Fintechs Investments Reach $1.2bn in Nigeria

According to recent data, Nigerian fintech companies raised $1.2 billion in venture capital funding in 2022, followed by Kenyan Fintech who raised $1.1 billion and Egypt with $820 million.

In Lagos alone, between 20,000 and 50,000 people are employed by various Start-ups across the innovation sector. In 2022, around 107 technological Start-ups obtained funding totaling $750 million.

One of the largest fintech companies in Africa, Interswitch, secured a $110 million deal in a joint venture deal with LeapFrog Investments and Tana Africa Capital to increase its presence with its digital payment services across Africa. These are just two of the Fintech companies in Nigeria that received significant funding in 2022. Flutterwave raised a $250 million Series D round, the largest funding announcement in 2022.

In order to expand across its current markets and enter new markets outside of Africa, Nigerian fintech startup TeamApt raised $50 million in a “pre-Series C round,” joining Moove, the Nigerian mobility fintech that is also Uber’s largest vehicle supply partner in Europe, the Middle East, and Africa.

In June 2022, Healthtracka raised $1.5 million and, in June 2022, Vendease, a Y Combinator-backed digital platform that enables African restaurants to purchase supplies, access financial services, and run their business operations, raised $20 million in Series A equity. Healthtracka now provides more than 1,000 tests per month in ten Nigerian cities.

Though the $1.2 billion in venture capital funding was excellent, it is a 21% year-over-year (YoY) reduction compared to the over $1.5 billion raised in 2021, especially in light of the worldwide economic downturn that caused venture funding to decline in practically every country.

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