The Development Bank of Nigeria (DBN) has earned the approval of shareholders to invest $2.5 million in equity into the proposed Youth Entrepreneurship Investment Bank (YEIB), a fresh initiative set to start operations in 2026.
The approval was made official at DBN’s 8th Annual General Meeting (AGM) in Abuja after a presentation of its 2024 financial results.
The Youth Entrepreneurship Investment Bank is a strategic partnership between DBN, the African Development Bank (AfDB), and the Nigerian Sovereign Investment Authority (NSIA), and it will function as a vibrant investment vehicle to aid youth-owned enterprises across the country.
The strategic collaboration is meant to reiterate the Development Bank of Nigeria’s commitment to making its mark in the country’s development finance ecosystem.
According to the Managing Director and Chief Executive Officer of DBN, Mr. Tony Okpanachi, the investment aligns with the bank’s goal to trigger economic growth via financial inclusion and youth empowerment.
“Youth Entrepreneurship Investment Bank is an initiative we’re working on with the African Development Bank and the NSIA. What we’ve got today is the approval of our shareholders to take an equity stake in that bank,” he said.
Tony revealed that YEIB would not operate as a regular commercial bank, but as an investment platform created to heavily invest in all kinds of youth-led businesses. He said the bank is currently working on finalising the key incorporation and legal framework by the end of 2025, with operations tipped to begin in 2026.
“This is not your regular conventional commercial bank. It’s an investment vehicle. We will provide equity investments in youth-owned businesses. NSIA is taking the lead in equity, and DBN will also invest. The door is open to strategic global partners, and discussions are ongoing with several interested institutions.
Having received shareholders’ approval, the next step is to obtain the necessary clearance from the Federal Ministry of Finance before finalizing the structure with AfDB. This new initiative aims to create employment and stimulate entrepreneurship across the country,” he added.
Names of institutional shareholders supporting DBN are the Federal Government of Nigeria, the World Bank, the European Investment Bank, the French Development Agency (AFD), the German KFW, and the African Development Bank.
While DBN and NSIA are the main investors in the thoughtful initiative, AfDB’s contribution would be via debt financing, and this will go a long way towards boosting the available capital to fund selected enterprises.
Folami David writes on trends and pop culture. He is a creative writer, and he is passionate about music and football.
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