A presentation by Mr. Sonny Ekedayen at an
interactive session organized by The Lagos
Chamber of Commerce and Industry on
Wednesday 13th June, 2012.
BANK OF INDUSTRY LIMITED
 BOI
was established in October 2001 following the
reconstruction of the Nigerian Industrial Development Bank
(NDIB) which had been in existence since 1964 as one of the
oldest Development Finance Institution (DFI) in Nigeria.
 BOI’s core mandate is the provision of financial assistance for the
establishment of large medium and small projects, as well as the
expansion, diversification and modernization of existing
enterprises and rehabilitation of ailing industries.
 The Bank’s vision is to be a leading self sustaining development
finance institution operating under sound management and
banking principles that would promote the emergence and
development of a virile industrial sector in Nigeria.
 The Bank’s mission is to transform Nigeria's industrial sector and
integrate it into the global economy by providing finance and
business support services to existing and new industries to attain
modern capabilities to produce goods and services that are
competitive in both domestic and external markets.
SHARE CAPITAL AND SHAREHOLDING STRUCTURE
Ministry of Finance Incorporated (MOFI) 58.86%
Central Bank of Nigeria
Private Nigerians (42Nos)
41.12%
0.02%
100%
PRODUCT OFFERING
Micro Enterprises [Cooperative loans].
Small and Medium Enterprises [SME Loans].
Large Enterprises [LE By ticket].
Leasing [Leasing Company (LECON)].
Business Advisory, Investment and Trusteeship BOI-
Trust & Investment Company Ltd.
Insurance Brokerage Services.
DANGOTE GROUP OVERVIEW
 The Dangote Group is one of the most diversified business
conglomerates in Africa with a hard-earned reputation for excellent
business practices and products' quality with its operational
headquarters in the bustling metropolis of Lagos, Nigeria in West
Africa.
The Group's activities encompass:
Cement - Manufacturing / Importing
Sugar - Manufacturing & Refining
Salt - Refining
Flour & Semolina - Milling
Pasta - Manufacturing
Noodles - Manufacturing
Poly Products - Manufacturing
Logistics - Port Management and Haulage
Real Estate
Dangote Foundation
 Since inception, the Group has experienced phenomenal
growth on account of quality of its goods and services, its
focus on cost leadership and efficiency of its human
capital. Today, Dangote Group is a multi-billion Naira
company poised to reach new heights, in every endeavour
competing with itself to better the past.
 The Group's core business focus is to provide local, value
added products and services that meet the 'basic needs' of
the populace. Through the construction and operation of
large scale manufacturing facilities in Nigeria and across
Africa, the Group is focused on building local
manufacturing capacity to generate employment and
provide goods for the people.
BOI/DANGOTE SME FUND
 Dangote Group in partnership with the Bank of Industry
(BOI) initiated a =N= 10 billion Micro, Small and Medium
Enterprises (MSMEs) Fund for job creation through its
Dangote Foundation.
 The fund was launched last year with =N 5 billion, N 2.5
billion each was contributed by Dangote and Bank of
Industry (BOI).
 Based on the successful take off of the first phase, the fund
is expected to grow to =N=20 billion when it gains
momentum.
TARGET BENEFICIARIES
 BOI primarily funds the capital item acquisition, i.e. the
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purchase of items of plant and machinery for industrial
sub sectors such as:
Agro-industries, textile and leather
Polymer –based industries
Solid minerals
Foundries
Information communication technology (ICT) services
 However the BOI/Dangote Fund would in addition
cater for:
• Commerce/Trading in made in Nigeria goods
• Services
BOI and Dangote intend to commit =N=10 billion
each. The interest rate for the funds is 5 percent.
The fund is designed to support four categories of
borrowers namely:
1) Members of Cooperative Associations
2) Stand alone or Individual borrowers
3) Small and Medium Enterprises
SPECIFIC FEATURE OF EACH CATEGORY OF
POTENTIAL BENEFICIARIES
 Members of Cooperative Associations
1) Clusters
2) Tenants of Industrial parks or centers such as IDCS or any
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5)
6)
7)
8)
other similar estate.
Linked to an existing value or supply chain.
Membership of umbrella association or reputable NGO
Products of reputable Entrepreneurs Training
Institutions (such as SMEDAN, LBS, EDCs, Directorate of
Employment etc)
Products of recognized Skill Acquisition Centres
A cooperative with an existing line of business.
Members of the cooperative should be between 10 to 20
members.
