Article
Development funders, not VCs, back the most African startups
Germany's DEG was named on 109 African startup deals since 2024, mostly through grants, ahead of GIZ, Digital Africa and Launch Africa.
By Propel Africa · 2026-10-26
The firms that back the most African startups are development funders and seed investors, not venture capital firms, according to Propel Africa's records.
Germany's DEG was named on 109 deals in Propel Africa's records from January 2024 to August 2026, mostly through grant programmes. It was followed by GIZ with 61, Digital Africa with 52 and the seed fund Launch Africa with 49.
Many small cheques, a few large ones
Grant-makers, seed funds, angel investors and accelerators write many small cheques, so they top a ranking by number of deals. Venture capital firms back fewer companies with larger amounts, and usually lead from Series A onwards.
A newer group is also appearing: crypto-native investors, whose capital comes from crypto markets. Hashed Emergent and StarkWare led the pre-seed round of payments startup Paycrest in January, together with Microtraction.
Learn more
Who invests at which stage, and what does each kind of investor look for? Our guide to who's who among African investors covers ten kinds, from angels to sovereign funds, with typical cheque sizes and active examples.