The Development Bank of Nigeria has successfully secured a N23 billion bond with a maturity date of 2028, carrying an interest rate of 14.40 percent. The purpose of this bond issuance is to support and provide financial assistance to small-scale businesses. The bank aims to utilize the funds raised to enhance its capacity in offering funding to Micro, Small, and Medium Enterprises (MSMEs), aligning with its primary corporate objective. Tony Okpanachi, the Managing Director of DBN, emphasized that this local raise marked the bank's initial attempt to generate funds within the country. During the signing ceremony held in Lagos on Thursday, Okpanachi highlighted that the bank had previously sourced capital from international sources, representing the initial phase of its capital mobilization efforts."

"In the future, as an organization, we will have the ability to stimulate fundraising activities within the local economy, which will enable us to provide loans to micro, small, and medium enterprises. Our objective is to broaden our funding sources beyond the development partners from whom we have previously received funding. By raising funds locally, we acknowledge the significant demand for financial support within this sector of the economy."
The primary purpose of DBN is to address the limitations in financing that micro, small, and medium enterprises (MSMEs) encounter in Nigeria. It achieves this by offering funding, partial credit guarantees, and technical support to eligible financial intermediaries in a manner that aligns with market standards and ensures financial sustainability.

Mrs. Ijeoma Ozulumba, the Executive Director and Chief Financial Officer of DBN, highlighted that approximately 20,000 small businesses are expected to benefit from this funding initiative. She emphasized that this fund would enhance the accessibility of financial resources for these institutions. Mrs. Ozulumba also pointed out that the interest rates offered are affordable and will be subject to adjustment as the economy progresses and interest rates become more moderate.