For emerging ventures, this expansion creates opportunities for them to come into a diverse and growing economy. Tech hubs such as Cape Town and Johannesburg lead the tech invasion housing over 450 tech companies.
Despite challenges such as infrastructure gaps, unemployment and an uncertain economic landscape, young techpreneurs are developing solutions in everything from healthtech to agritech. Local tech startups are not just surviving; they are also attracting various local and international investors. According toStatista, venture capital investment in SA is on track to exceed US$460 million in 2025, with more deals expected by year-end.
FinTech is Still King
Tech innovations within the financial sector are the reason we have the fintech sector.The South African Reserve Bank (SARB) defines fintech as “technologically enabled financial innovation that could result in new business models, applications, processes, or products with an associated material effect on financial markets and institutions and the provision of financial services.”
Among the many fintech solutions that have come from South Africa, the leading ones are mobile/digital payments and digital banking. In South Africa, digital/mobile payments solutions are becoming increasingly popular, and adoption is steadily increasing, with the market set to reach atotal transaction value of $19.6 billion in 2025.
Mobile/digital payments solutions came about because of the tech startups who have pioneered for the technology, these include:
Yoco
Yoco is a South African fintech that provides payment solutions and business tools for small and medium-sized enterprises (SMEs). Through its innovative products and solutions, Yoco enables businesses to accept card payments both online and in-person. Furthermore, the company offers funding and tools to SMEs.
TymeBank (Tyme Group)
Tyme Group-ownedTymeBank is a fintech company operating in South Africa and is one of two unicorn startups in South Africa. The company provides a range of digital banking services through its app and online platforms.
The company reached unicorn status last year after reaching a valuation of $1.5 billion following a $250 million capital raise round led by Nubank.
Stitch Money
Stitch is a fintech company operating in Africa that provides open banking and payment products. The company helps businesses connect to the financial system to manage and streamline payments - offering a range of online and in-person payment solutions.
Valr is a South African cryptocurrency exchange that facilitates the buying, selling, storing, staking, and transacting in cryptocurrencies. The company also features perpetual futures trading and a crypto lending platform.
As it stands, Valr is the largest cryptocurrency exchange in Africa by trade volume.
These startups are just a few that are operating in South Africa and Africa as a while. The growth of the fintech startup ecosystem is down to the digital financial tool adoption within South Africa.
South Africa is a leader in Africa’s digital economy because of its advanced digital infrastructure and a vibrant startup economy. The country has also seen a significant increase in various financial tech solutions such as mobile payments, cryptocurrency and alternative finance solutions.
HealthTech: Solving Real Problems at Scale
Healthcare technology a.k.a healthtech is a term that is used to describe any digital solution or technology designed to improve or facilitate healthcare. This includes things such as wearable devices, health apps, telemedicine platforms, and digital therapeutics.
In a country such as South Africa where many of its citizens still struggle with access to healthcare services, healthtech is working to close the gap. Healthcare innovations in SA is a growing focus with various startups in the sector. The sector is also showing significant growth in revenue with aprojected revenue of $6.2 billion by 2030.
RecoMed
RecoMed is one of South Africa’s largest and fastest growing online healthcare booking platforms. The company specialises in helping patients find and access healthcare providers 24/7. RecoMed’s mobile platform has over 3000 practitioners and receives over 100 000 bookings per month.
The company recently received significant funding from Japanese pharmaceutical company Eisai – exceeding its previous investment of $1.45 million in 2021.
hearX Group
hearX is a healthtech startup specialising in developing and providing digital hearing health solutions, focusing on affordable and accessible hearing care through its smart screening and testing equipment. The company offers a range of tools including mobile-based hearing screenings, online hearing tests, and diagnostic tools for healthcare professionals.
Quro Medical is a digital health company that offers a “hospital at home” service, providing its users with access to medical treatment and monitoring in their own homes. The company has a range of healthcare services with its home-based offering available in Johannesburg, Cape Town Pretoria, and surrounding areas, as well as Port Elizabeth/Gqeberha, Durban, Bloemfontein and surrounding areas.
The company is no stranger to investment and hasraised over $2.45 million in funding from various investors such as Enza Capital and Mohau Equity Partners.
3X4 Genetics
3X4 Genetics is a healthtech company offering DNA genetic tests on how to manage health with DNA testing. The company’s home-based diagnostic kit can be used to test the genetic biomarkers from the provided sample. The app can be used to scan the QR code of the test to receive test results.
The company has raised over $2.5 million in funding to date and was recently announced as a partner for preeminent cancer research and treatment non-profit organisation, the Metabolic Terrain Institute of Health.
ClimateTech & AgriTech
Sustainability and agri-tech are surging in SA, with investments in renewable energy and environmental tech rising substantially. Additionally, the agri-tech sector has played a crucial role in food security for the country.
Agri-tech and climate tech are closely related sectors focused on improving agriculture and addressing issues in climate change.Agri-tech uses technology to enhance agriculture (produce more with less), whileclimate tech or environmental tech focuses on mitigating and adapting to climate change, often using application in agriculture.
Khula
Khula is an SA-based agri-tech company that provides an online marketplace for agriculture and food businesses. Its platform enables farmers to list their products for sale and consumers to place orders from preferred producers and suppliers. Additionally, the company provides a platform for delivery service providers to register and deliver orders and allows farmers to buy farm inputs.
Founded in 2014,Aerobotics is an agri-tech company specialising in providing farm monitoring and pest management solutions. The company offers AI-enabled pest detection, disease detection, drone imagery services, orchard and yield management.
The company has various investors including Naspers and Nedbank and has up to date raised a total funding of $27.1 million.
Cloudline
Cloudline is a Cape Town-based company that provides autonomous cargo delivery services through air. It uses battery and solar-powered propulsion to deliver carbon-emissions free flight operations. On its website the company says its missions remain carbon free up to a target payload capacity of 100kg.
The aerospace company has raised over $6 million in seed funding up to date from investors such as Schmidt Futures.
South Africa’s tech sector has moved from survival mode to rapid scale-up. Companies such as Yoco, hearX and Khula demonstrate established products, clear market fits and strong growth metrics—exactly the attributes investors seek. As the digital economy accelerates towards US$180 billion, now is the time to explore and back the startups shaping Africa’s future.
Lungile is the Digital Editor for TechAfrica, with a knack for storytelling, technology and innovative ideas. Working with TechAfrica, she takes simple ideas and turns them into amazing stories.
