THE Bank of Industry (BOI) has celebrated its 65th anniversary, marking over six decades of providing financial support to Nigeria’s industrial sector. Alongside this milestone, BOI has unveiled plans to expand its operations to all 36 states of the federation by the first quarter of 2025, reaffirming its commitment to driving economic growth and development nationwide.
During a press conference in Lagos, BOI’s Managing Director and Chief Executive Officer, Olasupo Olusi, highlighted the bank’s achievements and future goals.
He announced that BOI aims to disburse N120 billion to 2 million micro, small, and medium enterprises (MSMEs) by December 2024, surpassing its earlier target of N103 billion for 1.5 million MSMEs.
As of last month, BOI had already disbursed N107 billion, demonstrating its dedication to supporting Nigeria’s vital MSME sector, which accounts for an estimated 39 to 40 million businesses across the country.
Olusi emphasised that BOI has strategically restructured to align with Nigeria’s development agenda. In a groundbreaking move, the bank recently raised €2 billion (N3.4 trillion) from global institutions, increasing its total assets from N3.9 trillion in December 2023 to N6.38 trillion by September 2024.
This financial boost has enabled BOI to provide Nigerian businesses with affordable, long-term capital at interest rates between 9 percent and 14 percent, significantly lower than the 35 percent offered by commercial banks.
These funds are expected to create jobs and stimulate economic growth across various sectors.
His words, “As we celebrate our past achievements, we also recognise the opportunities and challenges that lie ahead. We live in a time of rapid technological advancement, shifting economic dynamics, and growing environmental concerns.
“Looking into the future, we reaffirm our commitment to driving sustainable industrialisation, supporting clients with innovative financing solutions, expanding our partnerships, strengthening financial inclusion efforts, and working closely with government agencies to advocate for policies that foster a supportive business environment, particularly for MSMEs and start-ups, thus, building a resilient and inclusive economy.
“This anniversary is a testament not just to the longevity of our institution but also to the resilience, adaptability, and shared purpose that we carry in our mission.
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To our partners and stakeholders who have contributed to our journey, thank you for your passion, dedication, and belief in our vision.”
Also, Shekarau Omar, BOI’s Executive Director for MSMEs, outlined the bank’s efforts to support small businesses. He noted that BOI has disbursed more funds than initially planned and has developed innovative programs like the Rural Area Programme for Integrated Development (RAPID) to reach underserved communities.
The RAPID initiative focuses on supporting rural businesses, with N3.7 billion earmarked for disbursement by early 2025.
Omar highlighted the importance of proximity to MSMEs, stating that BOI has signed Memorandums of Understanding (MoUs) worth N12 billion with state governments over the past three months to enhance regional support. Currently operating in 33 states, BOI plans to establish a presence in all state capitals by the first quarter of 2025, ensuring equitable access to funding.
Reflecting on BOI’s impact, Omar underscored the critical role MSMEs play in Nigeria’s economy, describing the sector as the backbone of the nation’s growth potential. He noted that in 2023, BOI disbursed N64 billion to over 1 million MSMEs, exceeding its N54 billion target. By the end of 2024, BOI expects to disburse between N115 billion and N120 billion, benefiting approximately 2 million MSMEs.
As BOI continues its mission, it remains a vital player in fostering Nigeria’s industrial and economic transformation. By expanding its reach and innovating its services, the bank aims to bridge funding gaps, empower businesses, and contribute to the country’s sustainable development.
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