Africa is accelerating its digital transformation in agriculture, with artificial intelligence, data analytics and digital innovation driving a growing wave of AgTech start-ups across the continent. Yet behind this momentum lies a persistent structural challenge: the ecosystem remains heavily dependent on international funding and unevenly developed support systems.
According to the report Unlocking the Data Ecosystem for African Startups, which examines eight key African markets, more than 100 investors have backed data and AI-driven AgTech start-ups over the past decade. However, around 70% of these investors are headquartered outside Africa, primarily in Europe and the United States. In several emerging markets, local investors account for less than 10% of total funding activity.
Kenya and South Africa lead regional investment activity
Kenya stands out as one of the continent’s most mature innovation ecosystems. International investors account for approximately 85% of funding for AI and data-driven AgTech start-ups in the country, underscoring the strong influence of external capital.
South Africa presents a more balanced picture, with a comparatively stronger presence of domestic investors. Even so, foreign capital still represents around 60% of the funding ecosystem.
