By Valentine Alexander 
In a major stride toward economic empowerment and grassroots development, the Development Bank of Nigeria (DBN) announced that it had disbursed over ₦1 trillion to Micro, Small, and Medium Enterprises (MSMEs) across the country by the end of 2024. This achievement, according to the bank’s Managing Director, Dr. Tony Okpanachi, represents a turning point in the national effort to close the financial access gap that has long hampered small business growth in Nigeria. Speaking during an interview with the News Agency of Nigeria (NAN) at the African Development Bank (AfDB) Annual Meetings held in Abidjan, Okpanachi highlighted the bank’s impact in supporting over 1.2 million jobs—both directly and indirectly—through its financing initiatives. The DBN’s intervention aligns with national economic development goals aimed at uplifting MSMEs, which represent over 90% of businesses and contribute more than 50% to Nigeria’s GDP. According to Okpanachi, DBN’s wholesale lending model, which channels funds through commercial and microfinance banks, has played a pivotal role in enabling easier and more structured access to capital for small-scale entrepreneurs. This model not only decentralizes funding but ensures that financial services reach underbanked communities across Nigeria.
Addressing Nigeria’s Financing Gap through Strategic Innovation
Despite the remarkable disbursement milestone, Okpanachi acknowledged that challenges remain in bridging the substantial financing gap in the MSME sector. The demand for credit among small businesses continues to exceed supply, with many enterprises still struggling to access affordable and timely funding. In response to this challenge, Okpanachi emphasized the bank’s ongoing commitment to expanding its reach, introducing innovative financing models, and enhancing policy reforms.
Key to DBN’s strategy moving forward is greater collaboration with development partners and government agencies, aimed at scaling financing capacity and designing tailored financial products that match the evolving needs of Nigeria’s small businesses. Innovations such as blended finance, credit guarantees, and technology-driven loan application systems are expected to play significant roles in the next phase of DBN’s operations.
Dr. Okpanachi also commended the broader African financial ecosystem, paying tribute to outgoing AfDB President Dr. Akinwumi Adesina. Under Adesina’s leadership, the AfDB achieved a near tripling of its capital base and disbursed more funds in the past decade than it had in its previous fifty years. Okpanachi credited this growth as a model for sustainable development banking, calling for continued visionary leadership to drive inclusive growth across Africa.
Christopher Ajewole
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