DBN Targets N1.8trn SME Loan Portfolio, Eyes 2 million New Jobs

Samuel Mobolaji

The Development Bank of Nigeria (DBN) has unveiled plans to expand its loan portfolio for Micro, Small, and Medium Enterprises (MSMEs) to over N1.8 trillion, as it rolls out a new five-year strategic plan aimed at deepening financial access and accelerating inclusive economic growth across Nigeria.

Managing Director of the bank, Mr Tony Okpanachi, disclosed the ambitious growth target during a media interaction in Lagos, noting that the bank also aims to mobilise N3 trillion in debt and equity to support MSMEs—a sector he described as vital to Nigeria’s economic advancement and job creation.

“We want to scale up what we’ve done in the first five years. There’s still a lot to be done in Nigeria, and we are very aspirational in our approach,” Okpanachi said, as he outlined the institution’s renewed focus on inclusive growth, gender equity, and environmental sustainability.

Under the new strategy, DBN plans to allocate 20 per cent of its loans to women-led enterprises and 40 per cent to businesses owned by economically disadvantaged Nigerians. The bank also intends to double its support for green financing and increase its footprint in underdeveloped regions, aligning with its goal of promoting sustainability and reducing regional disparities in financial access.

The Managing Director further revealed that the bank is targeting the creation of at least two million jobs, directly and indirectly, through its expanded interventions over the next five years. He said this would build on the 1.2 million jobs already enabled in DBN’s first five years of operations.

“We want to do at least two million in terms of job creation. That means both direct and indirect job creation,” Okpanachi said, adding that while impact is key, the bank is also committed to financial sustainability. “We’re targeting sectors like manufacturing and agriculture—areas that are labour-intensive and hold the potential to absorb large segments of the workforce.”

To meet its expanded objectives, DBN is exploring a mix of international and local funding opportunities. Discussions are ongoing with global development partners, and the bank is considering a bond issuance on the domestic capital market, subject to favourable macroeconomic conditions. As a wholesale development finance institution, DBN does not lend directly to MSMEs but works through financial intermediaries to ensure broader reach and impact.

“Strategically, we’re working on three fronts—expanding our funding sources, deepening current partnerships, and leveraging existing resources to attract new ones,” Okpanachi said.

So far, the bank has disbursed over N1 trillion in loans to MSMEs through 79 participating financial institutions across Nigeria. It has also extended support to more than 69,000 MSMEs operating in economically disadvantaged states such as Borno, Yobe, Katsina, Zamfara, and Adamawa. Of these beneficiaries, 74 per cent were women and 25 per cent were youths.

In addition to financial support, DBN has trained over 9,500 MSMEs nationwide in capacity development, reinforcing its role in building a more resilient and empowered entrepreneurial ecosystem.