The Angel Leads Program, supported by the UK-Kenya Tech Hub and implemented by ViKtoria Ventures, has released the Corporate Venture Capital [CVC] Report: State of Play in Kenya, the first comprehensive study of how corporates can invest in and partner with local startups.
The report comes as Kenyan startups continue to face a significant funding gap. According to the African Development Bank, Africa’s early-stage businesses are short of $194 billion annually. While Kenya is one of the continent’s top startup hubs, most founders still rely on foreign capital, with limited local funding sources.
“Startups in Kenya have immense potential, but many struggle to secure early-stage investment,” said Enos Weswa, Country Director, UK-Kenya Tech Hub. “Through training, research, and programs like Angel Leads, we aim to help founders find capital and partners here at home.”
Globally, corporate venture capital has surged, with funding reaching $130 billion in 2024, almost double 2017 levels. In Kenya, however, activity remains limited to a few early movers such as Safaricom’s Spark Fund and Chandaria Capital.
Why Now?
The new report highlights how corporates in sectors like telecoms, fintech, FMCG, and infrastructure can play a bigger role in fueling innovation. It introduces a Corporate Venturing Readiness Assessment, a checklist for boards and leadership teams to evaluate financial commitments, governance, and non-financial assets such as distribution networks and data before pursuing CVC.
“This report isn’t theory, it’s a playbook,” said Stephen Gugu, Co-founder of the African Angel Academy and Director at ViKtoria Ventures. “Corporate capital, when deployed strategically, can unlock new products, markets, and technologies.”
The study also calls for more collaboration across the ecosystem — urging corporates to co-invest with angel networks, venture capital firms, and other intermediaries to ensure sustainable startup growth.
With global VC flows tightening, the report argues that Kenyan corporates who act now will secure first-mover advantages in technology adoption, customer reach, and new market entry.
