Access Bank signs $162.5 million syndicated loan agreement

12 Mar 2019
Financial Nigeria


Access Bank said the loan facility will support job creation and improve access to finance.

Group CEO, Access Bank Plc, Herbert Wigwe

Access Bank Plc, one of Nigeria’s largest banks, has secured a subordinated syndicated loan amounting to $162.5 million. The aim of the loan facility is to support job creation and improve access to finance. Access Bank, in a statement, emphasized that special attention will be paid to strengthening micro, small and medium-sized enterprises (MSMEs).

The syndicated loan facility was provided by Belgian Investment Company for Developing Countries SA/NV (BIO), Blue Orchard Microfinance Fund, CDC Group Plc., Deutsche Investitions-und Entwicklungsgesellschaft (DEG), Finnish Fund for Industrial Cooperation Ltd (Finnfund), and Oikocredit (Ecumenical Development Cooperative Society UA).

Others are the European Financing Partners SA, funded by the European Investment Bank and acting on behalf of the European Community and Norwegian Investment Fund for Developing Countries (Norfund). The Netherlands Development Finance Company (FMO) served as the Mandated Lead Arranger. The Dutch development bank will also be the Facility Manager.

According to Access Bank, the loan facility qualifies as a Tier-2 capital and will enable the bank to roll out its 5-year strategy to become Africa’s gateway to the world.

“The deal further reinforces the fact that our institution remains globally respected and reputable,” Herbert Wiwge, Group Managing Director/CEO of Access Bank, said. “We are pleased to have worked with a group of world-class lenders, led by the FMO, on this transaction. The syndicated facility is geared towards supporting our effort to promote the growth and job creation potential of the private sector through improved access to financing.”

Access Bank's strategy also entails deepening its footprint in the retail segment and increasing its support to small and medium enterprises.

The Chief Investment Officer at FMO, Linda Broekhuizen, expressed delight in the role the Dutch development bank played in the landmark transaction.

“Through this transaction, FMO strengthens its long-standing relationship with Access Bank,” said Broekhuizen, adding that all the lenders are pleased to be significant contributors to fostering Nigerian SMEs and supporting job creation in the country.

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