The Delta State Government has officially signed a Memorandum of Understanding (MoU) with the Bank of Industry (BoI) for the management of a ₦1 billion revolving fund aimed at supporting Micro, Small, and Medium Enterprises (MSMEs) in the state.
During the signing ceremony held at Government House in Asaba, Governor Rt. Hon. Sheriff Oborevwori hailed this initiative as a significant step towards achieving inclusive growth and sustainable economic development under his administration’s MORE Agenda.
“Today signifies a pivotal moment in our commitment to job creation, inclusive growth, and sustainable economic development,” stated Oborevwori.
He noted that the fund, which was approved by the State Executive Council in 2025, addresses the persistent challenge of access to affordable finance faced by MSME entrepreneurs.
The Governor underscored the crucial role of MSMEs in driving economic growth and employment.
“By providing our traders, artisans, agro-processors, and small-scale manufacturers access to capital at single-digit interest rates, we empower them to expand their operations, create jobs, and contribute significantly to our economy,” he articulated.
Oborevwori also highlighted that the financial structure of this initiative aims to alleviate the high borrowing costs that hinder entrepreneurial growth while ensuring sustainability through a revolving loan mechanism.
“This ₦1 billion is a revolving fund; loans made under this scheme must be repaid to ensure that other eligible entrepreneurs can also benefit,” he emphasized.
The choice of the Bank of Industry as the fund manager reflects its established reputation as Nigeria’s leading development finance institution, noted for its strong credit appraisal systems and business support frameworks.
“Our partnership with the Bank goes beyond mere finance; it includes essential business development and support services that entrepreneurs need to thrive in a competitive marketplace,” Oborevwori added, expressing his confidence in the Bank’s ability to manage the fund effectively and transparently.
The Governor also commented on the state’s history of empowerment initiatives, emphasizing that while grants play an important role, a sole reliance on them can hinder accountability.
“A loan-based model will encourage financial discipline and help entrepreneurs recognize the value of money, make wise investments, and grow sustainably,” he explained.
He reiterated that this initiative would complement existing empowerment schemes, assuring that the government would continue to offer grants and other support programs as needed.
“This MoU is a critical component of our broader economic empowerment strategy. It builds upon our current interventions,” he asserted.
Regarding the timing of the program, the Governor mentioned that the launch was initially scheduled for December but was postponed to January for maximum effectiveness, noting that that period is critical for entrepreneurs focusing on rebuilding and expanding their businesses.
Looking ahead, he expressed optimism about the potential scalability of the fund, stating, “If this fund proves impactful, there is no limit to what we can achieve together. We could expand it to ₦10 billion, ₦20 billion, or even ₦30 billion. This is just the beginning.”
Governor Oborevwori concluded with a vision of strengthening the private sector in Delta State capable of fostering long-term prosperity for its citizens.
Earlier in the event, Dr. Olasupo Olusi, Managing Director of the Bank of Industry, characterized the partnership as a strategic move to enhance enterprise activities and promote sustainable economic growth in Delta State.
He acknowledged the ₦1 billion revolving fund as a significant step in improving access to affordable finance for MSMEs and fostering collaboration between the state government and the Bank.
According to Dr. Olusi, the initiative aligns with the Bank of Industry’s mandate to transform policy priorities into actionable financial solutions that address business challenges across various sectors.
“As Nigeria’s leading development finance institution, we are dedicated to partnering with governments and the private sector to create opportunities for innovation, value creation, and competitiveness among businesses,” he stated, expressing gratitude to the Delta State Government for its dedication to economic development and highlighting the MoU as a testament to the administration’s commitment.
