Kenya’s tech ecosystem in 2024 stands as a testament to both remarkable progress and persistent challenges. The “Silicon Savannah” continues to capture global attention, boasting achievements that have solidified its reputation as a hub for innovation.
This year alone, M-Pesa, the world’s leading mobile money platform, processed over $60 billion in transactions, while the Huduma Namba 2.0 initiative was launched to strengthen and transform access to government services for millions of citizens.
These milestones reflect the tangible impact of Kenya’s technological strides, but they also underscore the cracks in the system—from digital inequality to cybersecurity threats—that hinder a fully realised tech-driven economy.
Among this year’s highlights is that Kenya’s tech start-up ecosystem saw reduced funding investment in 2024 compared to the highs of 2022 and the first half of 2023. Kenya—whose vibrant tech ecosystem has long been classified among Africa’s ‘Big Four’ alongside Nigeria, Egypt, and South Africa—led the pack by taking a third of the $ 384 million funding poured into the continent’s start-ups.
This year also saw a lot of investment poured into Kenyan start-ups in artificial intelligence (AI) and the varied climate tech pool, adding to years of large deals in the financial technology (fintech) and e-commerce fields.
The reimagined Huduma Namba 2.0 initiative marked a transformative leap in digital governance. By seamlessly integrating with various public services, it streamlined access and significantly reduced corruption, setting a benchmark for e-governance in Africa.
Kenya’s commitment to environmental sustainability shone through its renewable energy advancements. Startups like BasiGo received over Ksh.5.8 billion to introduce electric buses in East African urban centers by the end of 2026, while GreenCharge expanded solar energy storage solutions in rural areas.
“Technology is at the heart of our climate action strategy,” remarked Environment Principal Secretary (PS) Dr Festus Ngeno. These advancements reinforced Kenya’s alignment with global sustainability goals, leveraging innovation to combat climate change.
Artificial intelligence further cemented its role in Kenya’s industries. From AI-driven tools predicting weather patterns to personalised education platforms revolutionising learning, the technology’s impact was felt across agriculture, logistics, and education.
However, the much-anticipated Robotics and AI Bill 2023 faced rejection in Parliament, a setback that sparked widespread debate. Critics argued it lacked sufficient stakeholder consultation and risked stifling innovation with overly stringent controls. This highlighted a pressing need for balanced policy-making that fosters growth while ensuring ethical practices.
One of the most inspiring developments was the establishment of the Timbuktoo Green Tech Hub in Kenya by the United Nations Development Programme (UNDP) and Kenya’s Ministry of Information, Communications, and Digital Economy (MICDE).
Supporting groundbreaking startups like EcoPlastics, which develops biodegradable packaging, and GreenCharge, this hub emerged as a beacon of sustainable innovation. However, Kenya also grappled with a growing e-waste problem.
The rapid adoption of technology has left the country struggling to establish systems for recycling and disposal, raising critical questions about the sustainability of its tech-driven growth.
The Ministry of Information, Communications, and the Digital Economy in Kenya introduced two key legislative proposals in 2024 that have been highlighted as transformative steps for the nation's ICT and innovation sectors: the Technopolis Bill and the ICT Authority Bill 2024.
Together, they represent significant legislative advancements in fostering an environment for digital innovation and sustainable economic growth in Kenya.
In 2024, the University of Nairobi (UoN) made significant strides in advancing artificial intelligence (AI) education and innovation in Kenya.
As part of its "Big 5" transformative initiatives, UoN launched the Nairobi School of AI. By establishing the Nairobi School of AI and introducing Kenya’s first Master's degree program focused on AI, UoN aims to develop top-tier AI talent and create localised AI solutions for Africa.
Despite these successes, challenges persisted. Digital inequality remained a glaring issue, with rural communities lagging behind urban centers in access to affordable internet and devices. Statistics showed that less than 30 percent of rural households had reliable internet connectivity, compared to 80 percent in urban areas.
Cybersecurity threats also escalated, with financial institutions and e-commerce platforms suffering significant losses due to cyberattacks.
Sectors like robotics and biotech continued to struggle, hindered by limited funding and expertise, while a persistent brain drain saw top talent leaving for lucrative opportunities abroad.
“Kenya must find ways to retain its brightest minds if it hopes to sustain innovation,” noted Muthoni Wanyoike, the Co-founder of Nairobi Women Learning & Data science.
Yet, 2024 was not without its lessons. The importance of digital inclusion cannot be overstated. Expanding affordable internet access and providing low-cost devices to underserved communities must become national priorities. Similarly, cybersecurity demands immediate attention, with a Taskforce to improve Kenya’s cybersecurity regulatory framework and promote public awareness.
What’s the progress of the Task Force constituted in June 2024 tasked on the Development of Cybersecurity Policy? Where is their report and comprehensive review and audit of the Computer Misuse and Cybercrime Act?
Diversifying into deep tech—robotics, AI, and biotech—presents a new frontier of opportunity, while initiatives to reverse brain drain, such as offering competitive salaries and research grants, are crucial for strengthening the ecosystem
Looking ahead, public-private partnerships must accelerate infrastructure projects like 5G rollout and last-mile connectivity. Kenya’s delayed 5G deployment—attributed to high spectrum costs and limited readiness—must be fast-tracked to unlock the potential of IoT and smart agriculture.
Proactive legislation, crafted with industry input, can provide the clarity needed to foster innovation while addressing regulatory gaps.
Sustainability must also take center stage, with the introduction of a national e-waste management framework to mitigate environmental risks.
Regionally, Kenya’s leadership in harmonising tech policies across East Africa can unlock new markets and scale innovations continent-wide.
As we move into 2025, the call to action is clear: Kenya must not rest on its laurels but strive to build on its successes while addressing its challenges head-on.
“We stand at the crossroads of opportunity and responsibility,” said Eng John Kipchumba Tanui, PS, State Department for ICT and the Digital Economy. The Silicon Savannah’s brilliance must reach every corner of the nation, inspiring a continent-wide transformation.
By fostering inclusion, sustainability, and cutting-edge innovation, Kenya can solidify its place as Africa’s leading tech hub, setting a blueprint for others to follow.
The journey ahead demands bold steps and collaborative efforts, ensuring every stride forward creates a brighter, more equitable future for all.
