In less than two years at the helm of the Bank of Industry, Dr Olasupo Olusi has moved beyond the rhetoric of banking into the language of measurable development impact. Speaking during an interactive engagement with journalists, the Managing Director/Chief Executive Officer laid out an ambitious vision to transform the institution from a traditional development finance bank into a catalyst for inclusive economic growth.
From climate financing and non-interest banking to MSME support, youth innovation hubs, and impact measurement, Olusi argues that profitability alone can no longer define success for development institutions. He shared his insights on the bank's transformation journey.
Inheriting a Strong Institution
Olusi described the Bank of Industry as a very strong institution when he assumed office, calling it one of the leading development finance institutions in Africa and a respected institution in Nigeria. He likened it to inheriting a Rolls-Royce. The challenge, he noted, was to innovate and reposition the bank to become even more effective in delivering long-term financing and developmental impact for Nigeria's private sector.
Coming from a development economics background, Olusi approached the institution differently from his predecessors, who were largely commercial bankers. His perspective as a development economist focuses strongly on measurable impact and national transformation.
First Reforms: Internal Strengthening and Impact Measurement
One of the earliest reforms introduced by Olusi was looking inward. Before attempting external transformation, the bank needed to strengthen its internal structures and systems. The bank was reorganised along globally recognised industry classifications, and an Impact Group was established dedicated specifically to measuring and tracking the developmental outcomes of interventions.
For Olusi, it is no longer enough to disburse loans. The bank must be able to measure the jobs created, the impact on women and youth, the skills developed, and the broader economic outcomes generated by every intervention. For the first time in the bank's history, an Annual Development Impact Report will be launched in June this year. Financial reports are important, but development institutions must also account for how they are changing lives and transforming economies.
Sustainability as a Core Agenda
Climate and sustainability have become central to economic development globally. Enterprises cannot grow sustainably without paying attention to environmental resilience, climate mitigation, and adaptation. To address this, a Sustainability Division led by a Chief Sustainability Officer was created. The division is responsible for driving the bank's climate finance and sustainability agenda.
A major milestone was the bank's accreditation by the Global Adaptation Fund in October last year, making the Bank of Industry the first Nigerian institution accredited to deploy adaptation financing through the private sector. This was a landmark achievement not only for the bank but for Nigeria as a whole.
Expansion for Financial Inclusion
Financial inclusion and accessibility remain critical to development finance. There were states previously without BOI presence, and Olusi believed that had to change. When he started, the bank had about 31 offices across 30 states. Today, it has expanded to 36 offices in 33 states, with new offices opened in states such as Kogi, Akwa Ibom, and Jigawa. Discussions are ongoing for additional locations. The idea is simple: development finance should not be concentrated in a few urban centres; every region of the country must have access to opportunities.
Strengthening Subsidiaries
The BOI Group has several strategic subsidiaries, including the Leasing Company of Nigeria (LECON), BOI Microfinance Bank, BOI Insurance, and BOI Investment and Trust Company. Over the last two years, these subsidiaries were recapitalised and restructured to sharpen their developmental focus.
Leasing remains a powerful development finance instrument because it allows businesses to access productive assets without the burden of outright ownership. LECON was recapitalised with about N50 billion in 2024, making it the largest leasing company in Nigeria. By the end of last year, LECON had provided over N33 billion in lease financing across sectors such as agriculture, logistics, and mining. The company also secured an improved credit rating, moving from a negative to a positive outlook due to stronger governance, liquidity, and capitalisation.
The microfinance bank was recapitalised and its mandate changed. Previously operating with a unit licence, the bank approached the Central Bank of Nigeria for a state licence as part of its long-term vision to transform it into a national microfinance institution. The objective is to deepen financial inclusion and extend support to people at the bottom of the pyramid who are often excluded from formal financing systems.
New Corporate Strategy: 2025–2027
The 2025–2027 corporate strategy is fundamentally centred on development impact. The strategy focuses on six thematic areas: youth and skills, gender, infrastructure, digital transformation and technology, climate and sustainability, and the MSME sector. The bank wants to significantly increase financing to these sectors using a wider range of instruments, including debt, equity, and blended financing.
Traditionally, development finance institutions relied heavily on debt financing, but Olusi realised that some enterprises cannot sustainably carry debt obligations. In such cases, equity financing becomes more appropriate. Development institutions must be flexible and innovative in the instruments they deploy.
BOI Impact Fund
The BOI Impact Fund is one of the most important innovations introduced. It is funded through a percentage of the bank's profit after tax every year and is dedicated to catalytic developmental investments. Through the fund, the bank invested about $15 million in the New Africa Medical Centre of Excellence in Abuja, a world-class healthcare facility developed with support from King's College Hospital, London. It also invested about N25 billion in the National Credit Guarantee Company, established to help MSMEs overcome collateral constraints and access financing from financial institutions. These are the types of catalytic national investments that can unlock broader economic transformation.
Venturing into Non-Interest Banking
Nigeria is a diverse country, and many people prefer non-interest financing because of their personal beliefs. Development finance must also accommodate those preferences. The bank has already secured the licence for non-interest banking and is currently awaiting final approval of the implementation framework from the Central Bank. Once operational, the service will be deployed particularly in regions where non-interest banking is highly preferred. The bank is also working with international institutions such as the Islamic Development Bank to strengthen its technical and financing capacity in that area.
Youth Empowerment
Young people are critical to Nigeria's future, which is why youth and skills development is one of the pillars of the strategy. The bank has established over 20 innovation and skills hubs across the country focused on ICT, agro-processing, fashion, digital printing, and other productive sectors. The idea is to create spaces where young people can learn, innovate, develop products, and even package them for commercialisation before eventually establishing independent businesses. With the right support structures, Nigeria's youth population can become one of the country's greatest economic assets.
Media as Development Agent
Olusi described the media as the biggest agent of development. Development work is not only about what institutions do; it is also about how those efforts are communicated, understood, and amplified. Communication is central to impact. If people do not understand policies, programmes, or opportunities, the intended outcomes may never materialise. This engagement is therefore important because the bank sees the media not just as observers, but as partners in Nigeria's development aspirations.
Legacy of Impact
For Olusi, it is about impact. Titles and positions are temporary, but the opportunity to contribute meaningfully to national development is enduring. Nigeria has enormous potential across every sector. The developmental challenges faced are not insurmountable if resources and energies are channelled appropriately. At the Bank of Industry, the goal is not merely to finance businesses but to help transform the economic landscape, create opportunities, empower people, and contribute to building a more inclusive and sustainable economy for all Nigerians.
