World
Some Reflections on Russia’s Economic Policy with Africa
By Kestér Kenn Klomegâh
During the September ceremony to receive foreign ambassadors, Russian leader Vladimir Putin offered spiteful goal-setting policy outlines and some aspects of lofty Russia’s economic policy directions for Africa. Most of these directions considered significant have, over these years, featured prominently in all his previous speeches on Russia’s relations with Africa.
On September 20, in the St Alexander Hall of the Grand Kremlin Palace, Putin received letters of credence from 24 newly-arrived ambassadors, including nine from Africa (Algeria, Egypt, DR Congo, Libya, Mali, Senegal, Sudan, Tanzania and Uganda). By tradition, Putin briefly characterised the relations between Russia and countries whose envoys came to the Kremlin ceremony.
In a grandiose style, Putin gave a line-up of cheerful-looking ambassadors a step-by-step account of the global situation, the necessity for Russia’s “special military operation” in neighbouring Ukraine, questions relating to regional security, and economic instability due to rising prices for energy and commodities. He underscored the development of multipolar and more democratic and fair world order had entered its active phase.
“Regrettably, the objective movement towards multipolarity has come up against resistance from those trying to preserve their dominant role in international affairs and to control everything – Latin America, Europe, Asia and Africa,” Putin said.
Referencing the current international situation with an emphasis on the critical regional problems of the African continent and the bilateral relations of African countries whose ambassadors were accredited to the Russian Federation, Putin stressed “the importance of the upcoming second Russia-Africa summit in St. Petersburg in 2023 for strengthening diverse relations between Russia and African countries.”
Putin further touched on Moscow’s efforts to restore its geopolitical foothold on the continent after the historical collapse of the Soviet era. While the summit is considered a significant development for Russia’s power-wielding ambitions, Putin strongly reminded African ambassadors that the second Russia-Africa summit is scheduled to be held in St Petersburg in 2023. “We hope that together we will be able to give a new impetus to the comprehensive development of mutually beneficial cooperation between Russia and the African states,” he said.
Significant to note here that at the far end of the first summit, Russia and Africa issued a joint declaration; among the questions was to hold the summit every three years. Both Russia and Africa could not hold the summit during its third year, and both Russia and Africa failed to choose the summit venue. While reasons were not assigned for this sharp inconsistency, policy experts suggested either the Central African Republic (CAR) or the Republic of Mali could hold the summit. CAR and Mali are “reliable Russia’s partners,” and holding the summit would have resonating effects.
During his speech, Putin invited the President of Algeria Abdelmadjid Tebboune, to visit Russia. Understandably, Algeria is Russia’s second-largest trading partner in Africa regarding trade volume. And trade and economic cooperation continue to develop actively, as well as ties in other areas, including military-technical and cultural ties. Reports say Russia supports Algeria’s balanced regional and international affairs policy and continues to work together towards strengthening stability in the Middle East, North Africa and the Sahara-Sahel region.
“We consistently build friendly relations with Egypt under the fundamental Agreement on Comprehensive Partnership and Strategic Cooperation signed in 2018. We view Egypt as one of our most important partners in Africa and the Arab world. We are in constant contact with President Sisi,” according to Putin.
The intergovernmental commission has been working, promoting trade growth, which increased by more than 40 per cent in the first six months of this year. Large joint projects are being implemented, such as constructing the El Dabaa nuclear power plant and creating a Russian industrial zone near the Suez Canal. There is a regular political dialogue and close foreign policy coordination. Within the general policy framework, Russia does not grant concessionary loans and has not publicly allocated a budget for Africa.
But in this exceptional case, Russia and Egypt signed an agreement, and the total cost of construction is fixed at $30 billion. Russia provides Egypt with a loan of $25 billion, which will cover 85% of the work. The Egyptian side will cover the remaining expenses by attracting private investors. Under the agreement, Egypt is to start payments on the loan, which was provided at 3% per annum, in October 2029.
Ambassador Harouna Samake (Republic of Mali) was among the envoys in the Kremlin and listened attentively as Putin welcomed the intention of the leadership of the Republic of Mali to form a long-term strategic partnership with Russia and develop mutually beneficial ties.
