Debt is reshaping startup financing in Africa, offering founders faster capital and ownership retention, but experts caution that the rising reliance on loans can undermine innovation if not balanced with equity.
With a high inflation rate and currencies weakening in markets like Nigeria and Kenya, debt-heavy startups could find themselves squeezed between rising costs and fixed repayment terms, leaving little room for experimentation or bold bets.
Africa’s startup scene is undergoing a major shift. For years, equity dominated fundraising
