Investors in African startups are increasingly optimistic about a resurgence in dealmaking as economic stability improves in key venture capital destinations like Nigeria. After a significant decline in funding in the past two years, signs of recovery are emerging. In the first half of this year, investments in African startups totaled $780 million, down 60% from the same period last year. However, macroeconomic stability and potential rate cuts by the US Federal Reserve could boost the funding ecosystem. Notable investors like LoftyInc Capital and Norrsken22 are seeing more fundraising deals, with Norrsken22 participating in a $40 million raise by Tanzanian startup Nala. The optimism is also reflected in the launch of new funds like Innovate Africa, which aims to invest in early-stage startups tackling significant problems.
SOURCE: SEMAFOR
