Report reveals Kenya’s progress in startups funding

A new report has highlighted Kenya’s impressive progress in startup funding, showing that the country continues to attract significant investment across key sectors. In June 2025 alone, Kenyan startups raised more than $92 million, a record-breaking achievement that underscores the nation’s position as one of Africa’s leading innovation hubs. The report emphasizes that fintech, clean energy, mobility, and e-commerce are the primary drivers of this growth, reflecting investor confidence in Kenya’s entrepreneurial ecosystem.
The findings spotlight major deals such as BURN Manufacturing, which secured $80 million from the Trade and Development Bank Group (TDB) to expand clean cooking solutions across Mozambique, Zambia, and the Democratic Republic of Congo. Another standout was Peach Cars, which raised $11 million in Series A funding to scale its online vehicle marketplace. These successes demonstrate how Kenyan startups are leveraging funding to tackle local challenges while expanding their reach across the continent.
Government policy has played a pivotal role in enabling this progress. The Kenya Startup Bill (2025) provides a legal framework to streamline registration, offer tax incentives, and create a more supportive environment for entrepreneurs. Alongside the Digital Economy Blueprint 2025, the government is building a robust ecosystem where startups can thrive. Tech hubs in Nairobi, Mombasa, and Kisumu are complementing these efforts by offering mentorship, incubation, and access to investors, ensuring that startups nationwide benefit from the funding wave.
Looking ahead, experts believe Kenya’s progress in startup funding will accelerate job creation, attract foreign investment, and reinforce the country’s role as East Africa’s innovation capital. With a youthful population and expanding digital infrastructure, Kenya’s startup ecosystem is not only reshaping its own economy but also setting the pace for Africa’s digital transformation.