Home ECONOMY Nairobi Ranks Second Best Startup Ecosystem in Africa

Nairobi Ranks Second Best Startup Ecosystem in Africa

by biasharadigest

Nairobi is the second-best city for startup ecosystem in the continent, slightly behind Lagos at first position. Capetown follows at third with Cairo at fourth. A ranking by Startup Blink puts the Kenyan city at 7.92 points and Lagos at 8.044, based on the quality of startups, business environment, and the number of startups in the city.

In the world, Nairobi’s position improved by 86 places from a similar ranking in 2017. This is in attribute to the presence of innovative startups like M-Pesa and Cellulant, as well as an accommodative regulatory environment.

Previously, regulations like CMA’s Sandbox and Kenya’s high ranking in ease of doing business earned Kenya the 42nd spot in global fintech ranking.

Only four African countries made the world top 60 list, with South Africa at 51st, Kenya at 52nd, Nigeria at 56th, and Egypt at 60th.

See AlsoKenya Among Top Nations in 2020 Global Fintech Ranking

Nairobi’s conduciveness as a startup ecosystem inches Kenya closer to South Africa as the top country in Africa. Moreover, Startup Blink recognizes Kenya’s prowess despite the lack of fundamental supportive structures.

Unlike other higher-ranked countries, Kenya receives less global funding and investment, with even fewer government initiatives. Nevertheless, global tech giants like Microsoft, Samsung, and Google all have premises in Nairobi.

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