Johannesburg Ranked Best Startup Ecosystem in South Africa in 2025

Johannesburg has overtaken Cape Town to become South Africa’s leading startup ecosystem, according to the 2025 Global Startup Ecosystem Index Report by StartupBlink. The city posted the highest growth rate in the country at over 42%, jumping 17 places in the global ranking to reach 122^nd.

Cape Town, while still a major tech hub, saw a growth rate of just over 13% and was surpassed by Johannesburg for the first time. 

Nationally, South Africa’s startup ecosystem remains stable in 2025, maintaining its 52^nd position globally. The country recorded an annual ecosystem growth of 19.5% and attracted total funding worth $467.8 million in 2024. Despite the national growth, every South African city featured in the global 1000 experienced a ranking decline this year. 

EdTech emerged as the country’s strongest sector, ranking 35^th worldwide. However, the payments industry continues to dominate within the two leading cities, with Johannesburg ranked 41^st and Cape Town 37^th globally in this sector. 

The report also highlighted persistent challenges facing the local startup landscape such as corruption and inadequate infrastructure. These issues continue to create barriers for international companies entering the South African digital market, which is further constrained by high entry costs, complex regulations, and competition from established enterprises.