During a detailed telephone conversation in August with Interim President Assimi Goïta, Putin agreed to continue joint efforts in countering international terrorism and religious extremism. He further pledged that Russia would continue to provide the Malian people with comprehensive assistance and support in various ways.
The same diplomatic rhetoric praised Russia’s relations with Uganda, one of Russia’s reliable partners in Africa. The United Republic of Tanzania has listed promising spheres such as peaceful nuclear research, transport, energy and tourism. These spheres have been on Russia’s list for many other African countries.
Over the years, Russia has performed dismally in Africa’s transport and energy sector. In theory, it has expressed heightened interest in exploring and producing oil and gas in Africa. But so far, its investment efforts are not seen in the region. Russia claims the leading position as an energy supplier and is now rapidly diversifying its products at discounted prices to the Asian market. Therefore, it is logical that African leaders should not expect much from the Russian Federation in this oil and gas (energy) sector.
Currently, all African countries have a serious energy crisis. Over 620 million in Sub-Saharan Africa do not have electricity out of 1.3 billion people. In this context, several African countries are exploring nuclear energy as part of the solution. Three decades after the Soviet collapse, not a single nuclear plant has been completed in Africa.
Some still advocate for alternative energy supply. Gabby Asare Otchere-Darko, Founder and Executive Director of Danquah Institute, a non-profit organization that promotes policy initiatives and advocates for Africa’s development, wrote in an email that “Africa needs expertise and knowledge transfer that can assist Africa to develop its physical infrastructure, add value to two of its key resources: natural resources and human capital.”
Russia has respectable expertise in one key area for Africa: energy development. “But, has Russia the courage, for instance, to take on the stalled $8-$10 billion Inga-3 hydropower project on the Congo river? This is the kind of development project that can vividly send out a clear signal to African leaders and governments that Russia is, indeed, ready for business,” he said in an interview discussion.
The renewable energy potential is enormous in Africa, citing the Democratic Republic of Congo Grand Inga Dam. Grand Inga is the world’s largest proposed hydropower scheme. It is a grand vision to develop a continent-wide power system. Grand Inga-3 is expected to have an electricity-generating capacity of about 40,000 megawatts – nearly twice as much as the 20 largest nuclear power stations. The cost of building nuclear power does not make sense when compared to the cost of building renewables or other energy sources to solve energy shortages in Africa.
With high optimism and a high desire to strengthen its geopolitical influence, Russia has engaged in sloganism, and many of its signed agreements have not been implemented. The joint declaration adopted at the first summit is intended to raise the African agenda of Russia’s foreign policy to a new level and remains the main document determining the conceptual framework of Russian-African cooperation. Many remain as submit paperwork. China, Japan, India, the United States, the European Union and other players are progressively implementing their African strategies.
Over the years, Russia has shown high interest in Libya, whose ambassador, Emhemed Almaghrawi (State of Libya), was part of the Kremlin ceremony in September. Over the years, Russia has struggled to improve its bilateral political and economic dialogue and cooperation with that North African country. It has faced many pitfalls and obstacles, though.
“We attach great importance to relations with Libya and are interested in a fair and lasting settlement of the protracted internal conflict in that country. Russia will continue to support Libya’s sovereignty and territorial integrity and help the friendly Libyan people defend their right to a decent life, peace and security. As the internal situation in Libya stabilises, we look forward to resuming bilateral cooperation in various fields,” Putin said.
Russian Foreign Minister Sergey Lavrov condemned the Atlantic alliance when he spoke to students at the Moscow State Institute of International Relations in Moscow on September 1. Russia claims it lost billions of dollars in energy, defence, and infrastructure contracts it had negotiated with the removal of Col. Qaddafi. Russia’s state arms exporter lost an estimated $4 billion in Libyan contracts after the UN Security Council imposed an arms embargo on Libya.
Russian Railways had secured a $3 billion contract to build a high-speed rail link from Sirt to Benghazi. Many of these contracts were either signed in Qaddafi’s presence or were organized by him. Russia’s state news agency ITAR-TASS estimates that the country could lose as much as $10 billion in business if Libya’s new leadership challenges the legality of the existing contracts.
