The Bank of Industry (BoI) is a development bank in Nigeria. It was established to financially assist manufacturing and processing businesses. Primarily supporting industrial sectors, BoI provides funding for equipment in value chain productions.

BoI is Nigeria’s oldest and largest development financing institution. It emerged from a merger in 2001. The merger combined the Nigerian Industrial Development Bank, Nigerian Bank for Commerce and Industry (NBCI), and National Economic Reconstruction Fund (NERFUND).
Below are the function of Bank of Industry:

1. Provision of Long-Term Financing

BoI provides long-term loans and advances to industries for acquiring plants and machinery. It also provides loans for working capital purposes. This is to stimulate industrial growth and development.

2. Support to Small and Medium Enterprises (SMEs)

It focuses on supporting SMEs, which are vital for economic growth and job creation. The bank offers various financial products. The products are tailored to the needs of small and medium-sized businesses.

3. Promotion of Industrial Projects

The BoI identifies and promotes new industrial projects. It also provides financial assistance for those projects. This includes conducting feasibility studies and encouraging private sector participation in these projects.

4. Policy Advocacy and Advisory Services

The bank advises the government on industrial financing. It also advises the government on policies. It also offers consultancy and advisory services to its clients. Also, it aids them in project implementation and management.

5. Capacity Building

The Bank of Industry also organizes training and workshops for industrial sectors. They do this by building their capacity. This is to enhance the skills and knowledge of entrepreneurs and industry workers.

6. Environmental Sustainability

The BoI has also focused on promoting sustainable practices in industries. It offers incentives and support for projects. It uses green technologies.

7. Partnerships and Collaboration

The bank collaborates with various national and international organizations to achieve its objectives. This includes partnerships for funding, technical help, and project implementation.

8. Sectoral Focus

BoI often targets specific sectors for development. These include agro-processing, solid minerals, technology, and creative industries. By focusing on these sectors, the bank aims to diversify the economy and reduce dependence on oil.

Bank of Industry Operations

As stated earlier, the Bank of Industry provides support for businesses. It focuses on the industrial sector. However, its operations are widespread. The Bank of Industry manages the Government Enterprise and Empowerment Program (GEEP). It also disburses the program’s funds.

This is a social intervention scheme set up by the Nigerian federal government. It supports small and medium-scale local businesses. They receive interest-free loans to grow their businesses The government enterprise and empowerment program has spawned schemes like the Trader Moni and Market Moni initiatives. The Bank of industry administers these schemes.

Conclusion

The Bank of Industry helps businesses grow and develop in Nigeria. Commercial banks in Nigeria also contribute to this effort. If your business is one of such, then the Bank of Industry is your best bet for help and support if you seek to expand.