Union Bank of Nigeria has secured funding to the tune of USD 200 Million, a ten-year term loan, from the Overseas Private Investment Corporation (OPIC).
One of Nigeria’s oldest commercial banks, Union Bank secured the financial deal through collaboration with financial services holding company, Atlas Mara Limited and in agreement with OPIC.
As part of terms and agreement governing the deal, the loan will be employed to push digitization and fund women-led businesses plus SMEs.
The funding aligns with OPIC’S USD 1 Billion 2X Women’s Initiative which is aimed at supporting women-led funds or businesses providing solutions to women’s needs. OPIC, which is the U.S Government’s development finance institution, had set out to unlock the multi-trillion dollar opportunity women hold by funding projects that supported women.
The CEO of Union Bank, Emeka Emuwa said,“We welcome this partnership with OPIC as we are well-positioned in Nigeria to further advance lending to key segments of the population, especially SMEs. The 10-year tenor of the OPIC facility provides flexibility to maximize impact across key sectors of the Nigerian economy as we continue to advance proven initiatives including those focused on women’s banking and financial inclusion.”
Recently, the bank celebrated International Women’s Day this year with the launch of ‘Alpher’, a platform that is aimed at empowering women through capacity building opportunities, networking platforms, scholarships, and tailored financial services for women.
David Bohigian, Acting President and CEO of OPIC said “OPIC is delighted to partner with Atlas Mara and the team at Union Bank to drive inclusive lending in Nigeria. This funding benefits SMEs and women and will help serve the needs of underbanked and unbanked individuals and businesses while fostering entrepreneurship and economic development across Nigeria.”
It is also worth noting that the bank in its commitment to boost Nigeria’s SMEs and startup ecosystem launched ‘Startup Connect’, a business acceleration program that matches Nigeria’s tech-enabled startups to the bank’s brand for symbiotic collaboration.
