BOI and IFC partner for $50 million loan to boost Nigerian businesses

Bank of Industry Limited (BOI) and the International Finance Corporation (IFC) have signed a $50 million senior loan to increase long-term funding for micro, small, and medium-sized enterprises (MSMEs) in Nigeria.

This loan is part of a larger IFC investment package of up to $100 million to support BOI. At least 25 percent of this loan will go to women-owned businesses.

The agreement was signed at the Africa Financial Industry Summit (AFIS) 2026. Olasupo Olusi, the Managing Director and CEO of BOI, and Makhtar Diop, Managing Director of IFC, signed the deal. IFC is a part of the World Bank Group.

The loan has a seven-year term. This will help BOI improve its funding and offer longer-term finance to businesses in manufacturing, agriculture, and renewable energy.

The deal will also provide funding for Nigeria's creative industries. This could lead to job creation for the country's growing youth population.

The stakeholders say this deal aims to speed up industrial growth and support productive businesses.

It will also combine direct development finance with domestic capital market efforts to attract long-term funding for business growth.

BOI stated that this agreement strengthens its ability to provide capital to businesses that create jobs and support Nigeria's industrial growth.

Mr. Olusi commented on the approval, saying it shows how effective strategic development finance partnerships can be.

"This partnership represents a strong vote of confidence in BOI’s mandate, institutional capacity, and role in advancing Nigeria’s industrial development," the BOI MD said.

He added that the $50 million loan will help the bank provide long-term financing to MSMEs and focus on expanding opportunities for women-owned businesses.

"Beyond the immediate financing, our collaboration with IFC shows our shared commitment to mobilizing capital, supporting business growth, and creating sustainable jobs," Mr. Olusi explained.

He also mentioned that the bank sees this deal as a key step in building a stronger partnership that will significantly impact Nigeria’s economic development.

Mr. Diop said that giving smaller businesses access to long-term finance is key to their growth, job creation, and strengthening local value chains.

"Through our partnership with the Bank of Industry, we are combining financing with local capital-market solutions to attract more private capital and expand local currency funding for MSMEs, including women-owned businesses," the IFC MD said.

Support for Women-owned Businesses

The IFC's support aligns with BOI’s goals around MSME development, gender inclusion, and sustainable industrial growth.

In October, Mr. Olusi mentioned that BOI disbursed N644.9 billion to Nigerian businesses in 2025. Of this amount, N120.9 billion went to women-owned businesses.

He noted that women-owned and youth-owned businesses each received 20 percent in 2025. This is above the bank’s minimum targets of 15 percent for women and 20 percent for youth. MSMEs made up 41 percent of total funding, exceeding the bank’s 35 percent target for the year.

BOI said this deal with IFC supports the Nigerian government's plan to boost private sector growth, improve access to finance, and strengthen Nigeria’s productive capacity.

The bank plans to continue working with IFC to complete the necessary financing documentation and meet all the usual conditions needed for the deal.

BOI is Nigeria’s main development finance institution. It provides long-term funding and advisory services to businesses in key sectors of the economy.

IFC is the largest global development institution focused on the private sector in developing markets. It operates in over 100 countries.

In fiscal year 2026, IFC reported committing a record $105 billion to private companies and financial institutions in developing countries.