Bank of Industry (BOI) has secured $50 million loan from the African Guarantee Fund (AGF) to boost women businesses in Nigeria. The AGF is a special guarantee agency which facilitates economic development and poverty reduction in African countries through increased access to finance for SMEs, The loan is backed by the African Development Bank (AfDB) Affirmative Finance Action for Women in Africa (AFAWA) initiative. The loan will be disbursed in three tranches spread over 10-year period. Dr. Olasupo Olusi, the Managing Director of BOI, signed the loan agreement at the ongoing Africa Investment Forum (AIF) in Rabat, Morocco. Speaking at the ceremony, Olusi said the loan would propel Nigeria’s industrial sector by providing financial and business support services to enterprises.
“Today, we signify a collaboration that promises to drive inclusive growth, innovation and sustainable development. With this portfolio guarantee of up to 50 million dollars, we are unlocking unprecedented opportunities for these enterprises that represent a resilient, inclusive and sustainable economic future for our great nation, Nigeria. As you can imagine, MSMEs form the backbone of our economy and it is very important for our country to encourage them, to continue to support them, to make them create jobs and to support the long-term growth of the Nigerian economy. Through AfDB’s support, BOI will deepen its commitment to reasonable prices, providing them with resources to scale their operations, innovate for impact and expand with new markets. By prioritising women-owned businesses and environmentally sustainable enterprises, we are saying that women must not just participate in Nigeria’s economic history, they must lead it. We are saying that sustainable, climate-conscious practises are not functional, but they are imperative.
“This partnership also aligns strategic investment with the BOI’s vision to attract industrial transformation and our vision to keep Nigeria into a future defined by opportunity, legitimacy and resilience. Over the past decade, BOI has disbursed over 1.6 trillion Naira in loans, supported millions of MSMEs and created millions of jobs. These agreements with AfDB are the first of the past decade to go further… The lives it will touch, the businesses it will empower, and the legacy it will leave. And for us in Nigeria, that is very important because it aligns well with the vision of investment, energy power and opportunity.
Let us also commit to ensuring that the impact of this partnership which resonates beyond discourse, brings new climate and transatlantic prosperity for the continent. The road ahead is long, but it’s worth the wait. I’m delighted to have played your games. Together, we will ensure that the seeds of opportunity sown here today, grow to harvest prosperity in Nigeria,” he said. Olusi also promised that the loan would be effectively disbursed and monitored through BOI’s robust system’ He said many women-owned businesses would benefit, adding that the initiative aligns with the Renewed Hope agenda of President Bola Tinubu’s administration. Jules Ngankam, the Chief Executive of AGF Group, said the loan would impact positively on Nigeria’s economy by unlocking up to 100 million dollars in financing for SMEs. He promised that the AGF would also provide tailored guarantees and technical assistance towards the special SME products offered by BOI, targeting Women, Youth and Green Businesses.
BOI secures $50m loan to boost women businesses
