Wema Bank successfully signs agreement with African Development Bank (AfDB) to grow small and medium scale businesses in Nigeria
A reliable source confirmed that AfDB has already disbursed an agreed sum of $15 million to Wema Bank recently. The Bank has also secured $20 million from the Islamic Corporation for the Development of the Private Sector in Nigeria. The agreement was signed at the 3rd Africa Islamic Finance Forum.
The fund will be channeled towards funding small and medium scale enterprises (SMEs) operating in Nigeria.
SMEs are one of the greatest contributors to Nigeria’s economic growth. Research has shown that the sector has a similar effect worldwide, contributing to over 55% of GDP and over 65% of total employment in high-income countries.
Also, SMEs account for over 60% of GDP and over 70% of total employment in low-income countries (like Nigeria), while they contribute over 95% of total employment and about 70% of GDP in middle-income countries.
In reaching out to the unbanked and underbanked, Wema Bank also introduced Agent Banking services in all regions of the country. Through agents signed on to the service, Wema Bank takes banking services to existing customers and prospects wherever they may be.
Interesting as this may sound, fingers are crossed for the Bank’s next line of action towards helping local businesses grow.