The Bank of Industry (BOI) has unveiled a 2026 financing strategy that channels 80 per cent of its lending to large enterprises into priority sectors. This move aims to accelerate Nigeria’s industrial recovery.
The strategy places power, manufacturing, agribusiness, pharmaceuticals and digital infrastructure at the centre of BOI’s 2026 lending plans. BOI disclosed the strategy in its 2025 Annual Development Impact Report. The bank describes 2026 as a “strategic inflection point” in its 2025-2027 transformation agenda.
BOI designed the strategy to address major constraints affecting businesses and the wider economy. These constraints include high inflation, foreign exchange shortages, rising energy costs, weak infrastructure and low industrial productivity.
BOI will allocate 35 per cent of its total funding to micro, small and medium enterprises. Meanwhile, 80 per cent of financing for large enterprises will go to priority sectors.
The bank will also commit 30 per cent of large enterprise financing to infrastructure projects. Additionally, BOI will dedicate 15 per cent of its financing to women-owned businesses.
Furthermore, 20 per cent of MSME financing will target young entrepreneurs. BOI will also direct 10 per cent of funding toward green projects, while 15 per cent will support digital and information technology initiatives.
Through this approach, BOI intends to move from broad lending toward targeted capital deployment. The bank considers this shift critical to Nigeria’s economic transformation. BOI aims to double its asset base by 2027 while driving industrialisation, job creation and economic resilience.
BOI Targets Key Sectors
BOI identified power and electricity, transport and logistics, manufacturing, agribusiness, pharmaceuticals and digital technology as transformational sectors. The bank expects these sectors to boost productivity and cut Nigeria’s reliance on imports.
BOI plans to finance power generation, transmission and distribution projects. The bank will also fund industrial parks and logistics corridors to strengthen supply chains.
Additionally, BOI will deploy guarantees and blended finance mechanisms to lower the risks tied to private-sector investment in critical infrastructure. As a result, the bank expects stronger investment in these areas to help businesses tackle their biggest operating challenges: high energy costs, inefficient transport networks and heavy dependence on imported inputs.
Manufacturing and agribusiness will also receive major attention under the 2026 strategy. BOI plans to finance food processing, manufacturing, pharmaceuticals and other productive sectors. This move could expand export-oriented industries while cutting demand for foreign exchange spent on imported goods and industrial inputs.
The bank believes stronger domestic production could improve economic resilience. It could also open more opportunities for businesses to participate in local and international value chains.
The strategy arrives against a backdrop of persistent financing challenges facing Nigerian businesses. These challenges include high interest rates, collateral requirements, energy costs, infrastructure gaps and currency instability.
BOI acknowledged that these obstacles continue to constrain investment. As a result, many businesses struggle to expand beyond survival-level operations.
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MSMEs Now Get a Bigger Slice of BOI’s Funding
MSMEs will remain a major focus of BOI’s financing strategy, with 35 per cent of total funding earmarked for the sector. The bank plans to use digital lending platforms and partnerships with commercial and microfinance banks to improve access to finance for smaller businesses.
Through these initiatives, MSMEs can expect lower-collateral working capital, sector-specific credit products and faster loan approval processes. BOI designed this approach to address major barriers preventing small businesses from accessing formal financing.
The bank will also dedicate 20 per cent of its MSME financing to young entrepreneurs. This allocation could create additional opportunities for youth-led businesses seeking capital to start, expand or scale their operations.
BOI is also positioning 2026 as a major year for internal digital transformation. According to the report, the bank will deploy centralised data systems, automated loan tracking, digital dashboards and end-to-end online lending processes.
This digital infrastructure should improve the speed and efficiency of loan processing. It will also allow BOI to monitor the impact of its financing more effectively.Women-owned businesses will receive 15 per cent of BOI’s financing allocation, while green projects will account for 10 per cent of funding.
BOI described 2026 as its “digital take-off year.” The bank stressed that a stronger digital backbone remains necessary to support the scale of financing planned under the transformation agenda.
BOI’s broader objective centres on doubling its asset base by 2027 while driving industrialisation, job creation and economic resilience. However, the strategy’s success will ultimately depend on how effectively the planned financing translates into productive investment, stronger businesses and measurable economic outcomes.
Nigerian businesses continue to contend with high operating costs, infrastructure constraints and financing difficulties. Therefore, BOI’s 2026 strategy could play an important role in determining whether targeted development financing can strengthen domestic production, reduce import dependence and create more sustainable growth opportunities.
For MSMEs and larger businesses alike, the critical question remains simple: will the increased focus on priority sectors deliver greater access to affordable capital and tangible improvements in productivity and business growth?
