BoI formally known as Nigeria Industrial Development Bank NIDB was incorporated in 1964 with share capital of $400million. The bank with the mandate to assist small, medium and large enterprises excluding cottage businesses had its name changed to Bank of Industry in October 2001.
At a recent management retreat for officer of the ministry and parastatal under the ministry of trades and industry in Makurdi. The banks acting MD, Mr. Waheed Olagunju, while presenting a paper entitled “Target Financing for SMEs’’ says the bank will assist Small and Medium Enterprises (SMEs) with N376 billion before the end of 2019.
The theme of the conference is, “Implementing the Economic Recovery and Growth Plan (ERGP) through Industry, Trade and Investment’.
According to the acting MD, disbursement to SMEs increased from a record of N5.64 billion in 2015 to N8.02 billion as at end of 2016, while the bank is targeting N376 billion for 2019.
He mentioned that the bank had signed a Memorandum of Understanding (MoU) with After school Graduate Development Centre.The scheme he said would provide between N200, 000 to N500, 000 to empower one million youths over the next five years.
Mr. Olagunju mentioned that BoI had provided over N5billion to micro-finance banks for on lending as micro-loans. According to him, “About N4.5 billion has been disbursed to micro-finance banks and over 15,000 microenterprises have benefitted from this scheme’’.
For associations and groups the acting MD said 44 key business clusters had been identified nationwide with products developed, taking into account peculiarities as SMEs Credit group was set up to ensure effective turnaround time in reviewing credit. He said the bank had also disbursed N1.48 billion to market associations and co-operatives, as well as developed strategic alliances with MFBs and Mobile Money operators to facilitate effective disbursement of loans
According to Olagunju, the bank has identified a number of key sources toward shoring-up its lending capacity.