FSD Africa, with funding from the UK Government through the British High Commission in Nigeria, has committed $335,000 (approximately £247,000) to establish the RiTA Investment Network, a new platform designed to increase investment in women-led businesses in Nigeria.

Established by Rising Tide Africa, a women-led, pan-African network of angel investors, the platform aimed to mobilise $2.7 million (approximately N3.75 billion) from Nigerian investors, including high-net-worth individuals, angel investors and family offices. The investment will target 15 small and growing women-led businesses across Nigeria, helping them access the capital they need to expand.

Nigeria’s small and growing businesses are an important part of the economy, but many struggle to access the finance they need to grow. The IFC estimates that Nigeria’s small businesses face a financing gap of around N13 trillion, with 19 in 20 unable to access formal finance. The challenge is particularly acute for women entrepreneurs, who own around 40 per cent of Nigeria’s small businesses but are rejected for credit at more than three times the rate of men.

For many women, the barrier is not their ability to build successful businesses or repay loans, but a lack of assets, such as land, that banks traditionally require as security.

Speaking while announcing the investment, Head of Green Growth and Private Sector Development at the British High Commission, Paul Healey, noted that this initiative forms part of the UK Government’s broader support to expand access to finance for promising small and growing businesses.

He said: “Women entrepreneurs are building successful businesses across Nigeria, but many still face barriers to accessing the investment they need to grow. This partnership between the UK Government, FSD Africa and Rising Tide Africa is changing that.

“Together, we are building stronger connections between women-led businesses and investors, creating opportunities for more businesses to start, grow, and thrive.

“The UK is proud to be part of this partnership, working together with talented entrepreneurs to create jobs and contribute to Nigeria’s economy. By building these connections now, we can open the door to even more investment in women-led businesses in the years ahead.”

Director for Early-Stage Finance at FSD Africa, Juliet Munro, hailed the potential of the new investment at mobilising domestic capital and deploying it in priority areas to provide growth capital and to create employment,

“Nigeria does not lack capital. Women angel investors in Rising Tide Africa have shown for years that they will back women-led businesses with their own money. The RiTA Investment Network gives that capital the structure and instrument to grow, in Naira, and at scale.” noted Munro.

Currency matters. Much of the growth capital available to African businesses is in US

GP, RiTA Investment Network, RiTA Investment Network Spokesperson, Yemi Keri, welcomed the catalytic investment as a major boost in the Network’s ambition to raise USD 10 million in local currency to support women enterprises in the country.

“Women-led businesses in Nigeria are growing, and they need lenders who understand how they work. We founded RiTA to give investors a disciplined way to lend to them, one business at a time. FSD Africa’s support lets us build the structure, the discipline and the data to do this at scale,” she said.