BoI secures CBN approval to launch non-interest banking operations

The Bank of Industry (BoI) has received approval from the Central Bank of Nigeria (CBN) to operate a Non-Interest Banking (NIB) window, a move the development finance institution says will broaden access to ethical and inclusive financing across the country.

In a statement, the bank described the approval as a major milestone in its growth strategy, enabling it to commence non-interest banking operations and expand support for underserved and high-impact sectors of the economy.

According to BoI, the new window will help mobilise alternative funding sources, promote inclusive growth and strengthen financing for the real economy through products that comply with non-interest banking principles. The bank will also be able to finance assets and raw materials using approved NIB instruments.

“The approval underscores the CBN’s confidence in the bank’s commitment to responsible financing,” the statement said. “It will allow BoI to scale its operations, introduce innovative solutions and deepen support for Micro, Small and Medium Enterprises (MSMEs) and other underserved segments critical to Nigeria’s sustainable economic growth.”

BoI Managing Director, Dr. Olasupo Olusi, said the licence represents a turning point for the bank’s efforts to transform Nigeria’s industrial sector.

“This licence marks a pivotal moment in the bank’s journey. It enables us to reach a new category of borrowers who were previously unable to access our services,” he said.

The bank noted that the initiative is designed to expand access to ethical financing options, particularly for businesses and entrepreneurs that avoid conventional interest-based loans for religious or value-driven reasons.

With the new window, BoI said ethically motivated and faith-sensitive enterprises, as well as other segments that face difficulties accessing traditional credit, will be able to secure funding while remaining aligned with their principles and operational needs.