Project General Description
This project consists of a US $ 125 million line of credit (LOC) to Zenith Bank Plc of Nigeria, for on-lending to small and medium-sized enterprises (SMEs) operating in various vital sectors of the Nigerian economy, including agriculture / agribusiness, transport and manufacturing. The LOC will have a repayment term of seven years and a grace period of three years. This assistance will increase economic productivity, improve the country's competitiveness, generate tax and export revenues, and create employment opportunities. The project will complement the measures taken by the government to promote the growth of the SME sector. It complements initiatives by the government and other DFIs (including the World Bank and IFC) seeking ways to support SMEs in Nigeria through local banks.
The direct beneficiaries of the intervention are Zenith Bank Plc of Nigeria, the Federal Government of Nigeria, as well as small and medium-sized enterprises (SMEs).