As Anna Borshchevskaya, an Ira Weiner Fellow at the Washington Institute for Near East Policy, observes that military has been part of the foreign policy of the Russian Federation, and Russian authorities have been strengthening military-technical cooperation with some African countries.
“A major driver for Moscow’s push into Africa is military cooperation more broadly. These often include officer training and the sale of military equipment, though the details are rarely publicly available,” she acknowledges, “and it will continue so in Russia’s relations with Africa.
Russia has made significant arms deals with Angola and Algeria. Reports show that Egypt, Uganda, Tanzania, Somalia, Mali, Sudan and Libya have also bought arms from Russia. Small countries such as Burundi, Botswana, and Rwanda, with distinctively impoverished populations and budgetary limitations, have signed agreements. Russia also provides military training and support; it has defence orders worth $14 billion from African countries.
According to Nezavisimaya Gazeta, quoting military experts, Russia has much to gain by promoting and attempting to dispose of its Soviet-era military equipment in Africa. After all, Russia is self-sufficient and has economic independence, so with enthusiasm, convincing African leaders to purchase fertilizers and grains, thereby pushing them towards depleting their hard-earned revenues. Without a doubt, African leaders endlessly boast of vast uncultivated lands.
During these months of the Russia-Ukraine crisis and sanctions from the United States, Europe and Pacific allies, Russian diplomacy has repeatedly stressed that Moscow is ready to export 30 million tons of grain and over 20 million tons of fertilizer by the end of 2022.
According to local Russian media reports, the Russian Agriculture Ministry’s Agroexport Federal Centre for Development of Agribusiness Exports, in close partnership collaboration with Trust Technologies and the business expert community, drew up a business plan for the development of exports for agricultural products (grain, dairy, meat and confectionery products) to promising markets of African countries.
The project’s goal is to prepare a practice-oriented model for increasing supplies and enhancing the competitiveness of Russian agricultural goods in the African market. The report says nine African countries have been chosen as target markets for the delivery of agricultural products. These are Angola, Cameroon, Ethiopia, Ghana, Kenya, Mauritius, Nigeria, Tunisia and South Africa.
That report explicitly notes African leaders’ readiness to spend state budgets on food imports; without a doubt, “food security” is the central theme for the 2023 Russia-Africa summit. These countries account for 40% of the continent’s population and one-third of all African imports of agricultural products; Russia estimates to earn some $33 billion from Africa.
In practical terms, a microscopic analysis of Russia’s economic presence gives many interpretations and contradictions. While currently, Russia seems to be soliciting the support of Africa to lead the emerging new world order, Russia still does not recognize that it needs to adopt more public outreach policies to win the minds and hearts of Africans. Its economic footprint on the continent is comparatively weak. Instead of addressing its own investment agenda, it has consistently criticised other foreign players, especially the United States and European countries, that are active in Africa.
Many Russian companies have abandoned their projects in Africa. The latest is the lucrative platinum project contract that was signed for $3 billion in September 2014, the platinum mine is located about 50 km northwest of Harare, the Zimbabwean capital. The Darwendale project involves a consortium of the Rostekhnologii State Corporation, Vneshekonombank and Vi Holding in a joint venture with some private Zimbabwe investors and the Zimbabwean government.
After widely campaigning for the construction of what was referred to as the “Southern Oil&Gas Pipelines” that was supposed to connect three or four southern African countries, Russia’s Rosneft finally abandoned the project. And similarly, State Nuclear Enterprise Rosatom never mentioned again the proposed nuclear plant construction signed by Jacob Zuma of South Africa.
Russia’s Lukoil undertook exploratory feasibility studies in Sierra Leone, Nigeria, Cameroon and Ghana, only to abandon these projects. Nigeria’s Ajeokuta Steel Plant project remains a dream project for Russians. Norilsk Nickel (Nornickel), the Russian mining giant, ceased operations in Botswana. It owned a stake in the Tati Nickel in Botswana, where production was expected to reach its highest level. It has previously given a positive assessment of the possibilities for developing its production assets in South Africa and many African countries. There is a long list of Russian companies that under-performed or performed badly and finally exited Africa.
