BOI Secures €1.879 Billion Funding to Empower Nigerian MSMEs and Drive Industrial Growth

Overview

The Bank of Industry (BOI), Nigeria’s leading development finance institution, has once again demonstrated its significant role in driving economic transformation. In 2024, BOI secured an impressive €1.879 billion (N3.05 trillion) from international markets, a groundbreaking milestone that marks the largest funding deal by any African development finance institution to date.

This achievement, spearheaded by Dr. Olasupo Olusi, Managing Director of BOI, highlights the bank’s strategic importance in fostering industrialization and empowering underserved sectors such as MSMEs, agriculture, and gender-focused enterprises.

How BOI Secured the Record Funding

The funding success was achieved through an innovative dual-layer guarantee structure, involving partnerships with the Africa Finance Corporation (AFC) and the Central Bank of Nigeria (CBN). This collaboration ensured investor confidence, highlighting BOI’s credibility and its role in supporting Nigeria’s economic agenda.

BOI’s balance sheet surged from N3.9 trillion in 2023 to N7.1 trillion by the end of 2024, a testament to the bank’s robust financial strategies and international partnerships. The raised capital enables BOI to offer low-interest, long-tenured loans to vital sectors of the economy, even amidst Nigeria’s challenging macroeconomic environment.

Supporting MSMEs and Industrial Growth

With a strengthened financial position, BOI is poised to close significant financing gaps across critical sectors. Among its noteworthy programs are:

• Nano and Micro Enterprises Fund: A N1 billion collaboration with the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN).
• FGN MSME Intervention Fund: A N200 billion initiative to empower micro, small, and medium enterprises.

BOI is also advancing green finance and climate-focused initiatives, aligning with Nigeria’s commitment to sustainable development. By targeting underserved sectors, the institution is enabling inclusive economic growth that benefits both businesses and communities.

Alignment with National Goals

BOI’s efforts align seamlessly with President Bola Tinubu’s economic transformation agenda, which prioritizes industrialization and private sector growth. Dr. Olasupo Olusi reaffirmed BOI’s dedication to driving socio-economic development through innovative financing solutions.

“Our partnerships with state governments, private institutions, and trade associations ensure that we remain a catalyst for growth, particularly in underrepresented sectors,” he said.

As BOI celebrates its 65th anniversary, its legacy of supporting Nigeria’s private sector remains unparalleled.