Nigeria has successfully retained its 64th position on the global startup index, even as investment in the African ecosystem saw a significant drop.
The country’s funding fell from approximately $800 million in 2022 to $200 million in 2023.
Despite the decline, Lagos has made remarkable progress, jumping 12 places to solidify its spot among the world’s top 100 startup cities.
According to StartupBlink, a global startup map and research centre that covers 1,000 cities in 100 countries, Lagos leads other West African cities and is one of only two African cities in the global top 100.
In 2023, Nigeria slipped two spots to 64th place and ranked fourth in Africa, maintaining its global position from the previous year. The country now has six cities in the global top 1,000, with Kano joining the index this year.
Lagos is the strongest startup ecosystem in Nigeria, boasting a score more than 15 times greater than Abuja, the second-ranked city. It excels in the Consumer Goods industry, ranking first in Africa for this sector.
Nigeria tops Africa’s unicorn charts, with companies such as Flutterwave and OPay expanding rapidly across the region. Lagos remains the country’s leading startup hub.
The Nigerian Startup Act aims to empower entrepreneurship through a legal and institutional framework for startup development. Other initiatives, such as the Startup Nigeria incubator and the Co-Creation Hub, continue to foster the entrepreneurial spirit.
Additionally, support organizations like Lagos Angel Network, Growth Capital Fund, Ventures Platform, and Greenhouse Capital provide crucial funding.
Despite the success stories, Nigeria’s tech ecosystem faces significant infrastructure deficits and limited governmental support.
Startup Genome reported that Lagos’s technology ecosystem was valued at approximately $8.4 billion in 2022.
”Lagos is an established and fast-growing tech hub, home to more than 400 startups, which constitute 88% of Nigeria’s total,” the report noted.
In a related development, a Memorandum of Understanding has been signed by the Federal Government, through the National Information Technology Development Agency, to hold GITEX, the largest technology exhibition in the world, for the first time in 2025, in Nigeria.
Trixie LohMirmand, CEO of KAOUN International, organisers of GITEX, confirmed the partnership in a statement
GITEX Africa brings together a wide range of ICT companies and startups, as well as over 350 well-known investors, 600 conference speakers, and 100 government agencies.
