(Ecofin Agency) - Over the year 2019, Africa attracted a total of $1.3 billion in venture capital funds, WeeTracker said in its African Venture Capital Report 2019. Figures are up 84.6% compared to the $725.6 million recorded in 2018.
While the amount of investments increased, the number of transactions completed decreased from 458 in 2018 to 427 in 2019. Out of the 54 African countries covered by the report, Nigeria ranks first in terms of the overall amount of financing raised. Africa's largest economy raised $663.24 million in venture capital over the period reviewed. Kenya and South Africa closed the top 3, accounting for more than 75% of venture capital transactions in Africa.
Funds were raised from 203 investors in 2019. Technology companies in the financial services (fintech) sector raised the most financing during the year. WeeTracker experts forecasted that the African venture capital market is expected to remain robust in 2020 and will be driven by fintechs, with companies in the logistics, on-demand services and agriculture sectors.