Nairobi, Feb. 3 -- Kenyan technology startups are increasingly turning to debt financing as a primary source of capital, reflecting a broader shift in Africa's venture funding landscape, where more young businesses are tapping credit.

New data from global tech investment firm, Partech, shows that in 2025, debt financing across the African tech startup ecosystem hit a record $1.64 billion (Sh211.72 billion), up 63 percent from $1.01 billion(Sh130.39 billion) in 2024 and higher than the $1.2 billion (Sh154.81 billion) debt raised in 2023.

In Kenya alone, startups borrowed $498 million (Sh64.4 billion), up from $382 (Sh49.31 billion) million in 2024 and $385 million (Sh49.70 billion) in 2023. Kenya led Africa's debt market last year, accou...