The Development Bank of Nigeria (DBN) has launched a robust five-year strategic plan aimed at significantly expanding access to finance for the country’s micro, small, and medium enterprises (MSMEs). Under the new blueprint, the bank projects issuing N500 billion in credit guarantees and growing its outstanding loan portfolio to N1 trillion.
During a media briefing in May 2025, DBN’s leadership outlined the bank’s commitment to closing the funding gap that continues to constrain MSME growth across Nigeria. The bank reaffirmed its model of operating through participating financial institutions (PFIs), including commercial banks, microfinance institutions, and other development finance entities, to deliver loans and credit enhancements to MSMEs.
Since it began operations in November 2017, DBN has disbursed over N1 trillion in wholesale funds through 79 PFIs, supporting MSMEs nationwide. Of these beneficiaries, 74 percent are women, while 25 percent are youth. In a significant boost for underserved areas, DBN has channelled N49 billion to more than 69,000 MSMEs in states such as Borno, Adamawa, Yobe, Katsina, and Zamfara.
Looking ahead, the bank aims to catalyse private sector participation by attracting N1.3 trillion in new debt and equity investments. It is also setting new targets to ensure more inclusive financing: 30 percent of new loans will go to youth-led businesses, 40 percent to women-led enterprises, and 15 percent to MSMEs in underdeveloped regions.
In addition to financial support, DBN is intensifying its non-financial interventions. Over the next five years, it plans to train 500,000 MSMEs, support the creation of two million direct and indirect jobs, and achieve cumulative profit-before-tax of N300 billion.
These ambitious goals reflect the bank’s evolving role in Nigeria’s economic transformation. DBN continues to offer risk-sharing instruments like partial credit guarantees and capacity-building programs, alongside advisory services tailored for MSMEs.
Recognized for its operational excellence, DBN has received top-tier accolades, including an AAA credit rating from Agusto & Co. and GCR, along with Level Five accreditation on the Social and Sustainability Classification Index (SSCI). It was also named the World Bank’s Best Project in Nigeria; testimony to its growing reputation as a trusted vehicle for enterprise development.
As Nigeria’s MSMEs grapple with challenges around access to affordable financing, DBN’s new strategy offers a pathway to unlock sustainable growth, deepen inclusion, and stimulate employment across the country.
