ARM Investment Managers has announced the launch of Series I of the ARM Private Debt Fund, a N200 billion private credit fund to provide structured, long-term financing to scalable small and medium-sized enterprises (SMEs).

The fund is structured as a closed-ended private credit vehicle and will deploy capital primarily through senior secured term loans, revolving credit facilities and selective subordinated debt to high-quality SMEs across key sectors of the Nigerian and sub-Saharan African economy.

The Series I of the programme is targeting an initial raise of N25 billion, with a broader N200 billion shelf programme registered under applicable regulatory frameworks.

The launch comes at a critical time for Nigeria’s economy, as SMEs, despite accounting for nearly half of GDP and over 80 per cent of employment, continue to face significant challenges accessing long-term, non-bank financing.

Regulatory constraints, elevated interest rates and balance-sheet limitations have reduced the capacity of traditional banks to meet the growing credit needs of this segment, creating a structural financing gap that private credit is well positioned to address.

Speaking at the launch of the initiative, Chief Executive Officer, ARM Private Debt Fund, Deji Opeola, said: “Private credit plays a vital role in modern financial systems by providing disciplined, patient capital to businesses that drive real economic activity. This fund has been deliberately structured to combine strong governance, rigorous credit underwriting, and active portfolio management.

“Our objective is to protect investor capital while supporting the growth of viable SMEs that create jobs, deepen local value chains, and contribute meaningfully to economic development.”