Africa's Corporate Debt Markets Remain Too Small
OECD report finds Africa's corporate bond market has shrunk 44% from its 2015 peak, with few bonds issued in 2025.
Updated on Nov. 6, 2026 in Corporate Finance
The OECD's Africa Capital Markets Report 2026 finds outstanding market-based corporate debt in Africa totalled $211 billion at the end of 2025, with the corporate bond market at $35 billion. Companies across the continent issued no more than 20 bonds in 2025.
Why it matters
Only 17% of corporate debt issued in 2025 was in local currency, limiting borrowers' ability to secure long-term financing without exposure to exchange-rate swings. The report also notes aid to sub-Saharan Africa from OECD donor countries fell by more than a quarter in 2025, as the continent seeks alternative sources of capital.
The corporate bond market is 44% smaller in inflation-adjusted terms than at its 2015 peak, and six countries — Egypt, Mauritius, Morocco, Mozambique, Nigeria and South Africa — account for 80% of outstanding corporate debt. The OECD attributed the decline largely to reduced activity in South Africa.
The players
Organisation for Economic Co-operation and Development (OECD)
An intergovernmental body of mostly high-income countries that publishes economic research and policy analysis, including the Africa Capital Markets Report.
London Stock Exchange Group
A global financial markets infrastructure company whose bond and loan transaction records were used as a data source for the estimate.
Preqin
A private markets data provider whose private credit fund data was used as a data source for the estimate.
The details
The estimate covers all 54 African countries and is based on bond and loan transaction records from the London Stock Exchange Group and private credit fund data from Preqin. The OECD said the main obstacles to developing bond markets in countries without them are economic and institutional rather than technical.
Timeline
End of 2025: Outstanding market-based corporate debt totalled $211 billion.
2025: Companies issued no more than 20 bonds, 17 of them by financial firms.
2025: Aid to sub-Saharan Africa from OECD donor countries fell by more than a quarter.
November 6, 2026: OECD published the Africa Capital Markets Report 2026.
Market Landscape
The OECD's Africa Capital Markets Report series tracks how the continent's financing sources develop over time. The 2026 edition shows the corporate bond market remains far below its 2015 peak, with reduced activity in South Africa driving much of the decline.
Investors considering African corporate debt face limited local-currency options, with only 17% of 2025 issuance denominated in local currency. Those seeking exposure to the continent's capital markets have a small pool of instruments to choose from, given that no more than 20 corporate bonds were issued across Africa in 2025.
The takeaway
Expanding local-currency corporate bond issuance is one of the main levers for reducing African companies' reliance on foreign-denominated and short-term financing. Watching whether activity recovers in South Africa will be an early signal of broader market development.
Further reading
For broader context on how companies raise money across markets, explore Corporate Finance.