9) Members should be in a manufacturing or
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11)
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processing business unit.
Maximumloan amount to each group will not exceed
=N= 10 million.
All members are required to fill the BOI
Questionnaire Form.
Tenor/Moratium to be structured based on amount
of loan vis-a-vis cash flow and nature of business.
Subsidized interest of 5% per annum payable
monthly (subject to review)
Processing Fee – 1% of the loan value payable at the
time of collection of the letter of offer. It is non
refundable.
16) Source(s) and repayment term –To be based on the nature of
business and can be structured based on weekly or monthly
repayment as may be agreed.
17) Security Arrangement which shall include:
 Deposit of 10% of the loan amount in an interest yielding joint
account opened by the cooperative society with a designated
bank with a representative each of BOI and the society as joint
signatories.
 Joint and several guarantees of the beneficiary members of the
Society of BOI loans.
 Personal Guarantees of reputable personalities in the society.
 Opening of an account with a designated commercial bank by
members of the cooperative for lodgement of their sales
proceeds from individual transactions (after loan acceptance).
 Direct deductions of principal and interest as they fall due
from accounts of the group into designated BOI’s account via
sweep transfers.
 Lien on stock of trade and items of equipment, where
applicable.
 STAND ALONE OR INDIVIDUAL BORROWERS
1) Company should be in a manufacturing or processing
2)
3)
4)
5)
6)
7)
8)
business unit, trading or service industry.
Tenor/ Moratorium is dependent on loan amount, nature
of business and cash flow.
Subsidized interest rate of 5% per annum payable
monthly (subject to review).
Processing Fee – 1% of the loan value payable at the time
of collection of the letter of offer. It is non refundable.
Track record through the submission of audited/
management accounts/affairs.
Evidence of association with a Bank (on borrowing and
non-borrowing basis) through submission of statement
of accounts.
Equity contribution of minimum 0f 20% loan amount
(including security deposit)
Must belong to value or supply chain.
9) Security arrangement which shall include:
 Deposit of 10% of the loan amount in an interest yielding
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joint account opened by the company with a designated
bank with a representative each of BOI and the company
as joint signatories.
Personal Guarantees of reputable personalities in the
society.
Opening of an account with a designated commercial
bank by the company for lodgement of its sales proceeds
from transactions (after loan acceptance).
Direct deductions of principal and interest as they fall
due from accounts of the company into designated BOI’s
account via sweep transfers.
Lien on stock of trade and items of equipment, where
applicable.
Domiciliation/ISPO
Evidence of availability of collateral.
 SMALL AND MEDIUM ENTERPRISES (SMEs)
1) The Company must be incorporated as a limited liability
2)
3)
4)
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company.
Filed Annual Returns of the Company at the Corporate
Affairs Commission (CAC).
Provide business plan (feasibility study report)
Submission of quotation for the items of plant and
machinery (2 0r 3 quotations from different sources).
Three years most recent audited accounts of the company
(for existing company).
Long association with a bank with the submission of
statement of account for the past six months.
Evidence of availability of adequate security including
landed properties with valid title documents, corporate
guarantee of reputable companies or bank guarantee.
BOI’S OTHER PRODUCTS AND SERVICES
BOI’s core mandate is the provision of financial
assistance for the establishment of large medium and
small projects, as well as the expansion, diversification
and modernization of existing enterprises and
rehabilitation of ailing industries.
Funding of working capital request is accessible only
under the various specialized managed funds schemes
superintended by the bank such as:
 Nigerian Automotive Council Fund (NAC)
 Rice Processing Fund
 Cotton Textile and Garment Fund
 Sugar Fund
 BOI/Dangote Fund
 CBN Intervention Fund on SME, Power & Aviation
 Nigerian Small Growing Business Loan Scheme
 Entertainment Fund
 SME Development Fund on behalf of State Governments.
 Business Development Fund for women (BUDFOW)
managed for and on behalf of the Federal Ministry of
Women Affairs & Youth Development.
 Small and Medium Enterprises Development Agency Fund
(SMEDAN)
BOI ZONAL REPRESENTATION
The Bank of Industry has its head office in Lagos and a
corporate office in Abuja. Additionally it operates out
of Seven Zonal Offices spread across the country as
follows:
 Abuja Zonal Office
 Aba Zonal Office
 Akure Zonal Office
 Asaba Zonal Office
 Bauchi Zonal Office
 Kaduna Zonal Office
 Lagos Zonal Office
THANK YOU