Business
DBN disburses over N400bn loan to SMEs – Okpanachi
The Development Bank of Nigeria (DBN) Plc says it has disbursed over N400 billion to no less than 150,000 Small and Medium Enterprises (SMEs) in the country in the past four years.
DBN Chief Executive Officer (CEO), Mr. Tony Okpanachi, disclosed this on Tuesday.
Okpanachi, who spoke at a virtual second annual lecture series of the bank, themed, ‘Resilient Innovation: MSMEs’ adaptability in Uncertain Times,’ said the DBN had fulfilled its mandate by championing the provision of funds for the SMEs.
“As a bank, we have championed this cause through all our three mandates of providing long term financing, capacity building and partial credit guarantees over the years.
“Since commencing operations in 2017, we have disbursed over N400 billion in loans to over 150,000 Nigerian SMEs out of which 27 per cent are women-owned and 26 per cent new owned businesses respectively. This has led to the creation of over 130,000 jobs,” he stated.
He added that in 2020 alone, the sum of N190 billion was disbursed through 19 participating financial institutions (PFIs) out of which N9.8 billion was to 6,935 first-time borrowers, N5.7 billion to 9,066 youths, and N11.8 billion to 25,171 women-owned businesses.
Cumulatively, he said, 83 per cent reported an increase in their sales after obtaining the loan, while 48 per cent were able to increase their staff strength after receiving the facility.
READ: Development Bank of Nigeria disburses over N100 billion to 95,000 MSMEs
Additionally, 125 MSMEs were also trained as part of the bank’s capacity-building initiative through the DBN Entrepreneurship Training Programme, which was held in Abuja and Lagos, he added.
Okpanachi disclosed that the 2021 DBN training programme has commenced and is financed by the bank under the platform of Enterprise Development Centre, Pan-Atlantic University, Google and Wider Perspectives Ltd.
On why the bank shows interest in SMEs, he explained that this was because “big things have small beginnings”.
According to him, “It is at times like this that our mandate at the Development Bank of Nigeria Plc has captured in our vision which is to facilitate sustainable socio-economic development through the provision of finance to Nigerians on sound SMEs through eligible financial intermediaries.”
In his remarks, the Chairman of the Board of the DBN, Shehu Yahaya, said over the years, the bank had focused on avenues to make SMEs thrive.
He alluded to DBN’s five-year strategic plan, which includes expanding its reach, advocating for MSMEs and expanding its capacity among others, adding that this has become more crucial in the face of difficulties in the country.
