ISTANBUL, Aug. 21 — Angel-backed startup investment activity in Türkiye has declined dramatically from its record highs of 2021, reflecting broader global challenges facing early-stage investors amid persistent economic uncertainty.
According to data from startup intelligence platform Startups.watch, business angel investment networks (BANs) completed just two startup deals so far in 2026, compared with 53 transactions in 2021—a decline of more than 96%. Angel-backed investments accounted for 15.6% of all startup deals in 2021 but have dropped to just 3.5% of transactions this year, based on incomplete 2026 figures.
The slowdown has been gradual but persistent. Angel networks backed 35 startups in 2022, 16 in 2023, 10 in 2024, and 12 in 2025 before reaching the current low in 2026. Industry observers say the trend mirrors a broader cooling in early-stage investment markets worldwide.
The global decline is supported by findings from Canada’s National Angel Capital Organization (NACO), which reported that angel investments in Canada fell to a five-year low in 2025. The organization attributed the downturn to structural factors—including macroeconomic uncertainty and trade tensions—rather than a temporary market cycle.
In Türkiye, experts point to a shrinking pool of active investors despite an increase in the number of registered angel investment networks. Startups.watch founder Serkan Ünsal has noted that while more networks are officially registered, only two are currently making investments on a regular basis, limiting the availability of seed funding for emerging startups.
Despite weaker angel investment activity, Türkiye’s broader startup ecosystem continues to attract significant venture capital. Startups in the country raised approximately $181 million during the first seven months of 2026, while other industry estimates indicate that overall venture funding remains on pace for another strong year, suggesting institutional and later-stage investors continue to play an important role in the market.
Analysts say the sharp decline in angel-backed deals could have long-term implications for innovation, as angel investors often provide the first external capital to early-stage companies before they become attractive to venture capital funds. Without a healthy pipeline of angel financing, startups may face greater challenges in transforming new ideas into scalable businesses.
While the broader Turkish technology sector has demonstrated resilience in recent years, reversing the decline in angel investment is expected to be a key factor in sustaining entrepreneurship and fostering the next generation of high-growth startups.