Global Shocks Seen Spurring African Pivot to Domestic Capital

Rising geopolitical uncertainty is driving African financiers to tap domestic capital, as governments roll out policies, regulations and incentives to fund projects.

From the Covid-19 pandemic to the US trade war, along with the Russia-Ukraine and Middle East conflicts, each shock has accelerated the shift toward domestic funding, said Ory Okolloh, a partner at Verod-Kepple Africa Ventures. Startup debt in particular is gaining traction as a source of funding, she said.