At BOI, We’re Engineering Nigeria’s Economic Future – THISDAYLIVE

In less than two years as Managing Director of the Bank of Industry, Dr Olasupo Olusi has shifted the institution’s language from banking to measurable development. In this interview with senior journalists, the development economist said he inherited “a Rolls-Royce”, one of Africa’s strongest DFIs, but set out to reposition it as a catalyst for inclusive growth rather than just a lender. His reforms began internally. BOI was reorganised in line with global industry standards, and an Impact Group was created to track jobs, skills, and outcomes across all interventions. For the first time, the bank will publish an Annual Development Impact Report this June. Sustainability was elevated with the creation of a new division and the appointment of a chief sustainability officer, leading to BOI’s accreditation by the Global Adaptation Fund as Nigeria’s first institution to deploy adaptation financing through the private sector.  Expansion has been physical, too. Offices grew from 31 in 30 states to 36 in 33 states, bringing development finance beyond urban centres. Subsidiaries were recapitalised: LECON got N50 billion and delivered N33 billion in lease financing, while BOI Microfinance Bank secured a state licence to deepen inclusion. BOI’s 2025–2027 strategy targets six pillars: youth and skills, gender, infrastructure, digital, tech, climate, and MSMEs, using debt, equity, and blended finance. A BOI Impact Fund now backs catalytic projects, including $15 million for the New Africa Medical Centre and N25 billion for the National Credit Guarantee Company. Non-interest banking is set to launch, pending CBN approval. For Olusi, the goal is clear: “It is about impact. Titles are temporary, but transforming Nigeria’s economic landscape is enduring.” Excerpts: 

You described the media as the biggest agent of development. Why do you hold that view so strongly?

The media occupies a very strategic place in the development ecosystem. Development work is not only about what institutions do. It is also about how those efforts are communicated, understood and amplified. That is why I always say the media is one of the biggest agents of development anywhere in the world. Communication is central to impact. If people do not understand policies, programmes or opportunities, the intended outcomes may never materialise. This engagement is therefore important because we see the media not just as observers, but as partners in Nigeria’s development aspirations.

What was your assessment of the Bank of Industry when you assumed office?

I inherited a very strong institution. The Bank of Industry was already one of the leading development finance institutions in Africa, and certainly a respected institution in Nigeria. I usually describe it as inheriting a Rolls-Royce. The challenge for us was how to innovate and reposition the bank to become even more effective in delivering long-term financing and developmental impact for Nigeria’s private sector. Coming from a development economics background, I approached the institution differently. My predecessors were largely commercial bankers, but I came in with a development economist’s perspective – one that is focused strongly on measurable impact and national transformation.

What were the first reforms you introduced?

We began by looking inward. Before attempting external transformation, we needed to strengthen our internal structures and systems. One of the earliest things we did was reorganise the bank along globally recognised industry classifications. We also established an Impact Group dedicated specifically to measuring and tracking the developmental outcomes of our interventions.

For us, it is no longer enough to disburse loans. We must be able to measure the jobs created, the impact on women and youth, the skills developed, and the broader economic outcomes generated by every intervention. That is why, for the first time in the history of the bank, we will launch an Annual Development Impact Report in June this year. Financial reports are important, but development institutions must also account for how they are changing lives and transforming economies.

Why was sustainability elevated as a core part of the bank’s agenda?

Climate and sustainability have become central to economic development globally. Enterprises cannot grow sustainably without paying attention to environmental resilience, climate mitigation, and adaptation. To address this, we created a Sustainability Division led by a Chief Sustainability Officer. The division is responsible for driving our climate finance and sustainability agenda.

One major milestone was our accreditation by the Global Adaptation Fund in October last year. This made the Bank of Industry the first Nigerian institution accredited to deploy adaptation financing through the private sector. That was a landmark achievement not only for the bank, but for Nigeria as a whole.

The bank has also expanded its physical presence. What informed that move?

