Despite the increasing global emphasis on gender diversity in the technology and investment sectors, Africa’s tech ecosystem continues to struggle with a significant underrepresentation of women-led ventures. Recent reports reveal that female entrepreneurs face daunting challenges in securing funding, with their male counterparts dominating the landscape.
According to a report from Briter Bridges, only 10 percent of funded startups in Nigeria from 2019 to 2023 were female-founded, accounting for just 0.7 percent of the country’s total deal volume of $600 million. This stark disparity highlights not only the gender-specific funding barriers but also broader structural challenges faced by female entrepreneurs across the continent.
Further insights from Africa: The Big Deal, a platform that tracks investments in African startups, indicate that only three female-led startups—Nigeria’s Kobo360 and Sabi, along with South Africa’s Cape Bio Pharms—made it to the top 100 fundraisers in Africa. Kobo360, led by CEO Cikü Mugambi, ranked 33rd, while Sabi, co-founded and led by Anu Adasolum, secured the 40th position. Cape Bio Pharms, headed by Belinda Shaw, ranked 44th. These examples underscore the challenging landscape female-led startups navigate to secure significant funding.
While these ventures have achieved impressive funding milestones, their successes starkly contrast with the continent’s top fundraisers, all of which are led by men, each raising over $100 million in recent years. This disparity points to deep-rooted gender biases and industry practices that consistently marginalize female entrepreneurs.
Notably, Gro Intelligence, a prominent female-led deep-tech startup co-founded by Sara Menker, raised $85 million in 2021. However, Menker’s departure in early 2024, coupled with the company’s financial difficulties, highlights the volatility and limited support for women-led tech ventures at high levels of growth.
The Beyond the Noise report from Briter Bridges, which analyzed 176 startups across Nigeria, Kenya, and South Africa, emphasizes regional funding gaps for women-led ventures. Although Nigeria boasts the continent’s largest startup ecosystem, only 10 percent of its funded startups were female-founded, trailing behind Kenya’s 19 percent and South Africa’s 12 percent. These trends reflect cultural and structural barriers, including limited access to capital, traditional gender expectations, and inadequate representation in high-growth sectors like fintech and climate tech.
Conclusion
The gender disparity in funding for African tech startups highlights an urgent need for systemic change. Addressing these issues requires a collective effort from investors, policymakers, and industry leaders to create a more inclusive environment that supports and empowers female entrepreneurs. By fostering diversity in funding and leadership, the tech ecosystem can unlock the full potential of Africa’s diverse talent pool, ultimately driving innovation and economic growth across the continent.
