The Bank of Industry (BoI) announced that it has gained regulatory license from the Central Bank of Nigeria (CBN) to operate a Non-Interest Banking (NIB) Window, marking a significant milestone in the bank’s expansion and long-term development plans.
According to a statement from the bank, the license allows BoI to begin Non-Interest Banking activities, positioning the bank to further advance Nigeria’s sustainable and inclusive industrial growth through bespoke finance solutions for underserved and high-impact business categories.
The NIB operations will allow the BoI to promote inclusive growth, raise new ethical finance, increase support for the real economy, and integrate its financing activities with social and developmental goals. Under this framework, BoI will be able to finance assets and raw materials for customers by utilizing approved NIB products.
“The approval underscores the CBN’s confidence in the bank’s commitment to responsible financing. This will allow the Bank to scale its operations, introduce innovative financing solutions, and deepen support for Micro, Small and Medium Enterprises (MSMEs), as well as other underserved segments critical to Nigeria’s sustainable economic growth,” the statement added.
Dr. Olasupo Olusi, Managing Director of the Bank of Industry, commented, “This license marks a watershed point in the Bank’s effort to improve Nigeria’s industrial sector. With this license, we will be able to service a new category of borrowers who were previously unavailable.”
The BOI’s decision to launch Non-Interest Banking operations aims to increase access to ethical funding for enterprises, particularly those that have previously eschewed traditional interest-based financing.
The initiative provides new opportunities for morally driven and faith-sensitive businesses, as well as areas of the economy that have difficulty obtaining traditional finance. It enables these enterprises to obtain much-needed finance and securely participate in the official financial system in accordance with their principles and business reality.
