Nomba, a Nigerian fintech, and Synafare, an asset financing company focused on the renewable energy sector, have announced a ₦2 billion ($1.4 million) lending commitment to finance solar energy systems for small and medium-sized businesses in Nigeria.

The companies said the capital will be deployed over 24 months to support about 300 SMEs in acquiring solar panels, inverters, and batteries.

The financing vehicle comes as Nigerian businesses face limited access to credit and the high cost of unreliable electricity. About 40 million micro, small, and medium enterprises (MSMEs) operate across Nigeria and contribute nearly half of the country’s GDP, yet more than 80% lack access to formal credit.

At the same time, Nigeria’s solar market is expanding as businesses look for alternatives to an unstable grid. Four in 10 Nigerians depend on generators as the grid falters, while solar accounts for 1.5% of Nigeria’s overall energy mix, according to the Africa Solar Outlook 2026 report. For Nomba and Synafare, that gap presents an opportunity to finance the equipment that businesses need to generate power, while also addressing a practical barrier for SMEs that often need upfront capital before they can switch to cleaner and more reliable electricity.

“At Nomba, we’ve built our credit business on a simple principle: lend responsibly, and lend directly, so the value reaches the merchant without unnecessary friction,” said Yinka Adewale, chief executive officer of Nomba. “Our partnership with Synafare has shown what that looks like in one of Nigeria’s most important sectors, solar energy access. Committing ₦2 billion ($1.4 million) to scale this model is a statement of confidence in Nigerian SMEs and in what we’ve built together with Synafare.”

The partnership combines Synafare’s network in the renewable energy sector with Nomba’s lending infrastructure. Synafare identifies, vets, and pre-qualifies SMEs that want to adopt solar power before they submit their applications and know-your-customer (KYC) documentation to Nomba. Nomba then independently assesses each business and disburses the loan directly to the merchant where the application is approved.

The companies said loans under the programme average around ₦50 million ($37,196) and can reach up to ₦100 million ($74,393) per merchant, depending on the business’s size and needs. Synafare would manage repayment collection, while Nomba would provide the capital and carry out the credit assessment.

Nomba and Synafare said the financing is intended to unlock more productive time for businesses. With more reliable power, SMEs could operate for longer hours and reduce spending on generators and fuel.

“Every business we work with wants more reliable power to run and grow their operations, but the upfront cost of going solar is often out of reach,” said Tobi Esho, chief executive officer of Synafare. “What Nomba’s direct financing has done, through the businesses we originate and vet, is close that gap. This ₦2 billion ($1.4 million) commitment lets us bring that same impact to a much larger group of Nigerian SMEs.”

Deploying the funds will require both companies to expand their capacity to identify and assess suitable businesses while maintaining the programme’s underwriting and vetting standards. The partners point to their record so far. Since they began working together more than a year ago, Nomba and Synafare said they have disbursed over ₦500 million to 10 SMEs without recording a default.