Small and medium-sized businesses in Nigeria are set to receive a major funding boost following a new €50 million (about N78.5 billion) financing agreement between Wema Bank and European Investment Bank Global.
The landmark deal, signed in Lagos, represents the first-ever financing partnership between EIB Global and Wema Bank and is designed to expand access to affordable credit for SMEs across Nigeria, with a particular emphasis on businesses owned by young entrepreneurs and women.
Under the terms of the agreement, at least 50 percent of the facility will be allocated to youth-owned enterprises, while the remaining portion will support businesses owned, managed, employing, or primarily serving women. The initiative is expected to strengthen financial inclusion, encourage entrepreneurship and create more economic opportunities for underserved groups.
Speaking at the signing ceremony, Ambroise Fayolle, Vice President of the European Investment Bank, described the agreement as a significant step toward advancing economic empowerment and inclusive growth in Nigeria.
“This first financial agreement with Wema Bank is an important contribution to strengthen youth employment, gender equality and women’s empowerment in Nigeria,” Fayolle said.
Beyond supporting business growth, the EIB executive noted that the partnership would also encourage sustainable financing practices and environmentally responsible investments.
“We also support entrepreneurs in adopting best practices in green financing. This is our responsibility as the EU climate bank and a key partner of Global Gateway,” he added.
Supporting Financial Inclusion and Sustainable Growth
According to EIB Global, the financing arrangement is backed by the European Union's Global Gateway initiative and aligns with Nigeria's broader financial inclusion objectives.
In addition to the funding itself, EIB Global will provide technical support to Wema Bank through its Greening the Financial Sector Programme. The assistance is aimed at strengthening the bank's capacity to finance climate-friendly projects, assess environmental risks and promote sustainable investment opportunities across various sectors of the economy.
The collaboration reflects growing international interest in supporting Nigeria's private sector, particularly SMEs, which remain a key driver of employment, innovation and economic growth.
Wema Bank Eyes Greater Impact for SMEs
Commenting on the development, Managing Director and Chief Executive Officer of Wema Bank, Moruf Oseni, said the facility aligns with the bank's long-standing commitment to empowering entrepreneurs and expanding access to finance.
“As a bank whose legacy is rooted in empowerment, this agreement presents remarkable opportunities to scale our impact even further,” Oseni said.
He explained that the funding goes beyond providing capital, emphasizing its role in addressing structural barriers that often limit access to finance for women and young entrepreneurs.
“This facility is strategically focused not only on helping more businesses access critical financial support, but also on addressing gender gaps and creating opportunities for Nigerian youths to become economically active and self-employed,” he added.
Oseni further assured that qualified businesses across various sectors of the economy, including participants in entrepreneurship and business development programmes, would have opportunities to benefit from the facility.
Expanding Opportunities for Nigerian Entrepreneurs
The new financing package comes at a time when many Nigerian SMEs continue to face challenges accessing affordable long-term funding. Industry experts believe initiatives targeted at youth- and women-led enterprises can help unlock business growth, stimulate job creation and strengthen economic resilience.
With the €50 million facility, Wema Bank is expected to expand lending to high-potential businesses while supporting broader goals of financial inclusion, gender equality, youth employment and sustainable development.
The partnership also reinforces the growing role of international development finance institutions in supporting Nigeria's private sector, particularly in areas that have significant social and economic impact.