Africa’s startup ecosystem is evolving rapidly. While global venture capital flows have slowed and risk appetite remains subdued, angel investors, often the earliest and boldest supporters of innovation, continue to play a pivotal role in keeping young African companies alive and growing. The 2024 African Business Angel Network African Angel Investment Survey shows that the continent’s angels are more globally connected, professionally experienced, and impact-driven than ever before.

The survey paints a picture of a maturing and increasingly diverse investor base. Most angels, 62%, are aged between 36 and 53, with an average age of 43. A younger cohort is emerging, with 21% of investors between 18 and 35 years old. Although men still make up the majority, at 62%, female participation is growing, particularly among those aged 40 to 49, where women now account for nearly half. Nearly seven in ten hold advanced degrees, and 62% studied outside Africa, bringing strong international exposure to the continent’s early-stage investment scene. These investors include entrepreneurs, C-suite executives, and professionals from investment or finance backgrounds. Geographically, South Africa, Nigeria, and Kenya remain the leading hubs, but regional investment is more balanced, with West Africa, Southern Africa, and East Africa each accounting for around a quarter of all activity.

Despite global uncertainty, 72% of surveyed angels made at least one investment in the past year. Most investment cheques, 77% between 2022 and 2024, were below US$25,000, reflecting both caution and inclusivity, with more investors participating but at smaller ticket sizes. Investors are also becoming more structured in their approach. Around half now use equity instruments such as SAFEs, while others opt for convertible debt or hybrid models. Perhaps the most significant change is the rise of syndicated investing. Nearly half of angels now invest through syndicates, with only a quarter continuing to invest independently. Pooling capital allows angels to diversify risk and participate in larger, more credible deals.

Technology remains the primary focus of investment, but diversification is accelerating. Tech-led ventures, including software, fintech, and e-commerce, still attract the largest share of deals, but agritech and climate-tech are growing rapidly in response to demand for sustainable food systems and resilience solutions. Health-tech continues to expand following the pandemic, while ventures focused on youth and women are becoming increasingly attractive. Cross-border activity is also on the rise, with almost half of angels investing in startups outside their home markets, reflecting a Pan-African investment mindset driven by opportunity rather than geography.

For most African angels, investing is about more than financial return. The primary motivations are job creation and poverty reduction, followed by youth and women’s empowerment and climate impact. This aligns closely with national and regional development goals and highlights a purpose-driven investor class. In addition to capital, many angels provide mentorship, governance advice, access to networks, and guidance on follow-on funding, often adding more value than the money itself.

Angel networks are also on the rise. Africa now counts more than 110 active networks, a 27% increase since 2022. These networks improve the quality of deal flow, investor education, co-investment opportunities, and due diligence standards, creating a more professional and institutionalised early-stage investment environment.

Despite this progress, challenges remain. Limited exit pathways, small cheque sizes, inconsistent data transparency, and fragmented regulatory frameworks continue to constrain investment. Liquidity challenges and insufficient follow-on funding dampen growth prospects for both startups and investors.

For founders, the implications are clear. Angels are most attracted to scalable, revenue-positive ventures with clear governance and demonstrable impact. Startups that can operate across borders are increasingly appealing. For investors, syndicates and collective investment models represent the biggest growth opportunity. As data quality improves, cheque sizes are likely to increase. Ecosystem builders benefit from investment-readiness programmes, which are proving effective and could expand further. Greater regulatory harmonisation across regions or continent-wide could unlock larger capital flows and foster collaboration between angels and venture capital.

The 2024 ABAN survey sends a strong message: despite global headwinds, Africa’s angel investors are not retreating. They are becoming more organised, collaborative, and focused on impact. With growing networks, cross-border deals, and more professionalised structures, angel investors are cementing their role as catalysts of Africa’s innovation economy. As education, syndication, and policy alignment advance, Africa’s early-stage investment landscape is poised for a new era of resilient and inclusive growth.