The African Development Bank Group has approved a $200 million financing package for the Bank of Industry (BOI) to help businesses across major sectors of Nigeria’s economy gain access to long-term funding.
The new facility is aimed at supporting Nigeria’s industrial development by providing medium- and long-term loans to enterprises operating in important sectors such as infrastructure, transportation, agro-processing, healthcare, pharmaceuticals, and green manufacturing.
According to the bank, the funding will mainly focus on supporting small and medium-sized enterprises (SMEs), especially businesses owned by women and young entrepreneurs. At least 30 percent of the funds are expected to go directly to Nigerian SMEs to help close the financing gap many businesses face.
The African Development Bank explained that many women-owned and youth-led businesses struggle to access affordable funding needed for expansion. The new financing is expected to create fresh opportunities for entrepreneurship, improve productivity, and encourage local manufacturing across the country.
Part of the facility will also be used to support climate-friendly and low-carbon projects. These include renewable energy investments, energy-efficient industrial operations, climate-smart agriculture, and sustainable infrastructure projects.
The bank believes these investments will strengthen local industries, improve healthcare and pharmaceutical supply chains, and reduce Nigeria’s heavy dependence on imported goods.
In addition to the main financing package, the African Development Bank also approved a $650,000 technical assistance grant through its Fund for African Private Sector Assistance. The grant is designed to improve the capacity of SMEs, strengthen environmental and governance standards, support climate-related business initiatives, and improve BOI’s systems for measuring development impact.
The package also includes support under the Affirmative Finance Action for Women in Africa (AFAWA) initiative. This aspect of the programme will help women-owned and women-led businesses gain better access to finance, markets, and business opportunities.
The African Development Bank said the long-term impact of the intervention is expected to include job creation, increased exports, higher tax revenues, and reduced pressure on foreign exchange through import substitution.
The initiative is also expected to help strengthen key sectors of Nigeria’s economy and contribute more to the country’s Gross Domestic Product (GDP), while supporting a more inclusive and climate-resilient economy.
Speaking on the approval, the Director General of the African Development Bank Group for Nigeria, Abdul Kamara, said the financing shows the bank’s commitment to supporting private sector growth and industrial expansion in Nigeria.
He explained that many Nigerian businesses require long-term capital that commercial banks often struggle to provide. According to him, development finance institutions are meant to fill that gap by supporting sectors critical to economic growth.
Kamara added that the funding would help empower SMEs, women entrepreneurs, and young business owners who are playing important roles in Nigeria’s industrial and economic development.
The Managing Director and Chief Executive Officer of the Bank of Industry, Olasupo Olusi, described the financing as another milestone in BOI’s partnership with the African Development Bank.
He noted that BOI successfully repaid a previous $100 million credit facility in 2025 and expressed appreciation for the continued confidence shown in the institution.
Olusi said BOI remains committed to ensuring the new financing translates into real economic opportunities, job creation, and inclusive growth across Nigeria.
