The Bank of Industry Limited (BOI) has praised President Bola Ahmed Tinubu for his leadership and support after its ₦250 billion Series 1 Fixed Rate Bond was oversubscribed within five days.
The bank issued the bond through BOI Financing SPV Plc under its $1 billion Multi-Currency Instruments Programme.
BOI Chief Executive Officer, Olasupo Olusi, said the bond’s oversubscription indicates investors’ confidence in the bank and the Nigerian economy.
He said, “The strength of the investor response is a vote of confidence not only in BOI, but also in the capacity of Nigeria’s domestic capital market to mobilise long-term capital for productive investment.
“As a Development Finance Institution, we could not have received the strong investor demand for the bond in five working days without the support of President Tinubu, who gave his executive approval for various incentives to encourage investors.
“This became a leverage and a positive signal to discerning investors. Mr President deserves the honour for this feat. This is further testament to Mr President’s support for Nigeria’s productive sector.”
Olusi said the goal of the transaction was to turn investors’ confidence into increased financing for Nigerian enterprises, leading to job creation and a healthier economy.
Proceeds from the issuance will enhance BOI’s capacity to provide long-term financing to eligible enterprises across priority sectors, supporting investments in productive capacity, local value addition, employment creation and economic diversification.
The BOI chief executive also said the ₦100 billion fund approved for the bank by President Tinubu would be used to blend the bond’s pricing and cushion the impact of high interest rates on manufacturers and other BOI customers.
“This is further testament to Mr President’s support for Nigeria’s productive sector,” Olusi said.
According to Olusi, the ultimate objective of the transaction is to translate investors’ confidence into increased financing for Nigerian enterprises, with potential impacts on industrial expansion, job creation, domestic value chains and economic competitiveness.
The bank said the transaction represents a significant broadening of its funding architecture, complementing its established track record in international capital markets with deeper mobilisation of long-term capital from domestic institutional investors.
BOI noted that the transaction demonstrates the growing capacity of Nigeria’s domestic capital market to channel long-term institutional savings into productive sectors of the economy.