BoI to raise $883m from International Debt Markets

The Bank of Industry (BoI) has unveiled plans to raise 750 million euros ($883 million) from international debt markets this year.

The fund, coming through Eurobond sale, will be used for lending more to companies hampered by the COVID-19 pandemic.

BoI Chief Executive Officer Olukayode Pitan, said financial advisers have been appointed for the issue.

The lender will raise “anywhere between 500 million to 750 million euros,” he said. The bond proceeds will be deployed to areas of priority including health care, transportation, education, solid minerals and agriculture, he said.

Nigerian companies have faced significant foreign exchange constraints after lower oil prices cut income from crude sales, which account for most of the nation’s dollar earnings in Africa’s most populous country.

The bond sales will boost reserves and also increase funding for companies whose businesses have been impacted by the country’s two recent economic contractions in 2016 and last year.

The bond will be the lender’s fourth international debt deal since 2018 and comes on the back of the government’s appointment of financial earlier this month for a planned $6.2 billion Eurobond issuance.

Nation/Hauwa Abu  fr