Ultimate magazine theme for WordPress.

How do I qualify for a loan from the Development Bank of Nigeria (DBN) and what is the application procedure?

67

How do I qualify for a loan from the Development Bank of Nigeria (DBN) and what is the application procedure?

Udechukwu Obize, Umuahia

Micro, Small and Medium Enterprises (MSMEs), as start up or going concern, are eligible for loans from the Development Bank of Nigeria (DBN). However, they must apply through, and be customers of, eligible financial institutions.

DBN provides funding and risk-sharing guarantees through Participating Financial Institutions (PFIs), who will on-lend to end beneficiaries.

MSMEs can access DBN loans through PFIs, which include Commercial Banks, Microfinance Banks, Development Finance Institutions (DFIs) and other Financial Institutions.

DBN loans are repayable in 10 years, with a moratorium of up to 18 months. The interest rates are on a market-conforming and fully financially sustainable basis.

The procedure to get a DBN loan is as follows:

  1. Visit your bank: Commercial Bank, Microfinance Bank, Development Finance Institution (DFI) and other Financial Institutions and indicate you want to apply for a DBN Loan.
  2. The Bank appraises the business and loan purpose, and if its assessment is favourable, the Bank applies to DBN for funding.
  3. If DBN approves the loan, DBN will disburse to the Bank for on-lending to end borrowers.

You can access the DBN loan through any of these PFIs by contacting any of the banks listed below:

Diamond Bank  Plc  
Ecobank Nigeria Bank Plc  
Fidelity Bank Plc    
UBA Plc  
Wema Bank Plc  
AB Microfinance Bank Nigeria Ltd  
Addosser Microfinance Bank  
Baobab Microfinance Bank  
Bosak Microfinance Bank  
Infinity Microfinance Bank Ltd  
LAPO Microfinance Bank Ltd  
Microcred Microfinance Bank Nigeria Ltd  
NPF Microfinance Bank Plc  
  • 1
  •  
  •  
  •  
  •  
  •  
  •  
  •  
  •  
    1
    Share
  •  
    1
    Share
  • 1
  •  
  •  
  •  
  •  
  •  
  •  
  •