Q2 2026 Venture Capital in Africa Report

This series provides an exclusive look at the latest trends in African Venture Capital, offering insights into regional dynamics, sector-specific shifts, and the key areas driving investment across the continent during Q2 2026.

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Key Findings: 

• Fundraising Rebounded Ahead of Deployment: Final and interim closes reached US$558mn in H1 2026, surpassing full-year 2025 fundraising. Environment-focused impact capital accounted for 46% of commitments, while the return of US$100mn+ vehicles signalled a selective recovery in LP appetite.
• Deal Volume Fell as Megadeals Lifted Value: VC deal volume declined 24% YoY to 182 deals, the lowest H1 total since 2020. Funding rose 67% to US$2.0bn, although three megadeals accounted for close to two thirds of the total.
• Multi-Region Deals Dominated Funding: West Africa led deal activity with 31% of volume, while Multi-Region companies captured a record 72% of capital from just 13% of deals, reshaping Africa’s geographic funding map.

• Sector Leadership Shifted Beyond Financial Services: Business Products & Services captured 41% of funding despite contributing only 9% of deals, ending Financial Services decade-long lead. Consumer Goods & Services remained the most active sector, with 23% of deal volume.
• Trade Buyers Dominated a Slower Exit Market: Africa recorded 11 venture exits in H1 2026, half the total observed a year earlier. Trade sales accounted for 90% of disclosed exits, while overseas acquirers represented 80%.

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