The Central Bank of Nigeria (CBN) has given regulatory approval to the Bank of Industry (BoI) to operate a Non-Interest Banking (NIB) Window as part of its operations.
The approval was disclosed on Sunday by the BoI Managing Director, Olasupo Olusi, who described the development as a significant milestone in the bank’s growth and long-term development agenda.
The MD noted that the approval will strengthen the bank’s role in promoting sustainable industrial development. The move is also expected to improve access to finance for underserved and high-impact business segments across Nigeria.
With the approval, the BoI boss stated that the bank will drive inclusive growth, mobilise new ethical funding, and expand support for the real economy. He added that the NIB operation will enable BoI to align its financing activities with social and developmental objectives.
Mr Olusi further explained that the approval has authorised BoI to commence non-interest banking operations, providing ethical, asset-backed financing options that prohibit interest and promote risk-sharing.
According to the BoI’s MD, the approval reflects the CBN’s confidence in the BoI’s commitment to responsible financing.
“This development marks a significant milestone in the Bank of Industry’s growth and long-term development agenda.
“It positions the bank to further advance Nigeria’s sustainable and inclusive industrial development through tailored financial solutions for underserved and high-impact business segments.
“Under this framework, BoI will be able to finance assets and raw materials for customers using approved non-interest banking products. The approval underscores the CBN’s confidence in BoI’s commitment to responsible financing,” the BOI head stated.
He added that the licence would allow the bank to scale its operations, introduce innovative financing solutions, deepen support for Micro, Small and Medium Enterprises (MSMEs), and reach a new category of borrowers who were previously unable to access BoI’s funding.
“This will allow BoI to scale its operations, introduce innovative financing solutions, and deepen support for Micro, Small, and Medium Enterprises (MSMEs), as well as other underserved segments critical to Nigeria’s sustainable economic growth.”
Mr Olusi added that the development will be particularly beneficial to those who have traditionally avoided conventional interest-based financing.