Just a few weeks before his departure from Moscow, the Zimbabwean ambassador to the Russian Federation, Brigadier General Nicholas Mike Sango, told me in an interview discussion that several issues could strengthen the relationship. One important direction is economic cooperation. African diplomats have consistently been persuading Russia’s businesses to take advantage of the Africa Continental Free Trade Area (ACFTA) as an opportunity for Russian businesses to establish footprints on the continent. This view has not found favour with them, and it is hoped over time, it will.
Although the government has not pronounced incentives for businesses to set sights and venture into Africa, Russian businesses generally view Africa as too risky for their investment. He said that Russia needs to set footprints on the continent by exporting its competitive advantages in engineering and technological advancement to bridge the gap that is retarding Africa’s industrialization and development.
“Worse is that there are too many initiatives by too many quasi-state institutions promoting economic cooperation with Africa saying the same things in different ways, but doing nothing tangible,” he told me during the lengthy pre-departure interview. He served the Republic of Zimbabwe in the Russian Federation from July 2015 to August 2022. He previously held various high-level posts, such as military adviser in Zimbabwe’s Permanent Mission to the United Nations and as an international instructor in the Southern African Development Community (SADC).
There are several similar criticisms from former ambassadors. According to Mandisi Mpahlwa, former South African Ambassador, Sub-Saharan Africa has understandably been low on post-Soviet Russia’s list of priorities, given that Russia is not as dependent on Africa’s natural resources as other major economies. The reason: Soviet and African relations, anchored as they were on the fight to push back the frontiers of colonialism, did not necessarily translate into trade, investment and economic ties, which would have continued seamlessly with post-Soviet Russia.
“Russia’s objective of taking the bilateral relationship with Africa to the next level cannot be realized without a close partnership with the private sector. Africa and Russia are close politically but geographically distant, and the people-to-people ties are still underdeveloped. This translates into a low level of knowledge on both sides of what the other has to offer. There is perhaps also a fear of the unknown in both countries,” Mpahlawa said in an interview after completing his ambassadorial duty in the Russian Federation.
Russia has a lot of policy weaknesses in Africa. Reports indicated that more than 90 agreements were signed at the end of the first Russia-Africa summit. Thousands of bilateral agreements are still on the drawing board, and century-old promises and pledges for supporting sustainable development are authoritatively renewed with African countries. Like a polar deer waking up from its deep slumber, Russia is flashing its geopolitical headlights in all directions on Africa.
Russia’s Ministry of Foreign Affairs website indicates that there have been several top-level bilateral meetings, signing of MoUs and bilateral agreements during the past years. In November 2021, a policy document titled the ‘Situation Analytical Report’ presented at the premises of TASS News Agency was very critical of Russia’s current policy towards Africa.
While the number of high-level meetings has increased, the share of substantive issues and definitive results on the agenda remains small. It explicitly points out the inconsistent approach in dealing with Africa. Russia lacks public outreach policies for Africa. Apart from the absence of a public strategy for the continent, there is a lack of coordination among various state and para-state institutions working with Africa.
Ultimately, actions, not words, will determine if upcoming Russia -Africa Summit and the proposed Africa strategy will reset relations with the continent. The significant fact here is that little has been achieved since the first Russia-Africa summit held in October 2019. According to the Russian Foreign Ministry’s Ambassador-at-Large and head of the Secretariat of the Russia-Africa Partnership Forum, Oleg Ozerov, food security will be one of the top issues on the agenda of the second Russia-Africa Summit.
It is a fact that Russia’s ties with Africa declined with the collapse of the Soviet Union in 1991. In the aftermath of the Soviet Union, Russia continues efforts in search of possible collaboration and opportunities for cooperation in the past years. But most essentially, Russians must understand clearly that little has been achieved in Africa. Several bilateral agreements signed with individual countries are not implemented, while in the previous years, there has been an unprecedented huge number of “working visits” to Africa.
According to our research findings, in stark contrast to key global players, for instance, the United States, China, the European Union and many others, Russia’s policies have little impact on African development paradigms. Russia’s policies have often ignored Africa’s sustainable development questions. Experts have repeatedly suggested Russia adopt an Action Plan – a practical document that would fill cooperation with substance between summits. In conclusion, Russians must strongly remember that Africa’s roadmap is the African Union Agenda 2063.
