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Top 5 African Cities With The Most Startups

Which cities are the Startup hubs in Africa? From Lagos to Cape Town, here are the rankings.
African cities with the most startups. Credit: istockphoto African cities with the most startups. Credit: istockphoto
African cities with the most startups. Credit: istockphoto

In the tech and business ecosystem, startups are essential; they signal innovation and bring the influx of investors into the city. Just like California’s Silicon Valley, where companies like Apple, Google, HP, and others are located, the presence of startups in a city is a harbinger of good things.

Africa was included in StartupBlink’s Global Startup Ecosystem Index 2025, which measures 1,400+ cities in more than 100 countries using three pillars: quantity, quality, and business environment. By examining these factors, the Index was able to identify cities in Africa where innovation is developing rapidly.

1. Lagos, Nigeria

Lagos has the most startups in Africa. Credit: Shutterstock

Lagos, which temporarily entered the global top 70 in 2024, drops six spots to 76th rank. Lagos has been Africa’s top-ranked ecosystem since 2021, despite this downturn. However, its growth rate is still among the lowest in the region, at less than 6%, indicating that there are significant obstacles to the growth of that ecosystem.

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2. Cairo, Egypt

Egypt has a lot of startups. Credit: CNN

Cairo moves up seven spots to rank 89th in the world, making its first appearance in the global top 90 and reaching its highest position ever. It has now shown upward progress for five years in a row. With a score more than seven times better than Casablanca’s, Cairo continues to lead North Africa and is ranked second in Africa.

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3. Nairobi, Kenya

African cities with the most start-ups
Nairobi, the capital city of Kenya, has a lot of startups. Credit: iStockphoto

Nairobi moves up six spots to 107th rank in the world, continuing its increasing trend for the third year in a row. It is the highest in the cluster of East African cities, with a score five times higher than Victoria (Seychelles).

Nairobi’s 22% growth rate keeps it among the continent’s most dynamic hubs, making it also responsible for practically all of Kenya’s ecosystem activity and positioning the city as a regional leader in innovation and investment.

4. Johannesburg, South Africa

African cities with the most startups. Credit: istockphoto
Capetown. Credit:iStockPhoto

Johannesburg has the highest growth rate in South Africa, with a growth rate of more than 42%, moving up 17 spots to the 122nd position worldwide. Johannesburg leads in South Africa with a decentralised ecosystem with a score that is only 1.1 times higher than Cape Town’s. Despite this, both cities rank among the top 50 globally in the payments sector.

5. Cape Town, South Africa

Cape Town is the fifth city with the most startups. Credit: iStockphoto

With a growth rate of slightly over 13%, Cape Town drops ten spots to 138th place (in the world). Despite this change, Cape Town is still a major hub for South Africa, especially when it comes to drawing both foreign investment and talent alike.  However, its standing in the national and international rankings has diminished due to slower growth.

Apart from these top five, other African countries with a sizable number of startups, respectively, are Accra, Ghana; Victoria, Seychelles; Kampala, Uganda; Casablanca, Morocco; and Tunis, Tunisia.

A robust startup ecosystem is beneficial for the economies of these cities, as it signals investment and a high talent pool, placing them on the radar of both foreign investors and job seekers.

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