The Bank of Industry (BOI) has entered into a strategic partnership with the Lagos Free Zone (LFZ), owned by the Tolaram Group, to accelerate industrial development in Nigeria. The agreement, signed on January 5, 2026, signals a concerted effort to foster economic growth within the strategically important Lagos Free Zone.

What you should know

The Lagos Free Zone is a privately owned industrial zone located in Ibeju-Lekki, Lagos. It’s designed to be a hub for manufacturing, logistics, and other industrial activities, offering companies various incentives such as tax breaks and streamlined regulatory processes.

The Bank of Industry (BOI) is Nigeria's oldest and largest development finance institution. It provides financial assistance to industrial enterprises, aiming to promote economic growth and diversification.

This partnership aligns with the Nigerian government's broader strategy of promoting industrialization and reducing reliance on imports. By providing financing and support to companies operating within the Lagos Free Zone, BOI aims to attract more investment and create jobs.

Recall that the Lagos Free Zone has already attracted significant foreign direct investment, and this partnership with BOI is expected to further enhance its appeal to both local and international investors. The collaboration is poised to facilitate the growth of key sectors such as manufacturing, consumer goods, and logistics.

Partnership Details

Specific details of the agreement haven't been fully disclosed. However, the partnership is expected to involve BOI providing financing options, including loans and credit facilities, to companies setting up or expanding operations within the Lagos Free Zone. This financial support will enable businesses to acquire necessary equipment, expand production capacity, and create employment opportunities for Nigerians.

Managing Director, Africa, Tolaram, Haresh Aswani; Managing Director/Chief Executive Officer, Lagos Free Zone, Adesuwa Ladoja; and Managing Director/Chief Executive Officer, Bank of Industry, Dr. Olasupo Olusi, were present at the agreement signing, underscoring the commitment of all parties to the success of the partnership.

Market Implications

This partnership is positive news for the Nigerian economy, particularly for the industrial sector. Increased investment in the Lagos Free Zone will likely lead to higher levels of economic activity, job creation, and increased exports. It is anticipated that this collaboration will encourage other free zones and financial institutions to explore similar partnerships to accelerate industrial growth across the country.

Investors should closely monitor the implementation of this partnership and its impact on the performance of companies operating within the Lagos Free Zone. Increased access to finance could lead to improved profitability and growth prospects for these businesses.

Market watchers believe that the synergy between BOI's financing expertise and Tolaram's infrastructure development capabilities within the Lagos Free Zone will create a conducive environment for industrial growth and attract further investment into Nigeria. The development follows the government's increasing push to diversify the economy and reduce dependence on oil revenues.