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Why Nigerian startups are turning to debt over equity
Summary by The Lagos Editorial Desk Samuel Daniel , as published by Nairametrics
· September 2, 2026
· 1 min read
Photo: Nairametrics · view original
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Summary created by The Lagos Editorial Desk — automated, rule-governed Byline on source page Samuel Daniel, as published by Nairametrics Original story Read at the source Source published Sep 2, 2026 Indexed here Sep 2, 2026 AI assistance Automated summary drawn from the source’s own published text Prepublication human review No — editorial rules, flagged-item review, and published samples
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Key points This represents a significant increase from 2019, when debt accounted for just 17% of capital raised. African tech startups are increasingly turning to debt financing, with debt now making up 41% of all capital raised.
African tech startups are increasingly turning to debt financing, with debt now making up 41% of all capital raised. This represents a significant increase from 2019, when debt accounted for just 17% of capital raised.
Partech Africa's annual venture capital report provides insight into this trend. The report highlights the shift towards debt financing among African tech startups.
Further details on this trend and the reasons behind it are available from the source, which explores the factors driving Nigerian startups to opt for debt over equity financing.
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Nairametrics reported and published this story. The Lagos selected it, summarised the key facts above, and links to the original. We did not report this story and we added no reporting of our own to it.
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As published by Nairametrics . The Lagos selects stories from publishers’ feeds, summarises them, and links back to the publisher that reported them. We add no reporting of our own. We attribute every source, link to the original report, and follow a documented editorial standards policy. To understand how stories are selected and reviewed, read our about page .
For the complete original report, visit Nairametrics . Have a tip or correction? Contact the editor .
Category: News Published: September 2, 2026 Source: Nairametrics Reading time: 1 min
Frequently asked about this story
What is this story about? African tech startups are increasingly turning to debt financing, with debt now making up 41% of all capital raised. This represents a significant increase from 2019, when debt accounted for just 17%…
When was this published? This article was first published on September 2, 2026 by Nairametrics and curated for The Lagos readers.
Who reported this story? This story was reported by Samuel Daniel at Nairametrics. To learn more about how The Lagos selects and reviews stories, see our editorial standards .
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