AfDB, FCMB sign $50m facility to finance SMEs, WEBs

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African Development Bank (AfDB) has signed a $50 million Line of Credit Agreement with First City Monument Bank (FCMB) to support access

to finance for small and medium-sized enterprises , as well as women-empowered businesses .

Also, AfDB is partnering partner with FCMB through a technical assistance grant of $200,000 sourced from the Women Entrepreneurship Finance Initiative under its Affirmative Finance Action for Women in Africa initiative. The Nigerian financial institution would deploy the grant to provide non-financial services, including training and strengthening of its monitoring and reporting functions for WEBs.

Small and medium-sized firms account for up to 80 per cent of employment in most African countries and women-empowered businesses typically face a considerable financing gap. The Nigerian economy has been hard hit by the COVID-19 pandemic and falling crude oil prices with a ripple effect on the broader economy.

He noted that the focus and objectives of the multilateral institution’s collaboration with FCMB were in line with AfDB’s strategic priorities of promoting gender inclusivity, private sector development, industrialisation, food security and job creation in the bank’s regional member countries as encapsulated in its High-5 strategic priorities to ‘Industrialise Africa’ and ‘Feed Africa’.

 

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