United Bank for Africa (UBA) Plc has secured a N5 billion loan facility from the Bank of Industry (BOI) to strengthen key sectors of the Nigerian economy and support the growth of sustainable and viable businesses across the country.
The fund is particularly aimed at boosting micro, small, and medium enterprises (MSMEs), with a strong emphasis on women-owned businesses.
The loan, which is disbursed through the Federal Government’s MSME Fund, is structured to provide affordable financing that will stimulate the economy.
According to UBA, the major sectors targeted for the facility include Green Energy, Education, Healthcare, and Women-Owned Enterprises. This initiative is seen as part of wider efforts to drive inclusive growth and ensure long-term business sustainability.
UBA’s Group Managing Director and Chief Executive Officer, Oliver Alawuba, expressed the bank’s determination to support entrepreneurship and innovation across Nigeria. He described MSMEs as the “livewire of any developing economy” and stressed their importance to national growth.
“At UBA, we recognize the pivotal role MSMEs play in driving economic development, and how they make up a sizeable portion of what drives our economic growth.
It is in this vein that we have decided not to rest on our oars by facilitating initiatives dedicated to empowering businesses with the financial support they need to thrive,” Alawuba said.
Highlighting the favourable terms of the facility, he noted, “By offering loans at a competitive 9% interest rate with a three-year tenor, we are removing the traditional barriers that hinder SME growth in Nigeria and Africa. And by this, our message to business owners is simple: Don’t let this once-in-a-lifetime opportunity elude you.”
The loan arrangement allows a maximum of N5 million per obligor, with a three-month moratorium on principal repayments. This means businesses will have time to stabilise operations before starting loan repayments.
UBA’s Group Head of Retail and Digital Banking, Shamsideen Fashola, pointed out the strategic importance of the selected sectors, stressing their relevance to financial inclusion and long-term growth.
He explained that the initiative was in line with UBA’s mission to empower more Nigerians and expand access to financial services.
“We are structuring this facility to align with our broader mission of financial inclusion and economic empowerment. For us at UBA, we will be targeting Green Energy, Education, Healthcare, and Women-Owned Enterprises, which are critical to Nigeria’s sustainable development,” Fashola stated.
He further added, “This facility is structured to ensure that businesses in these sectors can access affordable funding, expand their operations, and contribute meaningfully to the economy. We are excited to partner with BOI to make this a reality.”
Speaking at the unveiling of the loan facility, Group Head, Marketing and Corporate Communications, Alero Ladipo, emphasised the accessibility of the program. She highlighted the role of government backing in making the terms affordable and urged business owners to take full advantage.
“What sets this program apart is its accessibility and affordability. We have worked closely with stakeholders to ensure the terms are business-friendly because we understand the challenges entrepreneurs face. I urge eligible businesses to visit any UBA branch or the bank’s official website to begin their application process right away,” Ladipo said.
United Bank for Africa is recognised as one of the largest employers in Africa’s financial sector, with 25,000 employees across its network. The bank serves over 45 million customers globally and operates in 20 African countries, as well as the United Kingdom, the United States, France, and the United Arab Emirates.
Through its retail, commercial, and institutional banking services, UBA continues to push financial inclusion, promote innovative banking solutions, and support economic growth across multiple markets
