Bank of Industry Loan for Manufacturers in Nigeria (2026)

Many owners search for a Bank of Industry loan because they have equipment they cannot afford outright. The Bank of Industry (BOI) is Nigeria's development finance institution for industry, and its website lists products for small and medium businesses and for light manufacturers. This article summarises only what BOI's own pages state, as of October 2026. It is not financial advice, and BOI products, rates and rules can change, so confirm everything with BOI before you plan around it.

What BOI says it does

In a column published on its website on 4 November 2025, BOI said its mandate "now sits at the intersection of economic diversification, inclusion, and sustainability," and described itself as providing concessionary finance where markets fall short. The same column names programmes such as GLOW (Guaranteed Loan for Women), RAPID (a rural enterprise programme launched in 2024) and iDICE, which is aimed at digital and creative enterprises.

SME financing as BOI describes it

BOI's SMEs page says facilities are provided to duly registered business entities operating along the value chains of priority sectors. It describes SME loans as offered "at below market rates" with "longer tenors (3-5 years)" and "a moratorium period of 3-12 months". It says services are available through 30 Business Offices nationwide, and that you can apply, track and manage facilities on its MyBOI portal. The page gives no specific interest rate and no general loan ceiling, so do not assume either. The portal banner on the page showed mixed launch information when we read it, so check the portal status with BOI customer care.

The light manufacturing product

For small factories, the most relevant product is Light Manufacturing. On that page BOI lists two loan tiers, up to ₦10 million, and above ₦10 million up to ₦200 million, and sets out the security it expects for each.

Up to ₦10 million: an asset debenture over the equipment financed; an irrevocable personal guarantee from the company's Chief Promoter for limited liability companies; two external guarantors acceptable to BOI from listed categories; asset and credit life insurance for the Chief Promoter naming BOI as first loss payee, or a guarantee from another acceptable guarantor; and a notarised statement of net worth supporting the guarantees.
Above ₦10 million up to ₦200 million: an all-assets debenture; an irrevocable personal guarantee from the Chief Promoter; and either asset and credit life insurance for the Chief Promoter or a bank guarantee from a commercial bank acceptable to BOI.

That page does not state tenor, interest rate, equity contribution or how to apply for this specific product. BOI also publishes a product brochure (PDF) with a table of products. The copy we read carries no issue date and is partly garbled, so we do not repeat its rates or limits; treat the figures in it only as a pointer and ask BOI for the current terms. The brochure also lists customer care contact details, which are the safest place to start.

The steps to prepare before you apply

BOI does not publish a full step-by-step checklist on the pages we read, so use this as a general preparation list and then ask BOI what it requires:

Register the business. BOI refers to duly registered entities. See how to register a business in Nigeria with the CAC.
Get your regulatory approvals. Lenders usually want to see that you can legally sell what you make. Read about starting a manufacturing business in Nigeria.
Get equipment quotations. Ask for written quotes from suppliers of the machines you plan to finance.
Prepare a plan for your products and buyers. Explain who buys, in what quantities, and how you will deliver.
Plan for security. The security listed above is substantial, so decide early who your guarantors might be and what insurance you need.

Agro-processors: a related route

If your business is food or farm processing, see our separate guide to agro-processing financing in Nigeria, which covers other sources.

Show buyers you are a serious supplier

Lenders and buyers look for the same things: registration, approvals, records and a steady order pipeline. A profile on a B2B platform can help you show activity to buyers, but we cannot promise orders. Read how manufacturers find African B2B buyers online.

Questions to ask BOI before you commit

Which product fits my business, and is it open for applications now?
What are the current interest rate, tenor and moratorium for that product?
What share of the cost must I fund myself?
Which documents are required, and in what format?
What security and insurance are needed, and who can act as a guarantor?
How long does appraisal normally take, and what happens after approval?

Write the answers down and keep a copy with your application. A development loan is a legal obligation, so show the terms to an accountant or lawyer before you sign.

Frequently asked questions

What is the maximum Bank of Industry loan? BOI's Light Manufacturing page lists tiers up to ₦10 million and above ₦10 million up to ₦200 million. Other products have other limits, so ask BOI which applies to you.

What interest rate does BOI charge? The SMEs page says "below market rates" and gives no number. Ask BOI for the current rate.

Does BOI lend to start-ups? The SMEs page speaks of duly registered entities. Ask BOI about your case.

How do I apply? The SMEs page points to the MyBOI portal and BOI business offices. Confirm the current process with customer care.

Is a guarantor needed? The Light Manufacturing page lists personal guarantees, guarantors and insurance as security. Read the tier that applies to you.

Next step

While you prepare a Bank of Industry loan application, you can start building your buyer base. Apply as a supplier at /apply-manufacturer, which is free and stated on the form as taking about 24 to 48 hours to review. Have your company registration number, tax number, licence and certificate uploads, two sample product images and a B2B category ready. Confirm all loan terms directly with BOI.