Africa’s private credit market is set to grow even more in the coming years as companies and infrastructure projects turn to alternatives amid constrained bank lending, according to a new Moody’s report. Between 2020 and 2025, assets under management in the continent’s private credit sector tripled to $5.6 billion. Moody’s said demand would remain strong because of persistent financing gaps, underdeveloped capital markets, and banks’ limited capacity to provide long-term funding, particularly for infrastructure, medium-sized companies, and small businesses. The agency predicted that development finance institutions will likely remain central to the sector’s growth and could help mobilize international capital. However, the industry is unlikely to displace African banks, as private credit funds themselves often lend through banks or co-finance transactions.