The Development Bank of Nigeria (DBN) has announced plans to boost support for Micro, Small, and Medium Enterprises (MSMEs) by expanding its outstanding loan portfolio with over N1.8 trillion.
Mr Tony Okpanachi, the Managing Director, told reporters in Lagos that this initiative is part of the bank’s five-year strategic plan aimed at boosting economic growth and job creation across Nigeria.
To facilitate this expansion, DBN is working to attract N3 trillion in both debt and equity funding.
“This funding will enable us to provide financial resources to a larger number of MSMEs, a crucial sector for economic development and employment,” he said.
“We want to build on the progress made during the first five years and significantly scale up our impact in the next five,” Okpanachi added. “There is still much to be done in Nigeria, and we are very ambitious about what we need to achieve.”
He further explained that DBN’s strategy prioritises inclusive growth, with targets to allocate 20 per cent of lending to women-led businesses and 40 per cent to enterprises owned by disadvantaged groups.
The bank is also focusing on expanding green financing and supporting businesses in less developed states.
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Okpanachi revealed that the plan aims to create an additional 800,000 jobs, bringing the total to two million jobs over the next five years.
“In the past six years, we have facilitated around 1.2 million jobs,” he noted. “Our goal is to at least double that number, including both direct and indirect employment.”
Regarding financial sustainability, he stressed, “While pursuing growth, we remain committed to being financially sustainable.”
As a wholesale lender, DBN’s new targets represent a fresh effort to stimulate growth across multiple sectors, not merely a cumulative figure.
The bank continues to broaden its funding base by strengthening existing partnerships and seeking new collaborations to increase debt and equity financing.
Discussions with international partners are ongoing, alongside plans to access local capital markets via a bond programme, which will proceed when macroeconomic conditions permit.
“Strategically, we must expand our funding sources, deepen current relationships, and leverage existing funds to attract additional resources,” Okpanachi said.
He highlighted a deliberate focus on labour-intensive sectors such as manufacturing and agriculture, recognising their significant potential for job creation.
“This strategy consciously favours sectors that employ large numbers of people, rather than those heavily dependent on technology,” he explained.
“Sectors like manufacturing and agriculture are labour-intensive and generate more employment opportunities. We are therefore prioritising these areas,” he concluded.
