Africa's Unstoppable Entrepreneurial Rise: Opportunity, Visibility, and Community
By Zahra Baitie-Boateng, Managing Director, Africa - Africa's Business Heroes Initiative
In the past decade, Africa has witnessed a 20% surge in startups and enterprises. In 2021 alone, tech startups secured nearly US$2.15 billion in investment - a remarkable 206% increase from the previous year. The rise of seven African unicorns, especially in fintech and e-commerce, highlights Africa's growing impact on the global entrepreneurial and startup ecosystem.
This entrepreneurial boom is predominantly driven by Africa’s youth. This reflects the fact that Africa has the fastest-growing population globally, with 70% of sub-Saharan Africa under the age of 30 and a median age of just 19. This demographic dividend is a powerful catalyst for innovation and economic growth. This trend of young founders rings true at Africa’s Business Heroes – one of Africa’s largest and most inclusive entrepreneurial pitch competitions. The average age of the 2024 Top 50 finalists is only 36 years. Previous competitions have seen finalists as young as 21 leading large teams and successful businesses.
Women are also at the forefront of this entrepreneurial wave. African women have the highest rate of entrepreneurial activity globally, with sub-Saharan Africa leading at 26%. Countries like Botswana, South Africa, and Ghana are notable for their high share of women entrepreneurs; breaking barriers and contributing significantly to economic development.
The 2024 Africa's Business Heroes (ABH) competition exemplifies the spread of vibrant entrepreneurial spirit and growing participation across key demographics. This year's call for applications drew nearly 20,000 submissions from across the continent, with female applicants reaching 39%, up from the five-year average of 31%. Additionally, North African representation increased from 5% to 9%.
With the top 50 finalists now selected, there's a notable 40% female and 20% Francophone representation across 14 sectors in 18 countries. Agriculture leads, with significant entries in education and healthcare, reflecting the diversity and inclusivity of Africa's entrepreneurial landscape. Strong showings also come from financial services, logistics, manufacturing, technology, energy, and retail.
The diversity of the 2024 ABH Top50 finalists speaks to Africa’s increasing industrial diversity. For example, the fishing industry, which is represented in the 2024 ABH top 50 by Mathilda Amollo, Founder of Greatlakes Feed, Kenya, has seen significant growth, contributing 24% to Africa's GDP and employing 12 million people, the majority of whom are women. However, challenges such as opaque fishing practices and unregulated catches must be addressed to fully realize the potential of Africa’s blue economy.
Additionally, the financial sector, known for its exponential growth, is also undergoing a transformation. Liberalization and reforms have led to wider financial inclusion and improved business environments. Increasing collaboration with tech-driven businesses is further enhancing the sector's competitiveness and innovation.3 Thisector is also well represented in the 2024 ABH top 50 with Numida and Lami.
Agribusiness remains a cornerstone of economic prosperity and holds immense potential. Innovative agri-businesses - such as Congofresh Group, Noba Africa, Green Watech - represented in the top 50 cohort, are addressing challenges like agricultural productivity, supply chain management, and market access. They are driving rural development and contributing to national economies.
As Africa’s burden of non-communicable disease rises, a focus on health becomes critical. Thankfully, entrepreneurs like Adriaan Kruger of Nuvoteq, Rasha Rady of Chefaa, Henri Gueye of Eyone Medial and others, are rising to the challenge and health tech is emerging as a key sector in Africa. Across Africa, Founders are leveraging digital platforms to improve healthcare accessibility, affordability, and quality. This sector is transforming healthcare delivery, particularly in remote and underserved areas, by addressing critical challenges such as the shortage of healthcare providers and enhancing disease surveillance.
It is evident that Africa's dynamic population and increasingly diverse sectors position the continent as a formidable player on the global stage. Initiatives like ABH, with a sector-agnostic approach, not only support existing areas of growth but also create new avenues of opportunity. They build communities that facilitate growth, provide support and training, and offer an expansive perspective on what the continent's entrepreneurial ecosystem can achieve.
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