World
Africa ‘Reawakening’ In Emerging Multipolar World
By Kestér Kenn Klomegâh
In this interview, Gustavo de Carvalho, Programme Head (Acting): African Governance and Diplomacy, South African Institute of International Affairs (SAIIA), discusses at length aspects of Africa’s developments in the context of shifting geopolitics, its relationships with external countries, and expected roles in the emerging multipolar world. Gustavo de Carvalho further underscores key issues related to transparency in agreements, financing initiatives, and current development priorities that are shaping Africa’s future. Here are the interview excerpts:
Is Africa undergoing the “second political re-awakening” and how would you explain Africans’ perceptions and attitudes toward the emerging multipolar world?
We should be careful not to overstate novelty. African states exercised real agency during the Cold War, too, from Bandung to the Non-Aligned Movement. What has actually shifted is the structure of the international system around the continent. The unipolar moment has faded, the menu of partners has widened, and a generation of policymakers under fifty operates without the inhibitions of either the Cold War or the immediate post-Cold War period. African publics, however, are more pragmatic than multipolar rhetoric assumes. Afrobarometer’s surveys across more than thirty countries consistently show citizens evaluating external partners on tangible outcomes such as infrastructure, jobs and security, rather than on civilisational narratives. China is generally associated with positive economic influence, the United States retains the strongest pull as a development model, and Russia, despite a louder political profile, registers a smaller and more geographically concentrated footprint. Multipolarity is not a destination Africans are arriving at. It is a working environment that creates more options and more risks at once.
Do you think it is appropriate to use the term “neo-colonialism” referring to activities of foreign players in Africa? By the way, who are the neo-colonisers in your view?
The term has analytical value when used carefully, and loses it when deployed selectively against whichever power one wishes to embarrass. Nkrumah’s 1965 formulation was precise: political independence accompanied by continued external control over economic and political life. The honest test is whether contemporary patterns reproduce that asymmetry, irrespective of the capital from which they originate. The structural picture is well documented. Africa still exports primary commodities and imports manufactured goods. Intra-African trade hovers around fifteen per cent of total trade, well below Asian or European levels. African sovereigns pay a measurable risk premium on debt that exceeds what fundamentals alone justify. Applied consistently, the lens directs attention to opaque resource-for-infrastructure contracts, security-for-mineral bargains, debt agreements with confidentiality clauses, and aid architectures that bypass African institutions. That description fits legacy French commercial arrangements in francophone Africa, Chinese mining concessions in the DRC, Russian-linked gold extraction in the Central African Republic and Sudan, Gulf-backed port and farmland deals along the Red Sea, and Western corporate practices that have not always met the standards their governments preach. Naming a single neo-coloniser tells us more about the speaker’s politics than about the structure.
How would you interpret the current engagement of foreign players in Africa? Do you also think there is geopolitical competition and rivalry among them?
Competition is real and intensifying, and the proliferation of Africa-plus-one summits is the clearest indicator. Russia has held two summits, in Sochi in 2019 and St Petersburg in 2023. The EU, Turkey, Japan, India, the United States, South Korea, Saudi Arabia and the UAE all host their own variants. Trade figures give a more honest sense of weight than diplomatic theatre. China-Africa trade reached around 280 billion dollars in 2023, United States-Africa trade sits in the 60 to 70 billion range, and Russia-Africa trade is roughly 24 billion, heavily concentrated in grain, fertiliser and arms. Describing the continent as a chessboard, however, understates how African states themselves are shaping these dynamics, sometimes through skilful diversification and sometimes through security bargains that entail longer-term costs. The Sahel illustrates the latter starkly. Between 2020 and 2023, Mali, Burkina Faso and Niger expelled French forces, downgraded their relationships with ECOWAS and the UN stabilisation mission, and welcomed Russian security contractors. ACLED data shows civilian fatalities from political violence rising rather than falling across the same period. Substituting providers without strengthening domestic institutions does not produce sovereignty. It changes the terms of dependence.
Do you think much depends on African leaders and their people (African solutions to African problems) to work toward long-term, sustainable development?
