The Bank of Industry (BOI) has opened subscriptions for its inaugural ₦250 billion Series 1 Fixed Rate Bond to raise long-term funding for businesses across key sectors of the Nigerian economy.

The five-year bond, issued through BOI Financing SPV Plc under the bank’s $1 billion multi-currency instruments programme, opened for subscription on August 5 and will close on August 11. The offer carries a yield of 17.35 to 17.50 per cent, with semi-annual interest payments, while principal repayment will begin in the third year and continue in equal instalments until maturity in 2031. The bond will be listed on the FMDQ Securities Exchange, with Chapel Hill Denham serving as the lead issuing house.

US, UK, International Community To Monitor Osun Governorship Election

According to the offer document, proceeds from the bond will finance projects in agriculture and food processing, healthcare, engineering and technology, renewable energy, petrochemicals, oil and gas, creative industries and solid minerals.

BOI said the funding is designed to improve access to affordable medium- and long-term financing for businesses, enabling them to expand productive capacity, create jobs, strengthen local value addition, promote import substitution, boost exports and enhance domestic supply chains. The initiative comes as businesses continue to grapple with elevated borrowing costs and limited access to affordable financing.

BOI highlighted its strong financial position, noting that it has supported more than one million businesses nationwide and disbursed over ₦1.27 trillion between 2023 and 2025. The development finance institution reported a 36 per cent compound annual growth rate in gross earnings between 2021 and 2025, while interest income rose to ₦884 billion in 2025 from ₦538 billion the previous year.

With a 39 per cent capital adequacy ratio and a 1.7 per cent non-performing loan ratio, well above and below regulatory thresholds respectively, the bond has earned AAA ratings from Agusto & Co. and DataPro Intelligence Africa. The offer is open to institutional and qualified investors with a minimum subscription of ₦5 million, and the bond is exempt from tax, making it an attractive fixed-income investment option.