The Bank of Industry (BOI) and the International Finance Corporation (IFC), a member of the World Bank Group, have signed a $50 million loan agreement to expand access to long-term financing for micro, small and medium-sized enterprises (MSMEs) in Nigeria.
The seven-year financing facility was signed at the Africa Financial Industry Summit (AFIS) 2026 in Luanda, Angola, as part of IFC’s broader investment package of up to $100 million to support BOI.
At least 25 per cent of the loan proceeds will be dedicated to women-owned businesses, with the funding expected to strengthen access to capital for enterprises across key sectors of the Nigerian economy.
The facility is expected to support businesses operating in manufacturing, agriculture, renewable energy and the creative industries.
These sectors have been identified as important to expanding domestic production, strengthening local value chains and creating employment opportunities.
BOI Managing Director and Chief Executive Officer, Olasupo Olusi, said the agreement would strengthen the bank’s capacity to provide long-term financing to productive enterprises.
He described the partnership as a demonstration of confidence in the institution’s role in advancing Nigeria’s industrial development, while emphasising the importance of expanding financing opportunities for women-owned businesses.
IFC Managing Director, Makhtar Diop, said access to long-term finance remained essential to helping smaller businesses expand their operations, create jobs and strengthen local value chains.
He added that the partnership would combine direct financing with local capital market solutions to mobilise additional private investment and expand local-currency funding for MSMEs.
Beyond the $50 million loan, IFC’s proposed investment package includes an anchor investment of up to $50 million equivalent in BOI’s domestic bond issuance. At least 10 per cent of the bond proceeds will be allocated to MSMEs.
The bond investment is expected to attract additional funding from pension funds, asset managers and other private investors, further strengthening the availability of long-term financing for businesses.
The agreement also aligns with efforts to address funding challenges facing Nigerian MSMEs, particularly businesses seeking longer repayment periods to support expansion, equipment acquisition and increased production.
BOI said work would continue with IFC towards completing the definitive financing documentation and fulfilling the customary conditions required for implementation.
The partnership is expected to deepen access to finance, support enterprise development and strengthen the contribution of smaller businesses to Nigeria’s economic growth.
Sources: Bank of Industry official announcement; IFC investment disclosure.
