mwathadan
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- Dec 1, 2016
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Kenya accounted for the second largest volume of venture capital deals in Africa after South Africa between 2015 and 2019, helped by its position as the eastern Africa regional economic hub.
A report by the African Private Equity and Venture Capital Association (AVCA) on VC deals for the period shows that Kenya accounted for 18 percent of the $3.9 billion (Sh415.4 billion) total VC deals in the five-year period, translating to about $702 million (Sh74.8 billion).
South Africa led the continent at 21 percent and Nigeria was third at 14 percent, with the top three countries enjoying the advantage of being the financial centres of the respective regions.
Many firms looking to invest in the region base themselves in Nairobi, taking advantage of the city’s transportation links to global peers, lack of foreign exchange controls and an educated labour force.
“In terms of countries, South Africa, Kenya and Nigeria have attracted the bulk of VC investments between 2014 and 2019, reflecting similar patterns to PE activity on the continent,” said AVCA in its inaugural report on venture capital.
A report by the African Private Equity and Venture Capital Association (AVCA) on VC deals for the period shows that Kenya accounted for 18 percent of the $3.9 billion (Sh415.4 billion) total VC deals in the five-year period, translating to about $702 million (Sh74.8 billion).
South Africa led the continent at 21 percent and Nigeria was third at 14 percent, with the top three countries enjoying the advantage of being the financial centres of the respective regions.
Many firms looking to invest in the region base themselves in Nairobi, taking advantage of the city’s transportation links to global peers, lack of foreign exchange controls and an educated labour force.
“In terms of countries, South Africa, Kenya and Nigeria have attracted the bulk of VC investments between 2014 and 2019, reflecting similar patterns to PE activity on the continent,” said AVCA in its inaugural report on venture capital.