By 
BoI Receives CBN Nod for Non-Interest Banking Operations
The Bank of Industry (BoI) has secured regulatory approval from the Central Bank of Nigeria (CBN) to operate a Non-Interest Banking (NIB) Window. This marks a major milestone in the development finance institution’s growth and long-term transformation agenda.
RELATED: Moniepoint disburses ₦1t in SME credit, processes ₦412tr transactions in 2025
The approval was announced on Sunday in Lagos in a statement by the Managing Director of BoI, Dr. Olasupo Olusi. He described the development as a strategic step to deepen inclusive and ethical financing across Nigeria’s economy.
Expanding Access to Ethical and Inclusive Financing
According to Olusi, the Non-Interest Banking Window will enable BoI to scale its operations, and introduce innovative financing solutions. Now, BOI can expand support for Micro, Small and Medium Enterprises (MSMEs) and other underserved segments of the economy.
“This approval allows BoI to scale its operations, introduce innovative financing solutions, and deepen support for MSMEs and other underserved segments critical to Nigeria’s sustainable economic growth,” he said.
The initiative is expected to unlock financing opportunities for businesses that traditionally avoid interest-based lending. These include ethically motivated and faith-sensitive enterprises.
Strengthening MSME Growth Under BoI’s 2025–2027 Strategy
The NIB approval aligns with BoI’s 2025–2027 strategic pillars, which focus on digital automation, and financial inclusion. Equally important is the sector-specific funding designed to support over two million enterprises nationwide.
BoI currently leverages:
- 33 branches nationwide
- Specialised subsidiaries
- 416 Business Development Service Providers (BDSPs)
These platforms support the delivery of low-interest loans, technical assistance, and advisory services. All of these are aimed at improving MSME survival rates and reducing dependence on informal credit sources.
Key Mechanisms Driving MSME Support
BoI’s strategy to deepen MSME financing includes several targeted interventions:
- Innovative Financing: Tailored products such as Smallholder Farmers Lending and Distributor Finance Programmes, with over ₦1.27 trillion disbursed across 14 key sectors in 2024.]
- Structured Interventions: Programmes like the ₦75 billion MSME Survival Fund and GEEP initiatives (TraderMoni and MarketMoni), providing affordable funding to micro-enterprises.
- Strategic Partnerships and Advisory: Deployment of BDSPs to improve credit access, complemented by a nationwide Business Clinic model to enhance operational sustainability.
- Digital Transformation: Full digital automation of loan applications, disbursements, and impact tracking under the 2025–2027 strategy.
Reaching New Borrower Segments
Olusi noted that the CBN approval authorises BoI to formally commence non-interest banking operations. The licence allows the bank to serve a new category of borrowers previously excluded from conventional financing.
He said the approval reflects the regulator’s confidence in BoI’s commitment to responsible and development-focused financing. The move was designed to expand access to ethical funding for high-impact sectors, he added.
Driving Sustainable and Inclusive Industrial Development
The BoI Managing Director explained that the NIB framework positions the bank to further advance Nigeria’s sustainable and inclusive industrial development agenda through customised financial solutions.
Under the non-interest banking model, BoI will be able to finance assets and raw materials using approved NIB products, while aligning its lending activities with social, developmental, and ethical objectives.
Olusi added that the initiative would help mobilise new pools of ethical funding, strengthen support for the real economy, and drive inclusive growth across priority thematic areas, including MSMEs, gender, youth, digital economy, infrastructure, and climate finance.
