Region and country of operations: Nigeria
Jurisdiction of registration: Nigeria
Business sector: Bank
|Date of agreement||Finnfund’s financing||Share of Finnfund’s financing||Instrument||Size of project/|
|12/2017||USD 12,000,000||USD 75,000,000|
|1/2019||USD 10,000,000||Loan||USD, 162,500,000|
Environmental and social category: FI-A
Access Bank is one of the largest banks in Nigeria with more than 10 million customers. Access Bank serves retail, small and medium-sized enterprises (SMEs) and corporate clients through almost 400 branches across Nigeria. Access Bank has a long history with Development Finance Institutions, and it has implemented Corporate Governance and risk management practices, including those related to E&S sustainability.
The funding provided by Finnfund will be allocated to strengthen Access Bank’s Tier II capital and enable the bank to provide increased financing to SMEs in Nigeria.
The funding provided in 2017 by Finnfund was allocated to strengthen Access Bank’s finance for agricultural businesses in Nigeria.
Main development impact
Due to the loan facility’s Tier II nature, Access Bank is able to leverage the facility to attract more funding to finance SMEs. Financing SMEs will enable them to invest in their businesses which leads into job creation and contributes to the country’s overall economic development and growth, as lack of access to finance is a reason that many of these businesses struggle. Further, the bank is a forerunner in women’s financial empowerment.
In 2017, the main development effects were estimated to be created indirectly through the agribusiness clients, who are able to expand their activities through the financing provided in an underdeveloped market. Access Bank is committed to enhance gender equality thorough various programmes to support female participation and support financial inclusion by developing agency and digital banking services, which brings financial services also to the rural customers.