The Bank of Industry (BOI) has secured regulatory approval from the Central Bank of Nigeria (CBN) to operate a Non-Interest Banking (NIB) Window, a move aimed at expanding access to ethical and inclusive financing for underserved business segments.
The approval allows BOI to formally roll out non-interest banking products designed to support Nigeria’s industrial development, particularly for businesses that avoid conventional interest-based financing.
In a statement, BOI’s Divisional Head of Public Relations, Theodora Amechi, said the regulatory nod positions the bank to deepen its impact across the real economy by offering tailored financial solutions aligned with social and developmental objectives.
According to the bank, the Non-Interest Banking operations will promote inclusive growth, mobilise ethical funding, and support the financing of customer assets and raw materials using approved non-interest products.
“This approval authorises BOI to commence Non-Interest Banking operations, positioning the bank to further advance Nigeria’s sustainable and inclusive industrial development through tailored financial solutions for underserved and high-impact business segments,” the bank stated.
It added that the initiative would expand BOI’s reach to businesses that have traditionally been excluded from conventional credit channels, particularly faith-sensitive and ethically motivated enterprises.
Expanding Access to Ethical Financing
With the launch of the NIB Window, BOI said it would be able to finance customers’ assets and raw materials under non-interest structures, providing alternatives to interest-based loans while supporting productive economic activities.
The Managing Director and Chief Executive Officer of BOI, Dr Olasupo Olusi, described the approval as a major milestone in the bank’s transformation agenda.
“This licence marks a pivotal moment in the Bank’s journey of transforming Nigeria’s industrial sector. With this licence, we can reach a new category of borrowers who, before now, could not be served,” Olusi said.
He noted that the CBN’s approval reflects confidence in BOI’s commitment to responsible financing and would enable the institution to scale its operations, introduce innovative financing solutions, and deepen support for Micro, Small and Medium Enterprises (MSMEs).
Olusi added that the non-interest banking framework would open new opportunities for businesses facing challenges accessing traditional credit, allowing them to participate more confidently in the formal financial system.
Driving Inclusive Industrial Growth
BOI said the decision to commence non-interest banking operations is part of a broader strategy to drive inclusive economic growth and strengthen support for Nigeria’s real sector.
By mobilising ethical funding and aligning financing activities with developmental goals, the bank aims to enhance industrial productivity while catering to diverse financing preferences within the economy.
As Nigeria’s foremost Development Finance Institution, BOI plays a central role in funding the establishment and expansion of large, medium, small-scale, and micro enterprises across key sectors of the economy.
The institution was established in 1959 as the Investment Company of Nigeria (ICON), later reconstituted as the Nigerian Industrial Development Bank (NIDB) in 1964 under World Bank guidance. It assumed its current form in 2001 following the merger of the Nigerian Bank for Commerce and Industry (NBCI) and the National Economic Reconstruction Fund (NERFUND).
BOI’s primary mandate remains the provision of financial assistance to support industrial growth and inclusive economic development across Nigeria.
