The Bank of Industry (BOI) has signed a memorandum of understanding with the Plateau State Government to establish a N4 billion matching fund aimed at expanding access to affordable, long-term financing for micro, small and medium enterprises (MSMEs) across the state.
The BOI–Plateau State Government (BOI-PLSG) Matching Fund is expected to support businesses domiciled across the 17 local government areas of the state by providing funding for both equipment acquisition and working capital at single-digit interest rates.
The initiative is designed to accelerate job creation, strengthen local value chains and deepen inclusive economic growth.
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Under the structure of the fund, the single obligor limit will not exceed N100 million, with a maximum loan tenor of five years and a moratorium period of up to 12 months from the date of disbursement.
Beyond financing, the initiative will also incorporate training and capacity-building programmes for potential beneficiaries. These programmes will be delivered in collaboration with accredited Entrepreneurship Development Centres (EDCs) to enhance the managerial and technical capabilities of participating entrepreneurs.
The capacity-building efforts will focus on value addition across several sectors including poultry, block making, oil and rice milling, agro-mechanisation, packaging, pharmaceuticals, bakery and confectioneries, as well as other viable business activities.
The programme will also encourage the establishment of product clusters to strengthen MSME ecosystems and nurture specialised entrepreneurs, particularly women and youths.
Speaking on the partnership, BOI’s managing director and chief executive officer, Olasupo Olusi, said the bank had sustained engagement with the state’s business community in recent years.
“The Bank has maintained an active presence in Plateau state since 2020 disbursing N8.46 billion to 257 enterprises, supporting Micro, Small and Medium Enterprises as well as Large Enterprises across the State. These interventions span several programs including the Federal Government MSME and Manufacturing Intervention Funds, the Rural Area Program on Investment for Development (RAPID), and BOI funded projects”.
Olusi also noted that improvements in the state’s investment climate were encouraging for the bank and other private sector stakeholders.
“We are also encouraged by the State’s continued efforts to improve the business environment. Plateau State’s improved ranking on the Ease of Doing Business index, according to the Presidential Enabling Business Environment Council’s subnational report, reflects deliberate reforms aimed at creating a conducive environment for investment and private sector participation.”
Governor Caleb Manasseh Mutfwang of Plateau State said the partnership reflects the state government’s commitment to strengthening enterprise development and supporting inclusive economic growth.
According to him, both parties are contributing equally to the fund.
“The Plateau state government and the Bank of Industry is contributing N2 billion each to facilitate this partnership aimed at stimulating MSMEs in the state with focus on women and youths.
This partnership will improve the state’s contribution to the country’s GDP in alignment with the vision of President Bola Ahmed Tinubu to build a $1 Trillion economy”.
The collaboration is expected to leverage BOI’s expertise in providing financial and business support services to MSMEs, while helping unlock sustainable growth opportunities for businesses operating in Plateau State.
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BOI, Nigeria’s foremost development finance institution, was established in 1959 as the Investment Company of Nigeria (ICON) before it was reconstituted as the Nigerian Industrial Development Bank in 1964 under the guidance of the World Bank. The bank assumed its current structure in 2001 following the merger with the Nigerian Bank for Commerce and Industry and the National Economic Reconstruction Fund.
Its core mandate is to provide financial assistance for the establishment and expansion of large, medium, small-scale and micro enterprises as part of efforts to drive industrial growth and inclusive economic development in Nigeria.
Caleb Mutfwang (L), Governor of Plateau State, and Olasupo Olusi (R) MD/CEO Bank Of Industry, at the MOU signing ceremony for a N4 Billion BOI-PLSG Matching Fund To Boost MSMEs in the state.
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