Development Bank of Nigeria boosts small businesses with N1tr funding

The Development Bank of Nigeria (DBN) has reported disbursing more than N1 trillion to Micro, Small, and Medium Enterprises (MSMEs) nationwide, contributing to the creation of over 1.2 million jobs.

This was revealed by the bank’s Managing Director, Dr. Tony Okpanachi, during an interview with the News Agency of Nigeria (NAN) at the African Development Bank (AfDB) Annual Meetings held in Abidjan.

Okpanachi described the disbursement as a significant achievement in DBN’s effort to improve financial access for small businesses in Nigeria.

“We are proud to report that at the end of 2024, DBN had disbursed over N1 trillion to MSMEs through our partner financial institutions,” he said. He noted that the funding had helped stimulate economic activities and improve livelihoods, particularly at the grassroots level. On job creation, Okpanachi stated, “We have been able to support over 1.2 million jobs directly and indirectly.”

He explained that the bank operates a wholesale lending model, providing funds to commercial banks and microfinance institutions, which then lend to small businesses. Despite the progress, Okpanachi acknowledged that a significant financing gap persists in the MSME sector.

“The need is massive and we are not resting on our oars. There is still much more to be done to close the access gap and expand our reach,” he said.

Okpanachi emphasized the need to maintain momentum by pursuing policy reforms, increasing collaboration with development partners, and introducing innovative financing methods.

He also commended outgoing AfDB President Dr. Akinwumi Adesina for his leadership over the past decade, stating that Adesina’s tenure had laid a strong foundation for future growth.

“Under Adesina, AfDB has nearly tripled its capital base and disbursed more in ten years than it did in its first 50 years. That is no small feat,” Okpanachi said. He called for continued leadership and vision to sustain progress and advance Africa’s development goals.