Financial inclusion and accessibility remain critical to development finance. There were states previously without BOI presence, and we believed that had to change. When we started, the bank had about 31 offices across 30 states. Today, we have expanded to 36 offices in 33 states. We opened new offices in states such as Kogi, Akwa Ibom and Jigawa, while discussions are ongoing for additional locations. The idea is simple: development finance should not be concentrated in a few urban centres. Every region of the country must have access to opportunities.

What roles are BOI subsidiaries playing in this transformation agenda?

Many people only see the parent institution, but the BOI Group has several strategic subsidiaries, including the Leasing Company of Nigeria (LECON), BOI Microfinance Bank, BOI Insurance, and BOI Investment and Trust Company. Over the last two years, we recapitalised and restructured most of these subsidiaries to sharpen their developmental focus.

For example, leasing remains a powerful development finance instrument because it allows businesses to access productive assets without the burden of outright ownership. We recapitalised LECON with about N50 billion in 2024, making it the largest leasing company in Nigeria. By the end of last year, LECON had provided over N33 billion in lease financing across sectors such as agriculture, logistics, and mining. Importantly, the company also secured an improved credit rating, moving from a negative to a positive outlook due to stronger governance, liquidity, and capitalisation.

What changes have been made to BOI Microfinance Bank?

We recapitalised the microfinance bank and also changed its mandate. Previously, it operated with a unit licence, but we approached the Central Bank of Nigeria for a state licence as part of our long-term vision to transform it into a national microfinance institution. The objective is to deepen financial inclusion and extend support to people at the bottom of the pyramid who are often excluded from formal financing systems.

You recently unveiled a new corporate strategy. What are its major pillars?

Our 2025–2027 corporate strategy is fundamentally centred on development impact. The strategy focuses on six thematic areas: youth and skills, gender, infrastructure, digital transformation and technology, climate and sustainability, and the MSME sector. We want to significantly increase financing to these sectors using a wider range of instruments, including debt, equity, and blended financing.

Traditionally, development finance institutions relied heavily on debt financing, but we realised that some enterprises cannot sustainably carry debt obligations. In such cases, equity financing becomes more appropriate. Development institutions must be flexible and innovative in the instruments they deploy.

Tell us about the BOI Impact Fund.

The BOI Impact Fund is one of the most important innovations we introduced. It is funded through a percentage of the bank’s profit after tax every year and is dedicated to catalytic developmental investments. Through the fund, we invested about $15 million in the New Africa Medical Centre of Excellence in Abuja – a world-class healthcare facility developed with support from King’s College Hospital, London.

We also invested about N25 billion in the National Credit Guarantee Company, which was established to help MSMEs overcome collateral constraints and access financing from financial institutions. These are the types of catalytic national investments that can unlock broader economic transformation.

Why is BOI venturing into non-interest banking?

Nigeria is a diverse country, and many people prefer non-interest financing because of their personal beliefs. We recognised that development finance must also accommodate those preferences. We have already secured the licence for non-interest banking and are currently awaiting final approval of the implementation framework from the Central Bank.

Once operational, the service will be deployed particularly in regions where non-interest banking is highly preferred. We are also working with international institutions such as the Islamic Development Bank to strengthen our technical and financing capacity in that area.

Youth empowerment appears central to your strategy. What exactly is the bank doing in that space?

Young people are critical to Nigeria’s future, which is why youth and skills development is one of the pillars of our strategy. We have established over 20 innovation and skills hubs across the country focused on ICT, agro-processing, fashion, digital printing, and other productive sectors.

The idea is to create spaces where young people can learn, innovate, develop products, and even package them for commercialisation before eventually establishing independent businesses. We believe that with the right support structures, Nigeria’s youth population can become one of the country’s greatest economic assets.

Ultimately, what kind of legacy do you hope to build at the Bank of Industry?

For me, it is about impact. Titles and positions are temporary, but the opportunity to contribute meaningfully to national development is enduring. Nigeria has enormous potential across every sector. The developmental challenges we face are not insurmountable if we channel our resources and energies appropriately. At the Bank of Industry, our goal is not merely to finance businesses but to help transform the economic landscape, create opportunities, empower people, and contribute to building a more inclusive and sustainable economy for all Nigerians.