…Backs 12,501 businesses, supports 1.68m jobs

The Bank of Industry (BoI) disbursed a record N644.9bn to businesses in 2025, representing a 26 per cent increase over the previous year, as it targets a sharp expansion in annual lending to drive manufacturing, small business growth and job creation.

The bank’s Managing Director, Dr. Olasupo Olusi, disclosed this yesterday while reviewing progress under its 2025–2027 corporate strategy, saying the institution supported 12,501 businesses and created or sustained an estimated 1.68 million jobs during the year. He revealed that the manufacturing sector was the largest beneficiary, absorbing most of the funds disbursed so far.

According to the bank’s 2025 Development Impact Report, the disbursement was its highest annual financing volume at the time, reflecting an intensified effort to provide long-term capital to enterprises operating in critical sectors of the economy.

BoI’s strategy aims to double its lending, disbursements and development impact over three years, with a focus on underserved businesses, industrial infrastructure and sectors capable of generating sustainable employment.

The bank’s strategy documents set out a target to increase annual disbursements to N1.35 trillion by 2027, while its broader financing ambitions include expanding access to credit for 24,000 micro, small and medium enterprises (MSMEs) and supporting millions of jobs.

Olusi said the bank’s central objective is to ensure that financing translated into measurable economic outcomes, particularly increased industrial output, enterprise expansion and employment.

He said the institution had identified four strategic priorities: raising long-term capital at scale, expanding financing to underserved businesses, strengthening governance and risk management, and ensuring that lending produced measurable development outcomes.

According to him, the strategy reflects the need to bridge Nigeria’s long-standing industrial financing gap, particularly as conventional commercial banks face constraints in providing affordable, long-tenured funding for productive investments.

“The objective is to ensure that every naira that has been lent translates into measurable development impacts, particularly jobs, enterprises and output,” he said.

Under the strategy, BoI plans to allocate 35 per cent of its funding to MSMEs, at least 15 per cent to women-owned or women-led businesses, and 20 per cent of its MSME financing to youth-owned or youth-run enterprises.

The bank also aims to direct at least 10 per cent of its portfolio towards climate-related investments and 15 per cent of disbursements towards digital and technology-driven businesses.

Infrastructure financing is another priority, given the burden of unreliable power, inadequate transport and logistics systems, and limited connectivity on business productivity.

The bank’s 2025 performance showed progress in several of these areas. MSMEs received N266billion, representing 41 per cent of total funding, exceeding the 35 per cent target. Women-owned or women-led businesses received N120.9billion, equivalent to 18.7 per cent of funding, while the bank met its target of allocating 20 per cent of MSME financing to youth-led enterprises.

Infrastructure financing accounted for N108 billion or 28 per cent of funding to large enterprises, against a 30 per cent target. Digital and information technology financing stood at N42.5bn, representing 6.6 per cent of disbursements, while climate financing reached N18bn, or 2.8 per cent of funding, indicating areas requiring further expansion.

Olusi said the bank has also intensified efforts to mobilise capital from domestic and international markets to sustain its lending programme.

He disclosed that BoI raised €2bn through a syndicated loan facility involving more than 30 international banks in 2024. In 2025, it secured additional funding from international development finance institutions, while its 2026 fundraising activities included a N215 billion five-year domestic capital market issuance, which was fully subscribed within five working days.

The bank he said, also secured a €75m facility from the African Export-Import Bank to support Nigeria’s pharmaceutical value chain. Olusi said the institution mobilised over €2.2bn and N274 billion in new funding to support industrial development, while pursuing further fundraising opportunities with international lenders and domestic investors.

He argued that Nigeria requires patient, affordable capital to finance manufacturing expansion, agricultural processing, healthcare production and other investments needed to reduce dependence on imports.

He noted that the bank is also expanding its financing channels through digital platforms and partnerships. Olusi said its customer portal had attracted over 23,000 registrations, enabling businesses to register, apply for financing and track applications.

The initiative is expected to improve access to credit, particularly for enterprises outside major commercial centres, while reducing administrative delays in the application process.

Beyond direct lending, he added that the bank has supported government-backed enterprise intervention programmes, including the Presidential Conditional Grant Scheme and financing facilities for MSMEs and manufacturers. He said the conditional grant scheme reached 957,400 beneficiaries, while its wider financing activities supported thousands of enterprises across the country.

Its rural development interventions have also included financing mini-grid projects that connected about 11,777 households and businesses to electricity, as well as supporting broadband expansion in more than 700 communities. The bank has additionally linked 47,508 smallholder farmers to processing facilities, strengthening connections between agricultural production and industrial value chains.

He stressed that the bank’s lending rates not linked to the monetary policy rate (MPR) and have remained between 13-15 per cent and roughly 10 per cent or under for matched funds.

Looking ahead, Olusi said the bank would prioritise agriculture, local healthcare manufacturing, manufacturing, information and communications technology, and the creative economy as it works towards the final year of its corporate strategy in 2027.

He also highlighted the Investment in Digital and Creative Enterprises (iDICE) programme, which is designed to expand financing for technology and creative businesses. The programme is expected to mobilise $600m to support investment and enterprise development in these sectors.

Olusi said the bank would continue aligning its lending with the Federal Government’s local production agenda, particularly efforts to increase domestic manufacturing of food, medicines and other essential products.

He added that the success of the strategy would depend not only on the volume of funds disbursed but also on the ability of businesses to expand production, improve competitiveness and generate jobs.

“We have to finance what Nigeria makes,” he said, reaffirming the bank’s commitment to supporting industrialisation and strengthening the productive base of the economy.