The approval authorises BOI to commence non-interest banking operations, enabling the bank to mobilise funding aligned with social and developmental objectives, while providing an alternative to conventional interest-based financing. The initiative is expected to strengthen BOI’s role in driving sustainable industrial development and broadening access to finance for underserved business segments, particularly Micro, Small, and Medium Enterprises (MSMEs).
“The licence marks a pivotal moment in the Bank’s journey to transform Nigeria’s industrial sector. With this approval, we can reach a new category of borrowers who, until now, could not be served,” said BOI Managing Director and CEO Dr. Olasupo Olusi.
Through the new framework, BOI will be able to finance assets and raw materials using approved non-interest banking products, catering especially to businesses that have traditionally avoided conventional loans for religious or ethical reasons. The move is also expected to enable innovative financing solutions and scale the bank’s operations across high-impact sectors of the economy.
The Bank’s Divisional Head of Public Relations, Theodora Amechi, added that the NIB Window will allow BOI to support the real economy more effectively while mobilising ethical funding that aligns with developmental goals. Industry analysts say the CBN’s approval reflects confidence in BOI’s governance and commitment to responsible financing.
Established in 1959, BOI remains Nigeria’s foremost Development Finance Institution, providing financial assistance to enterprises of all sizes. The introduction of Non-Interest Banking further reinforces its strategic position in promoting inclusive economic growth and long-term industrial development.