OECD: Nigeria, Five Others Account for 80% of Africa’s Corporate Debt
Nigeria accounted for 16 per cent of Africa’s outstanding corporate debt at the end of 2025, placing it second behind South Africa among six countries that collectively held 80 per
The Organisation for Economic Co-operation and Development (OECD) has reported that Nigeria and five other African countries account for 80% of the continent's corporate debt. South Africa leads with 31% of the total, followed by Nigeria at 16%, Egypt at 13%, Mauritius at 9%, Mozambique at 6%, and Morocco at 5%. Across the continent, syndicated loans remain the primary source of corporate debt financing, although corporate bonds play a more significant role in Morocco, Gabon, Sudan, and Togo.
Despite challenges like limited liquidity, shallow domestic markets, and continued reliance on bank lending and external financing, African economies have shown resilience. The continent possesses substantial domestic capital pools, estimated at over $4.4 trillion, which could support productive investment and strengthen financial resilience.
However, the OECD notes that African capital markets remain underused compared to other emerging economies, limiting their contribution to growth and economic resilience. In Nigeria, bank financing continues to dominate corporate borrowing, accounting for 74.2% of total corporate debt in 2025. Nonetheless, there is a growing trend of companies turning to commercial papers to meet funding requirements, with N1.61 trillion raised through commercial papers in 2025, up 40% from 2024.
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