Agence Ecofin TikTok Agence Ecofin Youtube Agence WhatsApp


Healthtech startups in Africa saw a 2% funding decline in 2023 (report)

Wednesday, 14 February 2024 14:27
Healthtech startups in Africa saw a 2% funding decline in 2023 (report)

(Ecofin Agency) - The healthtech industry in Africa showed resilience over the past year, only dipping 2% in funding. In contrast, the broader African tech world saw a substantial 39% decrease in fundraising.

Healthcare consulting firm Salient Advisory published a report on Monday providing an overview of fundraising activity in the sector in 2023. According to this document entitled "2023 Roundup: Investments in African Healthtech," startups operating in the industry in Africa secured a total funding of $167 million over the period, with the number of recorded transactions surging by 17% to 145 deals.

1 figure1

Despite a 15% reduction in the average transaction size, settling at $1.1 million per deal, the sector outperformed its tech counterparts. In detail, Salient Advisory noted that investors were more interested in online pharmacy solutions and electronic medical records. Online pharmacy solutions claimed the lion's share, capturing 38% of the total funds raised by African health startups in the past year, amounting to $63 million.

This dominance can be attributed to substantial Series B funding rounds secured by Kenyan startups Kasha ($21 million) and Mydawa ($20 million), along with Egyptian startup Yodawy ($16 million). Following closely were startups specializing in electronic medical record development, securing $32 million, and those involved in medical logistics, $28 million. 

2 figure2

Breaking down the funding distribution by country, Nigeria, Kenya, and Egypt captured 87% of the total, amounting to $146 million collectively.

3 figure3

Sponsored by the Bill and Melinda Gates Foundation, the report also highlights an astonishing 2,000% increase in investments in women-led healthtech startups in Africa. These investments soared from $2 million in 2022 to an impressive $52 million in 2023, driven by successful fundraising efforts by Kasha, Dawi Clinics, Chefaa, and Maisha Meds. 

1 fig4



Public Management

ECOFIN AGENCY offers a selection of articles translated from AGENCE ECOFIN. Founded in 2011, Agence Ecofin is a leader in Francophone Pan-African economic news, particularly in West and Central Africa. The agency publishes daily news on nine African economic sectors: Public Management, Finance, ICT, Agribusiness, Energy, Mining, Transport & Logistics, Communication, and Training.

Mediamania Sarl
Rue du Léman, 6
1201 Genève
Tél: +41 22 301 96 11


Benjamin FLAUX
Tél: +41 22 301 96 11
Mob: +41 78 699 13 72


Please publish modules in offcanvas position.