Delta State has activated a major financial lifeline for small businesses with the release of a ₦1 billion revolving fund to the Bank of Industry (BoI) for the support of Micro, Small and Medium Enterprises (MSMEs).
The agreement was formalised on Tuesday at Government House, Asaba, where the Delta State Government and the Bank of Industry signed a Memorandum of Understanding (MoU) authorising the bank to manage and disburse the fund to qualified entrepreneurs across the state.
Governor Sheriff Oborevwori described the initiative as a cornerstone of his administration’s MORE Agenda, aimed at accelerating job creation, broad-based economic inclusion and long-term growth.
According to the Governor, the fund, approved by the State Executive Council in 2025, was created to address one of the most persistent obstacles facing MSMEs: limited access to affordable credit.
He said the loan facility, which carries single-digit interest rates, would enable traders, artisans, agro-processors and small-scale manufacturers to expand operations, create employment and increase their contribution to the state’s economy.
Oborevwori stressed that the ₦1 billion was structured as a revolving fund, meaning repayments would be recycled to support new beneficiaries.
“Every loan granted must be repaid so that others can also benefit. This is a non-negotiable responsibility and it is essential for the sustainability of the programme,” he said.
He explained that the Bank of Industry was selected to manage the fund because of its strong institutional credibility, robust credit evaluation systems and integrated business development support.
“Our partnership with BoI is not only about funding. It brings along business advisory and capacity-building services that MSMEs need to survive and grow in a competitive market,” the Governor stated.
Oborevwori also noted that while grants remain part of government’s empowerment strategy, excessive reliance on them could weaken accountability and financial discipline.
“This loan-based approach will help entrepreneurs treat the funds with seriousness, invest wisely and build sustainable businesses,” he added.
The Governor disclosed that the programme was shifted from December to January to align with the period when business owners are preparing for growth and expansion in the new year.
He further revealed that the fund could be expanded significantly if properly managed, with the potential to reach ₦10 billion or more.
“This ₦1 billion is only a starting point. If the impact is evident, we will scale it up,” he said.
Earlier, the Managing Director of the Bank of Industry, Dr. Olasupo Olusi, described the partnership as a strategic move to deepen enterprise development and unlock economic potential in Delta State.
He said the revolving fund would improve access to affordable financing for MSMEs while strengthening collaboration between the state government and Nigeria’s leading development finance institution.
Dr. Olusi added that the initiative aligns with BoI’s mandate to convert policy goals into practical financial solutions that drive business growth, innovation and competitiveness across key sectors.
