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🇳🇬 Nigeria /Economy & Trade

BOI hails Tinubu as N250bn bond oversubscribes in five days

From The Punch · () English

Summarized by DistantNews. Read the original for the full story.

At a glance

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  • The Bank of Industry's N250 billion bond issuance was oversubscribed within five days, which the bank attributes to President Bola Tinubu's leadership and executive support.
  • BOI CEO Olasupo Olusi stated that investor confidence in the bank and Nigeria's capital market was bolstered by incentives approved by the President.
  • The bond's success is expected to translate into increased financing for Nigerian enterprises, potentially boosting industrial expansion and job creation.

The Bank of Industry (BOI) announced the successful oversubscription of its N250 billion Series 1 Fixed Rate Bond within just five working days. The bank's leadership credited President Bola Tinubu's administration for providing crucial executive support and approving incentives that spurred strong investor demand.

The strength of the investor response is a vote of confidence not only in BOI, but also in the capacity of Nigeria’s domestic capital market to mobilise long-term capital for productive investment.

— Olasupo OlusiBOI Chief Executive Officer explaining the significance of the bond oversubscription.

BOI Chief Executive Officer Olasupo Olusi highlighted that the robust investor response signifies a vote of confidence in both the bank and Nigeria's domestic capital market's ability to mobilize long-term capital. He specifically noted that the President's approval of various incentives acted as a positive signal to discerning investors, making the swift oversubscription possible.

As a Development Finance Institution, we could not have received the strong investor demand for the bond in five working days without the support of President Tinubu, who gave his executive approval for various incentives to encourage investors.

— Olasupo OlusiBOI Chief Executive Officer attributing the success to presidential support.

Furthermore, Olusi revealed that a separate N100 billion fund, also approved by President Tinubu, will be used to blend the bond's pricing and mitigate the impact of high interest rates for manufacturers and other BOI customers. This intervention is seen as a testament to the President's commitment to supporting Nigeria's productive sector. The ultimate goal of this financial transaction is to convert investor confidence into greater financing for Nigerian businesses, aiming for industrial growth, job creation, and enhanced economic competitiveness.

Mr President deserves the honour for this feat.

— Olasupo OlusiBOI Chief Executive Officer acknowledging President Tinubu's role.
About this summary

Originally published by The Punch. Summarized and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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