Hague, Netherlands, July 16, 2024: In a groundbreaking move to boost Nigeria’s economic development, Access Bank PLC, sub-Saharan Africa’s largest bank by customer base, has secured a USD 295 million (approximately N442 billion) syndicated Tier II facility. This historic agreement, orchestrated with the Dutch Entrepreneurial Development Bank (FMO), highlights over two decades of successful collaboration between these financial giants.
The Tier II Facility Agreement, the largest syndication in FMO’s history, underscores the enduring trust and robust partnership between Access Bank and FMO. Since 2003, their relationship has aimed to foster economic progress in Nigeria, with this latest commitment marking their third significant syndication venture.
The substantial capital infusion comes from a syndicate of Global Development Finance Institution (DFI) partners, including British International Investment (BII), Belgian Investment Company for Developing Countries (BIO), BlueOrchard, FinDev Canada, Finnfund of Finland, Norfund of Norway, Oikocredit, and Swedfund of Sweden. Each partner plays a pivotal role in strengthening Nigeria’s private sector, reflecting a shared mission to drive sustainable economic growth.
The funds are strategically allocated to empower local small and medium-sized enterprises (SMEs), with a particular focus on youth- and women-owned businesses, agricultural enterprises, and very small enterprises. This support aims to bridge gaps in financial inclusion, stimulate business development, create jobs, and enhance trade capabilities.
The signing ceremony, attended by dignitaries such as H.E. Amb. Oluremi Oliyide, Nigerian Ambassador to the Netherlands, and Dutch government representatives, highlighted the significance of this partnership. Roosevelt Ogbonna, MD/CEO of Access Bank PLC, expressed deep gratitude to FMO and the syndicate partners, reaffirming the bank’s dedication to global best practices and high standards of accountability.
“Today marks a significant milestone in our longstanding partnerships with FMOs,” Ogbonna stated. “This monumental syndicate Tier II facility agreement underscores the deep-rooted trust and synergy among our institutions. This facility not only enhances our capital reserves but also strengthens Africa’s trade capabilities and export potential. By deploying these funds, we aim to catalyse growth across various sectors, stimulate business development, create jobs, and deepen financial inclusion, aligning with Access Bank’s mission to drive progress and development throughout the continent and beyond.”
Front row (L-R): Michael Jongeneel, Chief Executive Officer, FMO and Roosevelt Ogbonna, Managing Director/Chief Executive Officer, Access Bank Plc
Back row (L-R): Lisa Sherk, Head of Investment Analytics, Blue Orchard; Antti Partanen, Investment Manager, FinnFund, and Adeola Ukoha, Coverage Manager Africa, British International Investment
Michael Jongeneel, CEO of FMO, echoed Ogbonna’s sentiments, highlighting the collaborative effort and shared vision that made this loan facility a reality. “We extend our gratitude to our longstanding partner, Access Bank, and our syndication partners for their outstanding cooperation. The syndicated loan provides significant support to SMEs in Nigeria, particularly underserved segments such as women and young entrepreneurs, aligning perfectly with our shared strategy to enhance financial inclusion and empower local entrepreneurs in the agribusiness and SME sectors.”
This agreement not only marks a historic financial achievement but also sets the stage for a transformative impact on Nigeria’s economic landscape. By focusing on empowering SMEs and underserved communities, Access Bank and its partners are driving a vision of inclusive growth and sustainable development.
As Access Bank continues its mission to become the world’s most respected African bank, this partnership with FMO and the global DFI community underscores a powerful commitment to fostering prosperity and financial inclusion across the continent.
For Access Bank and FMO, this is more than just a financial transaction; it is a shared pledge to uplift and empower, to build and innovate, and to drive a future where economic opportunity is accessible to all.
