Nigeria has secured a €200 million financing facility from the European Investment Bank’s development arm, EIB Global, through a partnership with the Development Bank of Nigeria. This initiative aims to expand access to credit for small businesses and support investments in the country’s green and digital economy.
The funding agreement was announced following a signing ceremony at the Development Bank of Nigeria’s Lagos office, attended by EIB Vice-President Ambroise Fayolle. The facility will be deployed through local financial institutions to support micro, small and medium-sized enterprises (MSMEs) as well as mid-sized companies operating in agriculture, renewable energy, digitalisation, and innovation.
This development addresses the persistent challenges Nigerian businesses face in accessing long-term financing, exacerbated by elevated interest rates and funding gaps that have constrained private sector growth.
EIB Global stated that the investment programme is designed to boost private sector development by supporting enterprises contributing to Nigeria’s green and digital transformation. The facility will expand financing opportunities for businesses in renewable energy and agribusiness, sectors identified as critical for sustainable economic growth.
The agriculture component is expected to improve productivity, strengthen local supply chains, and enhance food security. Funding for renewable energy businesses will help expand access to clean energy, reduce carbon emissions, and improve climate resilience in underserved communities.
EIB Vice-President Ambroise Fayolle commented that the initiative would strengthen the competitiveness of Nigeria’s private sector while advancing inclusive growth objectives. He noted that supporting green projects and women entrepreneurs fosters inclusive growth and climate action, serving as a powerful example of EIB’s impact.
The financing aligns with EIB Global’s strategy to support sustainable, inclusive, and resilient economic growth in Nigeria under the European Union’s Global Gateway Initiative.
Dr Tony Okpanachi, Managing Director and Chief Executive Officer of the Development Bank of Nigeria, described the facility as a major milestone in supporting entrepreneurship and sustainable economic development. He stated that by supporting local financial institutions and MSMEs in key sectors, they are empowering entrepreneurs and fostering sustainable innovation.
Okpanachi added that the partnership underscores DBN’s commitment to accelerating Nigeria’s transition to a sustainable, innovation-driven, and digitally enabled economy, creating jobs and improving livelihoods. This aligns with DBN’s vision to support green growth and digital transformation.
EIB Global has invested nearly €500 million in Nigeria’s private sector over the years, supporting sustainable business growth through long-term financing. Its cumulative investments in Nigeria have reached approximately €2.3 billion since operations began in 1978, supporting projects in sustainable urban transport, climate adaptation, agribusiness logistics, digitalisation, and financing for SMEs and mid-sized companies.
The Development Bank of Nigeria (DBN) Plc has disbursed over N1 trillion to more than one million MSMEs, supporting the creation of over 1.6 million jobs since commencing operations. Licensed in 2017, DBN was established to address financing constraints facing Nigeria’s MSME sector by providing long-term funding, credit guarantees, and capacity-building support through participating financial institutions.
