Africa’s Capital Markets Revive with Creative Funding Structures
Quidah is an online platform that connects investors with curated opportunities and expert insights on Africa’s emerging markets, while offering businesses promotional services, partnership facilitation, and market intelligence to attract capital and grow their operations.
Industries
Strong demand from banks/funds/pensions/retail enabled upsizing; lower post-pandemic rates revive deferred investments like acquisitions/expansion. Borrowers challenge bank funding limits, shifting to syndicated loans (volumes doubled past 20 years per OECD) for nuanced terms.
Bond access demands programmes, arrangers/legal/trustees/paying agents, investor engagement, listings/disclosure. Africa corp bonds fell to $38 billion outstanding 2024 from $52 billion 2010 (0.1% global vs 2.5% GDP OECD), favoring adaptable loans.
Regulation not barrier; scale/know-how/flexibility key. Blended finance mixes low-cost bonds/loans/risk coverage; Africa 40% global blended transactions 2024 (~1/3 volumes per Convergence), evolving beyond single instruments.
EABL 2021 reopened Kenyan corp market after 5 years, proving execution/pricing viability. Shallow markets outside SA limit savings-to-investment channeling; focus innovation/products execution for depth.
