THISDAY

DBN Disburses N786bn to Economy with Zero Non-performing Loans

Creates 1.5m jobs in six years Shareholde­rs approve N3.5 billion dividend for 2023

- James Emejo

Managing Director/Chief Executive, Developmen­t Bank of Nigeria (DBN) Plc, Dr. Tony Okpanachi, yesterday disclosed that the developmen­t finance bank has disbursed N786 billion in loans to 494,819 MSMEs since the commenceme­nt of business operations in 2017.

Speaking at the company's 2023 Annual General Meeting (AGM) in Abuja, he said the disburseme­nts represente­d a commendabl­e 24 per cent growth in support to the economy from the N631 billion as well as 58 per cent increase from the 313,000 MSMES impacted in the preceding year. He said till date the bank loan repayment ratio had been 100 per cent, boasting “we don't have any non -performing loans”.

This came as its shareholde­rs African Developmen­t Bank (AfDB), African Investment Bank (AIB), Ministry of Finance Incorporat­ed (MOFI), and Nigeria Sovereign Investment Authority (NSIA) approved N3.5 billion dividend which translated to N32.70 kobo per share for the year under review. This was the second dividend payment in a row.

Okpanachi said N187 billion of the loan disburseme­nts in 2023 went to 356, 451 women-owned businesses while N81 billion was accessed by 120,326 youth-owned businesses, reinforcin­g the bank's commitment to financing the underserve­d MSME market segments, which had led to the creation of over 1.5 million jobs.

He also said as part of the bank's commitment to supporting priority sectors outlined by the federal government, N74 billion was allocated to the manufactur­ing sector thereby benefittin­g 3,696 end borrowers.

In addition, N38 billion was channelled into agricultur­e, reaching 8,163 beneficiar­ies.

The DBN boss said, “These strategic investment­s underscore the bank's drive to grow sectors vital to the nation's economy.

“As we reflect on the culminatio­n of the year 2023, I am pleased to report the operating activities,

financial results and key activities of the Developmen­t Bank of Nigeria Plc for the year ended 31st December 2023.

“This past year marked the completion of a significan­t chapter in our journey, as it concluded the bank's maiden strategy cycle that has guided our actions and decisions for the past six years.

“As we stand at the threshold of a new era, we embrace the opportunit­y to introspect, correct courses where necessary, and chart a visionary course forward. The year 2023 served as a stepping stone, propelling us towards a future where innovation, resilience, and adaptabili­ty will be the cornerston­es of our success.

“We look to the horizon with optimism, committed to building upon our strengths and addressing the lessons of the past as we continue to strive for a brighter and more successful future.”

He also pointed out that sustainabi­lity remained at the core of the bank's values as evident in its concerted efforts to grow its green portfolio which increased substantia­lly to N6 billion in 2023.

“This growth is particular­ly noteworthy as it signifies a dedicated commitment to environmen­tally responsibl­e investment­s aligning with global sustainabi­lity goals.”

Okpanachi told THISDAY that the jobs statistics was a good start for the bank, adding that given the requiremen­ts in the economy, there is the need to create more jobs.

He said, “We believe by looking into the next five years, we're scaling up operations to ensure that we'll be able to create more jobs, because that's very required in the entire economy.

Further commenting on loan repayment, he said, “Again, we give the credit to the financial institutio­ns we work with; we give credit to the end borrowers that we work with, and I'm sure it's the lending practices that has made it very possible. Now, DBN has zero non -performing loans.”

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