The African Development Bank Group (AfDB) has approved a $61 million financing package for the Development Bank of Nigeria (DBN) to help women-owned and women-led businesses gain easier access to affordable loans across Nigeria.
The funding will mainly support small and medium-sized businesses, especially those operating in agriculture and other key sectors that contribute to economic growth and job creation.
According to AfDB, the financing package includes three major parts. The first is a $50 million line of credit targeted at businesses owned or managed by women. The second is an $8 million concessional facility under the Agri-food SME Catalytic Financing Mechanism, designed to support agricultural businesses with friendlier lending terms. The third is a $3 million grant under the Affirmative Finance Action for Women in Africa (AFAWA) initiative, funded through the Women Entrepreneurs Finance Initiative.
AfDB explained that the programme is aimed at strengthening private sector growth while improving financial inclusion for women entrepreneurs who often struggle to access credit from traditional financial institutions.
The bank said the funds would be distributed through DBN’s network of participating financial institutions to increase lending to micro, small, and medium enterprises (MSMEs). The initiative is also expected to encourage inclusive economic growth and support Nigeria’s development goals.
A major highlight of the programme is its strong focus on women entrepreneurs. AfDB disclosed that more than 95 percent of the total financing package has been reserved for women-owned and women-led businesses. The move is expected to help reduce the financing gap facing female entrepreneurs across Africa.
The bank added that the AFAWA programme would provide performance-based incentives to financial institutions. This is expected to increase the number of women-led businesses that qualify for loans while also boosting the share of lending directed toward female entrepreneurs within DBN’s MSME portfolio.
Speaking on the approval, the Director General of the African Development Bank Group’s Nigeria Country Office, Dr. Abdul Kamara, described women entrepreneurs as one of Nigeria’s strongest but underutilised economic resources.
He stated that the initiative reflects AfDB’s commitment to unlocking economic opportunities for women and supporting businesses capable of driving long-term economic growth.
Kamara noted that the partnership with DBN would help channel funding to women-owned businesses operating in agriculture, healthcare, clean energy, and other important sectors of the economy.
According to him, the project goes beyond expanding access to loans, as it also represents an investment in Nigeria’s broader economic transformation through women-led enterprises.
The latest approval further strengthens the long-standing relationship between AfDB and DBN. AfDB had previously supported the establishment of DBN through start-up equity contributions, governance support, and long-term financing in partnership with the Federal Government of Nigeria and other development organisations.
The initiative also aligns with AfDB’s 10-year strategy for 2024 to 2033, which focuses on inclusive growth, private sector development, gender equality, and economic transformation across Africa.
