AFC Leads Record-Breaking €2 Billion Syndicated Facility for Nigeria’s Bank of Industry

Africa Finance Corporation (AFC), a leading provider of infrastructure solutions, has successfully coordinated a landmark syndicated facility of up to €2 billion for Nigeria’s Bank of Industry (BOI). This marks the largest global loan syndication ever for the development finance institution and sets a new standard for capital raising in Africa.

The Bank of Industry Limited (BOI) is Nigeria’s leading Development Financing Institution, dedicated to transforming the country’s industrial sector. It provides financial and advisory support to establish and grow businesses, ranging from small enterprises to large-scale industries, while promoting modernization and diversification.

The facility, which was structured and underwritten by AFC as Global Coordinator, Lead Co-Arranger, and Guarantor, will finance trade and trade-related projects for eligible Nigerian corporations, supporting BOI’s mission to drive industrial growth in Africa’s largest economy.

The syndication was carried out in two stages. The initial round raised €1.43 billion through a senior syndicate that included AFC, Standard Chartered Bank, African Export-Import Bank, First Abu Dhabi Bank, and others. Following this, AFC led a general syndication, bringing in an additional €447 million. The oversubscribed transaction—87% above initial commitments—is expected to reach €2 billion.

“This successful syndication is a significant milestone, not only for BOI but for Africa’s financial landscape as a whole,” said Banji Fehintola, an Executive Board member at AFC. “We are proud to have played a central role in this historic global loan syndication, solidifying AFC’s position as a trusted bridge between global investors and infrastructure projects in Africa.”

The success of this facility reflects strong market confidence in both BOI and AFC, particularly given that it was completed during a period of tightening global credit conditions. It also highlights AFC’s ability to leverage its A3 (stable outlook) investment-grade rating, recently reaffirmed by Moody’s, to attract international capital for African development projects.

Dr. Olasupo Olusi, Managing Director of BOI, emphasized the significance of the transaction: “This financing, the sixth international capital raising for BOI, is the largest fundraising in our history and the largest syndication in the history of African development finance institutions. A key factor in achieving this success is the continued support of our international funding partners, including AFC.”

The funds will enhance BOI’s capacity to support trade and industrialization, which are crucial for addressing Nigeria’s development challenges and stimulating economic resilience. This transaction aligns with AFC’s broader mission to bridge Africa’s infrastructure gap and accelerate sustainable industrial growth across the continent.

The involvement of a consortium of global financial institutions, including FirstRand Bank, Mashreqbank, and the Export-Import Bank of India, further underscores the growing confidence in Africa’s development finance institutions. As AFC continues to connect global investors with African opportunities, this syndication exemplifies the transformative potential of collaborative financing in driving sustainable economic growth in Africa.