The principle is correct, and it is regularly weaponised in two unhelpful directions. External actors invoke it to justify withdrawing from responsibilities they continue to hold, particularly over financial flows and arms transfers that pass through their own jurisdictions. Some African leaders invoke it to deflect legitimate scrutiny of governance failings, repression or corruption. Genuine African agency requires more than rhetoric. The AU’s operating budget remains modest in absolute terms, and external partners still cover a significant share of programmatic activities, which shapes what gets funded. The African Standby Force, conceived in 2003, remains only partially operational more than two decades on. The African Continental Free Trade Area, in force since 2021, has rolled out more slowly than drafters hoped because the political will to lower national barriers lags the speeches. Long-term development depends on African leaders financing more of their own security and development priorities, on publics holding them accountable, and on a clearer-eyed view of what foreign forces can deliver. Whether the actors are Russian-linked contractors in the Sahel and Central African Republic, Western counter-terrorism deployments, or others, external security providers tend to address symptoms while leaving the political and economic drivers of insecurity intact.
Often described as a continent with huge, untapped natural resources and large human capital (1.5 billion), what then specifically do African leaders expect from Europe, China, Russia and the United States?
Expectations differ across the three relationships, and that differentiation is itself a marker of agency. From China, leaders expect infrastructure financing, sustained commodity demand, and a partnership that does not condition itself on domestic governance reforms. FOCAC commitments have delivered visible results in ports, railways and power generation, though Beijing itself has shifted toward smaller, more selective lending since around 2018. From Russia, expectations are narrower because the economic footprint is. Moscow’s offer is political backing in multilateral forums, arms transfers, grain and fertiliser supply, civilian nuclear cooperation in a handful of cases, and security partnerships, including those involving private military formations. The record of those security arrangements in the Central African Republic, Mali, Sudan and Mozambique deserves a sober assessment on its own terms, because the human and political costs are documented and uneven. From the United States, leaders look for market access through instruments such as AGOA, whose post-2025 future has generated significant uncertainty, alongside private capital, technology partnerships and a posture that treats the continent as more than a counter-terrorism theatre. The priorities across all three relationships are essentially the same: transparency in the terms of agreements, arrangements that preserve future policy space, and partnerships that build domestic productive capacity rather than substitute for it. The continent’s leverage in this multipolar moment is real, but it is not permanent. It will be squandered if used to rotate among external dependencies rather than reduce them.
World
Africa Startup Deals Activity Rebound, Funding Lags at $110m in April 2026
By Adedapo Adesanya
Africa’s startup ecosystem showed tentative signs of recovery in April 2026, with deal activity picking up after a subdued March, though funding volumes remained weak by recent standards, Business Post gathered from the latest data by Africa: The Big Deal.
In the review month, a total of 32 startups across the continent announced funding rounds of at least $100,000, raising a combined $110 million through a mix of equity, debt and grant deals, excluding exits. The figure represents a notable rebound from the 22 deals recorded in March, suggesting renewed investor engagement after a slow start to the second quarter.
However, the recovery in deal count did not translate into stronger capital inflows. April’s $110 million total marks the lowest monthly funding volume since March 2025, when startups raised $52 million, and falls significantly short of the previous 12-month average of $275 million per month.
The data highlights a growing divergence between investor activity and cheque sizes, with more deals being completed but at smaller ticket values.
The data showed that, despite this, looking at the numbers on a month-to-month basis does not tell the whole story of venture funding cycles as a broader 12-month rolling view presents a more stable picture of Africa’s startup ecosystem.
Based on this, over the 12 months to April 2026 (May 2025–April 2026), startups across the continent raised a total of $3.1 billion, excluding exits – largely in line with the range observed since August 2025. The figure has hovered around $3.1 billion, with only marginal deviations of about $90 million, indicating relative stability despite recent monthly dips.
A closer breakdown shows that equity financing accounted for $1.7 billion of the total, while debt funding contributed $1.4 billion, alongside approximately $30 million in grants. This composition underscores the growing role of debt in sustaining overall funding levels.
The data suggests that while headline monthly figures may point to short-term weakness, the broader funding environment remains resilient, supported in large part by continued activity in debt financing, even as equity investments show signs of moderation.
The report said if April’s total amount was lower than March’s overall, it was higher on equity: $74 million came as equity and $36 million as debt, while March had been overwhelmingly debt-led ($55 million equity, $96 million debt).
