AfDB approves $61 million financing package for women-led businesses in Nigeria

The African Development Bank has approved a $61 million financing package for the Development Bank of Nigeria, combining a $50 million gender-focused line of credit, an $8 million concessional facility for agri-food SMEs, and a $3 million AFAWA grant. Over 95% of the financing is earmarked for women-owned and women-led enterprises, particularly in agriculture.

The African Development Bank has approved a $61 million financing package for the Development Bank of Nigeria to expand access to affordable credit for women-owned and women-led businesses across Nigeria, particularly in the agricultural sector, according to an official announcement. The financing comprises three instruments: a $50 million gender-focused line of credit, an $8 million concessional facility under the Agri-Food SME Catalytic Financing Mechanism, and a $3 million grant under the Bank's Affirmative Finance Action for Women in Africa initiative, funded by the Women Entrepreneurs Finance Initiative.

AfDB is a multilateral development bank with a focus on African economic transformation. The financing will be channelled through DBN's network of participating financial institutions to strengthen MSME lending. More than 95 percent of the total financing is earmarked for women-owned and women-led enterprises. The performance-based incentives under AFAWA are expected to expand the number of eligible women-owned enterprises while increasing the share of women-focused lending within DBN's MSME portfolio.

This development matters for Nigeria's inclusive economic transformation, where women entrepreneurs are one of the country's greatest economic assets yet remain underleveraged. The operation reaches women-owned businesses in agriculture, clean energy, healthcare, and beyond, deepening a longstanding partnership dating back to AfDB's role in DBN's establishment through start-up equity, long-term financing, and governance support.

For the financial services industry, the operation combines long-term financing, concessional resources, partial credit guarantees, and capacity-building support. The alignment with AfDB's Four Cardinal Points and Ten-Year Strategy prioritises inclusive growth, private sector development, and gender equality, while supporting Nigeria's Country Strategy Paper (2025-2030) emphasising gender- and youth-inclusive green growth.