The Bank of Industry has successfully debuted in Nigeria’s domestic debt capital market with its inaugural N250 billion Series 1 Fixed Rate Bond, which attracted subscriptions exceeding the amount offered.

Issued through BOI Financing SPV Plc under the bank’s $1 billion Multi-Currency Instruments Programme, the bond recorded strong demand from institutional investors, underscoring growing confidence in BOI and Nigeria’s domestic capital market.

According to the statement the proceeds will be used to expand BOI’s long-term financing capacity for businesses in priority sectors, with the aim of supporting industrial growth, job creation, local value addition and economic diversification.

BOI said the investor base was diversified, comprising pension fund administrators, commercial banks, development finance institutions, corporates and other institutional investors.

The transaction also attracted significant anchor investments from the Nigeria Sovereign Investment Authority and the International Finance Corporation, further strengthening investor confidence in BOI’s credit profile and long-term development mandate.

Commenting on the transaction, BOI Managing Director and Chief Executive Officer, Dr. Olasupo Olusi, said the oversubscription demonstrated the capacity of Nigeria’s domestic capital market to support large-scale development financing.

“The strength of the investor response is a vote of confidence not only in BOI, but also in the capacity of Nigeria’s domestic capital market to mobilise long-term capital for productive investment,” he said.

Olusi said the ultimate objective of the bond issuance is to channel capital into Nigerian businesses, helping to drive industrial expansion, strengthen local value chains, create jobs and enhance the country’s economic competitiveness.

The BOI chief attributed the strong investor participation to policy support from President Bola Ahmed Tinubu, noting that executive approvals introduced to incentivise investors contributed significantly to the successful transaction.

“As a Development Finance Institution, we could not have received the strong investor demand for the bond in five working days without the support of President Tinubu, who gave his executive approval for various incentives to encourage investors. This became a leverage and a positive signal to discerning investors,” Olusi said.

He added that the N100 billion fund approved for BOI by President Bola Ahmed Tinubu would help support the bond’s pricing and lower financing costs for manufacturers and other businesses accessing the bank’s funding.

The bank said the bond issuance marks a major expansion of its funding structure, complementing its access to international capital markets with greater mobilisation of domestic institutional funds.

BOI said final subscription and allotment figures would be released after securing approval from the Securities and Exchange Commission (SEC).

According to the bank, the strong demand, competitive pricing and broad investor participation reflect growing appetite for high-quality, long-term investment instruments in Nigeria’s capital market.