European development finance institutions were the most active investors in African private capital funds during the first quarter of 2026, according to research from Nigerian financial data platform Stears. The finding underscores Africa’s continued reliance on foreign capital to fund private sector growth. The data emerged alongside discussions at the recently concluded African Development Bank annual meeting, where attendees emphasized the urgent need to mobilize more domestic and continental capital to close a $400 billion development financing gap. Investors have historically been deterred by limited exit opportunities, but a growing secondary market is beginning to attract greater interest from foreign investors.
Semafor
