Wema Bank Plc has signed a landmark €50 million (approx. ₦78.5 billion) credit facility with EIB Global, the development branch of the European Investment Bank. The agreement, finalized at Wema Bank’s headquarters in Lagos, marks the first-ever transaction between the two financial institutions.
The wholesale financing package is designed to lower borrowing costs for small and medium-sized enterprises ($\text{SMEs}$) across Nigeria. Backed by the European Union’s Global Gateway initiative and aligned with Nigeria’s Financial Inclusion Strategy, the credit line has strict allocation rules to ensure the money reaches underserved sectors:
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Youth-Owned Enterprises: At least 50 percent of the loan portfolio is explicitly set aside for businesses owned by young entrepreneurs to stimulate job creation.
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Women-Led Commerce: The remaining 50 percent will target enterprises owned, managed, employing, or primarily serving women, aiming to close gender-based financing gaps.
Beyond providing direct capital, EIB Global is pairing the credit line with technical assistance through its Greening the Financial Sector (GFS) program. This addition will help Wema Bank enhance its capacity for climate-related lending and encourage sustainable, eco-friendly business investments among its clients.
The ultimate beneficiaries of the fund will include qualified Wema Bank corporate clients as well as graduates of select business accelerators, such as the Team Europe Investing in Young Businesses in Africa (IYBA) initiative.
Managing Director and Chief Executive Officer of Wema Bank, Moruf Oseni, emphasized that the facility will help the bank scale its social impact. He noted that the partnership focuses heavily on turning fragile grassroots operations into resilient corporate entities, helping youth and women become economically active and self-employed.
