech startup Yakeey, and $3.5 million in seed funding for Côte d’Ivoire-based fintech Cauridor.
The reduced deal count highlights investor preference for fewer transactions, often involving later-stage companies with clearer paths to scale and profitability.
Only 26 startups announced funding rounds of at least $100,000 during the month, just over half of the recent monthly average.
January also saw significant merger and acquisition activity, including Flutterwave’s acquisition of Nigerian open banking platform Mono in an all-stock deal valued at approximately $30 million.
