By Aisha Muhammad Magaji
The Development Bank of Nigeria (DBN) says it has disbursed a total of ₦1.1 trillion to more than 700,000 businesses across the country since its establishment, in a major boost to micro, small, and medium enterprises (MSMEs).
This milestone was announced in Abuja on Tuesday by DBN Managing Director, Tony Okpanachi, during a media briefing on the bank’s impact and future plans.
Okpanachi explained that the funds were disbursed through participating financial institutions (PFIs), including commercial banks, microfinance banks, and other licensed lenders, to ensure that small businesses have access to affordable credit.
“Since inception, our mandate has been to bridge the financing gap in Nigeria’s MSME sector. We are proud to report that over 700,000 businesses have benefitted from DBN’s interventions, receiving a total of ₦1.1 trillion,” Okpanachi said.
He noted that DBN’s interventions are targeted at businesses in agriculture, trade, services, manufacturing, and technology, which collectively employ millions of Nigerians.
According to DBN’s impact report, its financing has helped create and sustain more than 1.2 million jobs over the past seven years. Beneficiary businesses, many of which had struggled to access credit under conventional banking systems, have been able to expand operations, hire more staff, and improve competitiveness.
Mrs. Aisha Bello, a fashion entrepreneur in Kano who received DBN-backed financing through her microfinance bank, said the intervention transformed her business.
“I was able to buy industrial sewing machines and employ 12 more workers. Without that loan, my business would not have survived the economic shocks of the past two years,” she said.
Nigeria’s MSME sector, estimated at over 39 million enterprises, contributes nearly 50% to the GDP and employs more than 80% of the workforce. Yet access to finance remains a major barrier, with the sector facing an estimated $158 billion financing gap according to the International Finance Corporation (IFC).
DBN was set up in 2017 to tackle this challenge by providing long-term, low-cost financing to MSMEs through PFIs. Unlike conventional loans, DBN-backed loans come with longer tenors and flexible repayment terms.
Okpanachi emphasized that the bank has prioritized women- and youth-led enterprises, with more than 65% of beneficiaries falling within these categories.
“Empowering women and young entrepreneurs is central to our mission, as they are often excluded from traditional financing channels,” he said.
The bank has also introduced capacity-building programs to train MSME operators in financial management, digital skills, and sustainability practices.
Looking ahead, DBN says it plans to expand its partnerships with more financial institutions, deepen its digital lending framework, and increase funding for green and climate-resilient businesses.
“We are committed to supporting Nigeria’s transition to a sustainable economy. Part of our next phase is channeling funds towards renewable energy, waste management, and climate-smart agriculture,” Okpanachi added.
Minister of Finance, Wale Edun, who attended the briefing, commended DBN for its role in stabilizing the MSME sector and pledged continued government support.
“The DBN has proven to be a reliable partner in our economic transformation agenda. Its interventions in the MSME space directly align with the federal government’s drive to promote job creation, industrialization, and inclusive growth,” Edun said.
As Nigeria faces rising inflation and economic uncertainty, access to affordable credit remains a lifeline for millions of small businesses.
With ₦1.1 trillion already disbursed and ambitious plans for expansion, the Development Bank of Nigeria appears set to play an even greater role in strengthening the backbone of the economy the MSME sector.
