AfDB approves $61m package to boost women-led businesses in Nigeria

The Board of Directors of the African Development Bank Group (AfDB) has approved a $61 million financing package for the Development Bank of Nigeria (DBN)

The approval was given on April 29 to expand access to affordable credit for women‑owned and women‑led businesses across Nige‑ ria, particularly in the agricultural sector.

The financing comprises three instruments: a $50 mil‑ lion gender‑focused line of credit; an $8 million concessional facility under the Agri‑Food SME Catalytic Financing Mechanism (ACFM); and a $3 million grant under the Bank’s Affirmative Finance Action for Women in Africa (AFAWA) initiative, funded by the Women Entrepreneurs Finance Initiative (We‑Fi).

This package demonstrates the Bank’s commitment to private sector‑led growth by combining long‑term financing, concessional resources, partial credit guarantees, and capacity‑building support.

It will be channelled through DBN’s network of participating financial institutions to strengthen MSME lending and advance Nigeria’s inclusive economic transformation, particularly through women entrepreneurship and agricultural development.

A defining feature of this operation is its strong gender focus, with more than 95 percent of the total financing ear‑ marked for WSMEs.

This targeted approach aligns with the objectives of AFAWA and ACFM and the Bank’s broader commitment to narrowing the gender financing gap in Africa.

The performance‑based incentives under the AFAWA programme are expected to expand the number of eligible women‑owned enterprises while increasing the share of women‑focused lending within DBN’s MSME portfolio.