The Rise of African Unicorns: A Glimpse into the Continent’s Startup Landscape
Africa, a continent rich in diversity and innovation, has been making strides in the global startup ecosystem. Despite accounting for only about 1% of the world’s unicorns—private companies valued at over $1 billion—there’s a palpable surge in fintech innovation and a burgeoning startup scene. Nigeria, in particular, is leading this charge, showcasing a growing number of billion-dollar startups.
Understanding Unicorns
A unicorn is defined as a startup that reaches a valuation of $1 billion or more. These companies are often characterized by their innovative approaches and market-disruptive technologies. Globally, there are approximately 1,200 to 1,500 unicorns, with Africa contributing a modest fraction. Historically, the continent has had around seven unicorns, but this number has recently increased to eight or nine, representing roughly 0.5% to 1% of the global total.
Nigeria: The Continent’s Unicorn Leader
Nigeria stands out as the powerhouse of Africa’s unicorns, boasting a vibrant startup ecosystem with over 21,300 startups. However, only four have achieved unicorn status, with the latest addition being Maser, which joined the ranks on June 1, 2022. Despite the impressive number of startups, the journey to unicorn status remains challenging, as evidenced by the lack of new unicorns emerging from Nigeria in 2025.
In terms of global rankings, Nigeria holds the 29th position for total unicorns created, trailing behind countries like Luxembourg and Italy, both of which have four unicorns each. Lagos is the epicenter of Nigeria’s unicorn activity, home to three of these billion-dollar companies, while Port Harcourt contributes one.
Sector Breakdown of Nigerian Unicorns
Among the sectors driving Nigeria’s unicorn growth, retail and fintech are at the forefront, each contributing three unicorns. Enterprise applications follow closely with two. This sectoral distribution highlights the increasing reliance on digital solutions in everyday transactions and business operations.
Notable African Unicorns
Moniepoint (formerly TeamApt) – Nigeria
Founded in 2015, Moniepoint achieved unicorn status in October 2024 after securing a $110 million funding round led by DPI and Google’s Africa Investment Fund. Initially focused on providing infrastructure and payment solutions for banks, Moniepoint now serves businesses and individuals alike, processing over 800 million transactions monthly with a total value of approximately $17 billion. The firm is expanding its footprint across Africa, having recently acquired a microfinance bank in Kenya.
Flutterwave – Nigeria/Pan Africa
Flutterwave became a unicorn in 2021, with its valuation soaring to over $3 billion following a successful Series D funding round. Established in 2016, the company offers payment infrastructure for both online and offline transactions across multiple African nations, facilitating cross-border payment flows and supporting merchants.
OPay – Nigeria
Another notable unicorn, OPay, reached its billion-dollar valuation in 2021 during its Series C funding round, valued at around $2 billion. The company provides a range of services, including mobile payments, loans, and bill payments, operating across several African countries.
Wave – Senegal
Wave, a unicorn since 2021, focuses on low-cost mobile money services aimed at enhancing financial inclusion in Francophone Africa. The company achieved its unicorn status through a $200 million Series A funding round, with a valuation of approximately $1.7 billion.
Andela – Nigeria/US
Andela, which identifies and trains African software developers for global companies, reached unicorn status in September 2021 with a valuation of around $1.5 billion. The company has evolved its model over time, expanding into a broader marketplace.
Interswitch – Nigeria
Interswitch became a unicorn in 2019, following a significant investment from Visa, which valued the company at approximately $1 billion. It provides essential payment solutions, banking software, and card services across various African nations.
Chipper Cash – Ghana/Uganda/US
Chipper Cash achieved unicorn status in 2021 with a valuation exceeding $2 billion. The company specializes in peer-to-peer payments and cross-border money transfers, including crypto-related services, and operates in multiple African countries.
MNT-Halan – Egypt
Emerging as a unicorn in 2023, MNT-Halan is valued at around $1 billion. The company combines digital wallets, lending, and e-commerce services, targeting underbanked populations in Egypt.
Tyme Group – South Africa/Singapore
With a reported valuation of approximately $1.5 billion, Tyme Group operates in the digital banking space, focusing on consumer banking and expanding its reach beyond Africa into Southeast Asia.
The Future of African Unicorns
The landscape of African unicorns is evolving, with a clear trend toward fintech and digital finance. Countries like Nigeria, Egypt, Senegal, and South Africa are emerging as key players in this space. While the numbers may still be small compared to other regions, the trajectory is promising, indicating a growing recognition of Africa’s potential in the global startup ecosystem.
As the continent continues to innovate and attract investment, the hope is that more African startups will join the ranks of unicorns, contributing to a more balanced global startup landscape.
About the Author
Folake Balogun is a renowned tech journalist with a keen focus on Africa’s rapidly growing digital economy, particularly within Nigeria. She closely monitors the health of the African startup ecosystem, covering significant venture capital trends, investment deals, and the challenges faced by emerging firms. Known for her deep dives into the fintech sector, she explores the evolution of digital payments and the dynamics of major financial innovations, providing context to their economic and social impact.