Nigeria secures $50m loan to empower women entrepreneurs

The Bank of Industry (BoI) has secured a $50 million loan portfolio from the African Guarantee Fund (AGF) to support women-owned businesses and Small and Medium Enterprises (SMEs) in Nigeria.

The 10-year agreement, under the African Development Bank’s (AfDB) Affirmative Finance Action for Women in Africa (AFAWA) initiative, aims to drive economic growth and sustainability through targeted financing.

“This collaboration promises to drive inclusive growth, innovation, and sustainable development,” said Olasupo Olusi, managing director and CEO of BoI, during the Africa Investment Forum in Rabat, Morocco. The funds will focus on providing financial and business support to women entrepreneurs, youth-driven ventures, and environmentally sustainable businesses.

The AGF will also offer tailored guarantees and technical assistance for BoI’s SME products. This framework is projected to unlock up to $100 million in additional financing for Nigerian SMEs. Mr. Olusi highlighted the partnership as a critical step toward reducing unemployment and fostering economic growth, aligning with President Bola Tinubu’s Renewed Hope agenda.

Beth Dunford, AfDB’s Vice President for Agriculture, Human, and Social Development, underscored the bank’s dedication to empowering women entrepreneurs. “This strategic partnership is a beacon of hope and progress for African businesses, particularly those led and owned by women,” she remarked.

The initiative marks a significant milestone in Nigeria’s industrial and entrepreneurial landscape, promising to boost innovation and inclusivity while addressing systemic challenges in access to finance.