Wema Bank has entered into a €50 million (N78.5 billion) financing agreement with the European Investment Bank’s development arm, EIB Global, to expand access to credit for small and medium-sized enterprises (SMEs), with a focus on women- and youth-owned businesses.

The agreement, signed at the bank’s headquarters in Lagos, marked the first transaction between EIB Global and Wema Bank.

According to both institutions, the facility would support eligible businesses across Nigeria, with at least 50 per cent of the loans earmarked for youth-owned enterprises to promote entrepreneurship, job creation and inclusive economic growth.

The remaining 50 per cent will target businesses owned, managed, employing or primarily serving women.

The initiative is backed by the European Union’s Global Gateway programme and is aligned with Nigeria’s Financial Inclusion Strategy.

In addition to the credit line, EIB Global said it would provide technical assistance to Wema Bank through its Greening the Financial Sector (GFS) Programme.

The support is intended to strengthen climate-related lending practices and promote environmentally sustainable investments, it said.

Beneficiaries of the fund will include Wema Bank customers with qualifying businesses as well as graduates of selected accelerator programmes, including the Investing in Young Businesses in Africa (IYBA) initiative, a Team Europe programme focused on supporting young entrepreneurs, particularly women and youths.

Speaking at the signing ceremony, EIB Vice President Ambroise Fayolle described the agreement as a step towards promoting youth employment and gender inclusion in Nigeria.

Chief Executive Officer of Wema Bank, Moruf Oseni, said the facility would enable the bank to deepen its support for underserved segments of the economy.

“As a bank whose legacy is rooted in empowerment, this agreement presents remarkable opportunities to scale our impact even further. In tandem with our commitment to inclusion, this facility is strategically focused not only on helping more businesses access critical financial support, but also on addressing gender gaps and creating opportunities for Nigerian youths to become economically active and self-employed,” Oseni said.