In the review month, the deals announced include Egyptian fintech Lucky raising a $23 million Series B, while Gozem ($15.2 million debt) and Victory Farms ($15 milliomn debt) did most of the heavy lifting on the debt side. Ethiopia-based electric mobility start-up Dodai announced $13m ($8m Series A + $5m debt).
April also saw two exits as Nigeria’s Bread Africa was acquired by SMC DAO as consolidation continues in the country’s digital asset sector, and Egypt’s waste recycling start-up Cyclex was acquired by Saudi-Egyptian investment firm Edafa Venture.
Year-to-Date (January to April), startups on the continent have raised a total of $708 million across 124 deals of at least $100,000, excluding exits. The funding mix was almost evenly split, with $364 million in equity (51.4 per cent) and $340 million in debt (48.0 per cent), alongside a small contribution from grants (0.6 per cent). This is an early sign that funding startups is taking a different shape compared to what the ecosystem witnessed in 2025.
For instance, in the first four months of last year, startups raised a higher $813 million across a significantly larger 180 deals. More notably, last year’s funding was heavily skewed toward equity, which accounted for $652 million (80.1 per cent) compared to just $138 million in debt (16.9 per cent).
The year-on-year comparison points to two clear trends: a contraction in deal activity as evidenced by a 31 per cent drop, and a 13 per cent decline in total funding. At the same time, the composition of capital has shifted meaningfully, with debt now playing a much larger role in sustaining funding volumes.
World
Nigeria Summons South Africa Envoy Over Xenophobic Attacks
By Adedapo Adesanya
Nigeria’s Ministry of Foreign Affairs has summoned South Africa’s Acting High Commissioner to complain about xenophobic attacks against its citizens, weeks after a similar complaint was lodged by Ghana.
The ministry called the meeting to convey “profound concern regarding recent events that have the potential to impact the established cordial relations between Nigeria and South Africa,” it said in a statement posted on X on Monday.
It noted that the country is aware of the growing discontent among Nigerians concerning the treatment of their nationals in South Africa, but implored calm while it plans to repatriate those willing to return home voluntarily, amid growing fears that recent attacks on foreigners there could escalate.
Foreign Minister, Mrs Bianca Odumegwu-Ojukwu, said 130 applicants had already registered for the exercise, adding that the number was expected to rise.
She expressed President Bola Tinubu’s concern about the attacks in the southern African nation, and condemned the violence against foreign nationals and demonstrations characterised by “xenophobic rhetoric, hate speeches and incendiary anti-migrant statements”.
“Nigerian lives and businesses in South Africa must not continue to be put at risk, and we remain committed to working to explore with South Africa ways to put an end to this,” she said.
She cited the killing of two Nigerians in separate incidents involving local security personnel, insisting that her government was demanding justice.
She said the Nigerian president’s priority was for the safety of citizens and “consequently, arrangements are currently underway to collate details of Nigerians in South Africa for voluntary repatriation flights for those seeking assistance to return home”.
According to reports, four Ethiopian nationals have also been killed in recent weeks, while there have been attacks on citizens of other African countries.
South African President Cyril Ramaphosa has condemned the attacks but also cautioned foreigners to respect local laws.
He used his Freedom Day address last week – marking the country’s first democratic elections in 1994 – to remind South Africans of the support other African nations had given in the struggle against the racist system of apartheid.
However, anti-immigrant groups in South Africa have accused foreigners of being in the country illegally, taking jobs from locals and having links to crime, especially drug trafficking.
They have also reportedly been stopping people outside hospitals and schools, demanding to see their identity papers.
Last month, Ghana summoned South Africa’s top envoy after a video was widely shared showing a Ghanaian man being challenged to prove he had the correct immigration papers.
Anti-immigrant sentiment rose earlier this year after reports that the head of the Nigerian community in the port city of KuGompo (formerly East London) had been installed in a traditional role often translated as “king”. Some South Africans in the local area saw this as an attempt to grab political power and kicked against it.
South Africa is home to about 2.4 million migrants, just less than 4 per cent of the population, according to official figures. However, many more are thought to be in the country without official authorisation. Most come from neighbouring countries such as Lesotho, Zimbabwe and Mozambique, which have a history of providing migrant labour to their wealthy neighbour.
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