Wholesale lending
The Development Bank of Nigeria provides wholesale term funding and risk-sharing facilities to Participating Financial Institutions (eligible retail intermediaries such as commercial banks, microfinance banks, existing retail DFIs and leasing companies) for on-lending to MSMEs.
Our offerings are designed to develop the society around us, supporting local entrepreneurs and empowering small business owners to drive economic growth.
The DBN loan repayment tenure is flexible (up to 10 years with a moratorium period of up to 18 months) and the pricing is pragmatic and referenced to market rates.
We are committed to facilitating increased access to financing for MSMEs.
Our Offerings
Finance to Finance on-lending scheme
This on-lending scheme designed specifically for Financial Institutions (FI) with lending operations to MSMEs. It allows DBN Participating Financial Institutions cater for the financing needs of their FI customers that lend to MSMEs for a period of up to 7years. Qualifying PFIs include: Microfinance Banks, Microfinance Institutions, Financial NGOs, Cooperatives, Fintech Companies & Other Non-Bank Financial Institutions.
Product name
DBN finance to finance
Target
FI customers of DBN approved participating financial institutions, financial NGOs, cooperatives, Fintechs companies & other non-bank financial institutions
Tenor
Maximum tenor of seven (7) years
Facility limit
PFI to determine qualifying loan amount for the FI based on risk assessment
Condition
FI is expected to have active MSME portfolios and demonstrate commitment to lend to same
Long Term Finance Scheme for PFIs
The Long-Term Finance is provided to Participating Financial Institutions to support their long-term lending to MSMEs for a period of up to 10years. The structure of the fund is flexible and can be easily adapted to suit the PFIs peculiar needs and finance structure. PFIs can request for this facility to cater for the long-term finance needs of their MSME customers where available funding is typically short-term.
Product name
DBN long term finance scheme
Purpose
To provide funding to Participating Financial Institutions to support thier long term lending activities to MSMEs
Target market
All PFIs who require long term funding for their business across all sectors
Tenor
Minimum tenor of 5 years and maximum tenor of 10 years
Condition
Moratoruim of up to 7 years on principal subject to specific financing structure of PFIs
Product Name
All sectors
Geographical Spread
All geopolitical zones
Stage of Business Life Cycle
Startup, growth and expansion
Number of Employees
Less than 250 for MSMEs
Asset Base
Less than N 1.125 billion
Annual Turnover
Less than N950 million
Maximum Loan Size
N200 Million
Partial Credit Risk Guarantees
Participating Financial Institutions may opt to share risk with the Development Bank of Nigeria.
For more information on our Partial Credit Risk Guarantee
Click here
Capacity Building
Technical Assistance will be provided to both the Participating Financial Institutions and the ultimate end borrowers.
For more information on our Capacity Building Initiatives
Click here