- This first transaction between EIB Global and Wema Bank will be promoting gender equality and empowering women-led and/or women-owned businesses, youth employment and entrepreneurs, and environmentally sustainable investments.
- The project, supported by the EU Global Gateway initiative, is fully aligned with the priorities of the EU in Nigeria and Nigeria's Financial Inclusion Strategy.
The European Investment Bank’s international development arm, EIB Global, and Wema Bank, Nigeria’s oldest indigenous national bank and pioneer of Africa’s first fully digital bank, ALAT, have announced a strategic partnership agreement with the signing of a €50 million SME-focused credit line for youth and women-focused businesses in Nigeria.
The signing ceremony took place at the Wema Bank Head Office in Lagos, Nigeria, where both institutions disclosed that the €50 million credit line allocated to Wema Bank is dedicated to supporting eligible businesses across Nigeria. With the signing marking the first transaction in this agreement, it was further disclosed that a minimum of 50% of the loans will be allotted to youth-owned businesses, specifically contributing to private sector inclusive growth, job creation for youth and youth entrepreneurship in Nigeria. The other 50% is gender-focused, specifically targeting businesses owned, run, employing or primarily serving women.
Alongside the credit line, EIB is also providing technical assistance to Wema Bank through the Greening the Financial Sector (GFS) Programme, to support the achievement of the loan’s objectives as well as developing climate-related and environmentally sustainable investments. The GFS Programme will support the financial entrepreneurs in introducing best lending and risk management practices related to green financing, extending the funding to environmentally sustainable investments. The fund will be allotted to Wema Bank customers with eligible businesses, as well as graduates from specific accelerator programmes such as “Investing in Young Businesses in Africa” (IYBA), a Team Europe Initiative aimed at supporting young businesses and entrepreneurs in Africa, with a focus on women and young people.
Commenting on the signing, the Vice President of EIB, Vice President Ambroise Fayolle, said, “This first financial agreement with Wema Bank is an important contribution to strengthen youth employment, gender equality and women’s empowerment in Nigeria. We also support the entrepreneurs in the process of adopting the best practices in green financing. This is our responsibility as the EU climate bank and a key partner of Global Gateway.”
Mr. Moruf Oseni, Wema Bank’s Managing Director and CEO, commented, “As a Bank whose legacy is rooted in empowerment, this agreement presents remarkable opportunities to scale our impact even further. In tandem with our deep-rooted commitment to inclusion, this facility is strategically focused on not just helping more businesses receive critical financial support but more precisely, leveraging the facility as a tool to combat prevalent gaps in gender equality while creating more avenues for Nigerian Youth to become economically active and (self)employed. I take this opportunity to give firm reassurance that Wema Bank is, and will remain unflinchingly committed to ensuring that the right businesses get access to this, and more opportunities.”
This financial agreement is closely aligned with the priorities of the EU in Nigeria and with the EU’s Global Gateway, as well as Wema Bank’s proven commitment to empowering Nigerians on all levels, thus reflecting a shared commitment to youth employment, gender equality, access to finance for young enterprises and female entrepreneurs and environmental sustainability. It is also fully in line with the Nigeria's Financial Inclusion Strategy by ensuring that women's access to financial services increases by 15% annually.
Overall, in Nigeria, EIB has invested EUR 2.3 bn since the start of its activities in the country in 1978, supporting impactful and transformative investments in crucial areas for the country such as sustainable urban transport, climate adaptation, innovation and digitalisation, agribusiness logistics and small and medium enterprises (SMEs) and Midcaps financing. This first phase of the facility signed with Wema Bank will bolster more investments in the Nigerian SME landscape.
Other key Executives present at the Signing Ceremony for the facility include Mr. Oluwole Ajimisinmi, Deputy Managing Director of Wema Bank; Mr. Olukayode Bakare, Executive Director at WEMA Bank; and Mr. Gautier Mignot, Ambassador of European Union from Delegation in Nigeria and ECOWAS.
Background information
About Wema Bank
Wema Bank is the pioneer of Africa’s first fully digital bank, ALAT, Nigeria’s oldest indigenous national bank, and one of Nigeria’s most resilient banks. With decades of experience in the business of banking, the Bank has remained innovative in delivering value to its stakeholders.
The publicly quoted Nigerian company has successfully built a legacy of trust and resilience that has won it the loyalty of its customers. The Bank is constantly introducing products and services tailored to the needs of its customers at every stage of their lives. It is a proud partner to more than one million individuals, families and businesses across Nigeria, helping them achieve their personal and financial goals.
About EIB Global
The European Investment Bank (ElB) is the long-term lending institution of the European Union, owned by its Member States. It finances investments that contribute to EU policy objectives.
EIB Global is the EIB Group’s specialised arm devoted to increasing the impact of international partnerships and development finance, and a key partner of Global Gateway. We aim to support €100 billion of investment by the end of 2027. Within Team Europe, EIB Global fosters strong, focused partnerships alongside fellow development finance institutions and civil society. EIB Global brings the EIB Group closer to people, companies and institutions through our offices across the world. High-quality, up-to-date photos of our headquarters for media use are available here.
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About Global Gateway:
Global Gateway is the EU's positive offer to reduce the worldwide investment disparity and boost smart, clean, and secure connections in digital, energy and transport sectors, and to strengthen health, education, and research systems.
The Global Gateway strategy embodies a Team Europe approach that brings together the European Union, EU Member States, and European development finance institutions. Together, we aim to mobilise up to €300 billion in public and private investments from 2021 to 2027, creating essential links rather than dependencies, and closing the global investment gap.
For more information: https://international-partnerships.ec.europa.eu/
EIB Global and Wema Bank sign €50 million SME, Youth & Gender-Focused Investment Agreement
©European Investment Bank
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EIB Global and Wema Bank sign €50 million SME, Youth & Gender-Focused Investment Agreement
©European Investment Bank
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