AYEESHA BAL-WUNTI – According to TechCabal Insights’ State of Tech in Africa 2025, the top 50 startups accounted for $2.69 billion of that funding, about 79% of the total.
Fintech alone attracted $1.37 billion, more than the next five sectors combined. At the same time, the number of deals fell to 502, compared with 546 in 2024 and 941 in 2022.
So the market raised more money, but fewer companies got it. The last few years have taught investors a lot.
We have seen companies raise large rounds, expand quickly and then struggle when the next round took longer than expected. Some had to cut costs, some changed their business models, some were acquired and some didn’t survive.
Once you have seen that happen a few times, you naturally become more careful about where the next cheque goes.
There is nothing wrong with wanting proof. You want to know that customers are paying, that the revenue is real, that the business can survive a difficult period and that the team knows what to do when things don’t go according to plan.
But I sometimes wonder if we can become too comfortable with proof.
By the time a company has shown enough traction to make everyone comfortable, it is usually no longer difficult to understand. The market has been validated, the numbers are there and other investors have noticed it too.
Suddenly, ten funds are looking at the same company. Meanwhile, there are founders building businesses that don’t fit neatly into categories investors already understand.
They may be too early for the numbers to tell the full story. Their market may still be developing. Their business model may require a little more imagination.
Some of those companies will fail. But some of them will eventually become the companies everyone wishes they had backed earlier.
That is the part of venture capital I find interesting. You need enough discipline to know when a company is not ready, but you also need enough conviction to invest before everything is obvious.
If we all wait for the same signals, we may end up backing the same companies at the same time. And then we have to ask ourselves whether we are really discovering opportunities or simply following where the evidence has already taken everyone else.
About Ayeesha Bal-Wunti
Ayeesha Bal-Wunti is an impact-driven investor and executive with expertise in green energy chemistry, venture capital, and fund management.
She leads Pennington Promise Capital’s transition into a regulated investment manager expanding capital access for women, entrepreneurs, and underserved communities.
Her experience spans venture development, governance, and institutional diligence, alongside advisory and non-executive board roles.
She focuses on education, representation, and investing in African-founded ventures, particularly women-led businesses and underserved regions.
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