By Majeed Salaam
The Nigerian Export-Import (NEXIM) Bank has secured a financing facility of up to $50 million from the Islamic Corporation for the Development (ICD) of the Private Sector, a move expected to strengthen support for export-oriented businesses and deepen non-interest financing in Nigeria.
The agreement was signed on the sidelines of the 51st Islamic Development Bank (IsDB) Group Annual Meetings held in Baku, Azerbaijan, underscoring growing efforts by development finance institutions to support private sector growth and export diversification across member countries.
Under the arrangement, the facility will provide non-interest financing for export-focused projects and businesses in Nigeria, with a strong emphasis on economic development, job creation and value addition.
The financing agreement was signed by the Managing Director (MD)/ Chief Executive Officer (CEO) of NEXIM, Mr. Abubakar Abba Bello, and the Acting General Manager of ICD’s Banking Department, Mr. Mohammed Asheque Moyeed.
The deal comes at a time when Nigeria is seeking to expand non-oil exports and reduce dependence on crude oil revenues as a major source of foreign exchange earnings. Access to affordable financing remains one of the biggest challenges confronting exporters, particularly small and medium-sized enterprises operating in manufacturing, agriculture and value-added processing sectors.
Industry analysts believe the facility could help bridge financing gaps by providing alternative funding channels for businesses that require capital to scale operations, improve competitiveness and access international markets.
The funding arrangement also highlights the increasing role of non-interest finance in supporting economic development across Africa. As demand grows for ethical and alternative financing models, institutions such as ICD and NEXIM are exploring innovative structures capable of supporting enterprise development while promoting financial inclusion.
For Nigeria, the facility is expected to complement ongoing efforts to boost export capacity, strengthen industrial production and enhance the contribution of the private sector to economic growth.
The agreement further reinforces NEXIM’s mandate of facilitating export development and supporting businesses engaged in foreign trade. Over the years, the bank has positioned itself as a critical institution in Nigeria’s export financing ecosystem, providing credit support, guarantees and advisory services to exporters.
Officials from both institutions described the agreement as a reflection of their shared commitment to advancing private sector development and expanding access to development finance within ICD member countries.
Beyond the immediate financing benefits, the partnership is expected to encourage greater investment in export-oriented sectors capable of generating foreign exchange earnings and creating employment opportunities.
The facility also aligns with broader objectives being pursued by the IsDB Group to promote sustainable and inclusive economic growth through strategic partnerships and innovative financing mechanisms.
