iAfrica

Be Smart About South Africa

Focusing on Female Entrepreneurship in 2020

There are currently over 640 active technology hubs across the continent, and, according to Disrupt Africa, startups raised almost US$500 million in funding in 2019 – year-on-year growth of almost 50 percent. Topping the list are fintech startups, who raised $107.4 million in 2019 – enjoying 25 percent of all funding. Despite this momentum, however, there’s a concerning trend: globally, women-led startups only receive two percent of all venture capital (VC) funding – and the picture within enterprise tech is dimmer. Additionally, of all startups, only 22 percent are founded by at least one woman. Africa-specific data is lacking, but sources suggest only nine percent of startups have women-leaders, and female-led South African startups receive only 4.5 percent of all funding. Female-led startups are in short supply. And, where they are available, they often lack the investor backing to scale. The result is a significant loss of insight, perspectives, development, and solutions, which affects us all.Source: DISRUPT AFRICA

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