LAGOS, Aug 31 – Nomba and Synafare have committed ₦2 billion ($1.4 million) to finance solar energy systems for about 300 small and medium-sized businesses in Nigeria over the next 24 months.
The Nigerian fintech and renewable energy asset financing company said the funding will help SMEs acquire solar panels, inverters and batteries as businesses continue to deal with unreliable electricity and limited access to credit.
Nigeria has about 40 million micro, small and medium enterprises (MSMEs), which contribute nearly half of the country’s GDP. However, more than 80% of these businesses lack access to formal credit, making the upfront cost of switching to solar difficult for many operators.
At the same time, demand for alternative power is growing as businesses look for ways to reduce their dependence on an unreliable electricity grid. Four in 10 Nigerians rely on generators, while solar accounts for 1.5% of the country’s overall energy mix, according to the Africa Solar Outlook 2026 report.
Nomba Chief Executive Yinka Adewale said the company’s partnership with Synafare was built around providing direct and responsible financing to merchants.
The partnership combines Synafare’s renewable energy network with Nomba’s lending infrastructure. Synafare identifies, vets and pre-qualifies SMEs interested in adopting solar power before applications and know-your-customer (KYC) documents are submitted to Nomba.
Nomba then carries out its own credit assessment and, where approved, disburses the loan directly to the merchant. Synafare manages repayment collections, while Nomba provides the capital and handles the credit assessment.
Loans under the programme average about ₦50 million ($37,196) and can reach ₦100 million ($74,393) per merchant, depending on the size and requirements of each business.
Synafare Chief Executive Tobi Esho said the financing is intended to address the high upfront cost of solar systems, which remains a major barrier for businesses seeking more reliable electricity.
The companies expect access to more dependable power to help SMEs operate for longer hours while reducing spending on generators and fuel.
The new commitment builds on an existing partnership between Nomba and Synafare. Since they began working together more than a year ago, the companies said they have disbursed more than ₦500 million to 10 SMEs without recording a default.
Scaling the programme to 300 businesses will require both companies to maintain their existing underwriting and vetting standards while expanding their capacity to identify suitable businesses.
