Nigeria’s South-East region has overtaken the South-South in startup activity, according to the 2025 Startup Ecosystem and Digital Jobs Report released by #StartupSouth. The combined ecosystem across both regions now hosts 304 startups employing 2,837 people, with the South-East accounting for 51.3% of ventures, up from 48.2% in 2023. Rivers State remains the largest hub with 27.3% of startups, though its dominance is gradually eroding as Enugu, Abia, and Anambra expand their innovation communities.
The report highlighted significant growth in funding and investment. The number of mapped startups rose by 54.3%, while disclosed funding increased from $7.89 million to $10.23 million. More ventures are attracting capital, with the share of funded startups climbing to 52.6% in 2025 from 32.5% two years earlier. At the city level, Port Harcourt leads with 77 startups, followed by Enugu with 39, while Aba and Awka recorded 22 each, underscoring the spread of entrepreneurial activity beyond traditional hubs.
Despite this progress, the ecosystem faces persistent challenges. Access to funding remains the biggest hurdle, with 82.5% of founders identifying it as their primary concern. Lack of government support and high operational costs were also cited as barriers. The report noted that more than half of startups remain pre-revenue, reflecting the need for stronger market access and capital pipelines. Gender imbalance persists, with men accounting for 80.2% of lead founders compared to 19.1% for women, a marginal improvement from 2023.