The Global Startup Ecosystem Index 2025 has ranked Kenya 58th globally, making it among the top 100 business-friendly nations in the world.

According to the report, the country climbed five spots from last year’s 63rd position, marking the first time the country has appeared in the top 60.

In Africa, Kenya was ranked second behind South Africa, which was ranked 53rd globally. Egypt came in 3rd and was ranked 65th globally, Nigeria came in 4th and was ranked 66th globally, while Rwanda came in 5th and was ranked 96th globally.

According to the report, the country recorded an annual ecosystem growth of +33.5 percent, which was the highest among the continent’s top five countries.

The Global Startup Ecosystem Index report ranks 118 countries and 1,473 cities worldwide, measuring their startup activity, quality, and business environment.

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The report reveals which regions and countries are emerging as strong business hubs and which ones are stagnating.

According to the report, Kenya’s consistent rise in the rankings, despite the East African region showing the slowest business growth among sub-regions on the continent, reflects its growing status as a destination for investment.