The Bank of Industry Limited (BOI) has attributed the strong demand for its N250 billion Series 1 Fixed Rate Bond to investor confidence in the bank and Nigeria’s domestic capital market.

The bond, issued through BOI Financing SPV Plc under the bank’s $1 billion Multi-Currency Instruments Programme, was oversubscribed within five working days.

BOI Chief Executive Officer, Olasupo Olusi, credited President Bola Tinubu’s support for the strong investor response, saying government incentives had helped boost confidence in the transaction.

“The strength of the investor response is a vote of confidence not only in BOI, but also in the capacity of Nigeria’s domestic capital market to mobilise long-term capital for productive investment,” Olusi said.

He said the N100 billion fund approved for BOI by Tinubu would be used to support the bond’s pricing and cushion the impact of high interest rates on manufacturers and other customers of the bank.

According to Olusi, the ultimate goal is to channel the funds into long-term financing for Nigerian businesses, with the potential to support industrial expansion, job creation, local value chains and economic diversification.

BOI said the transaction would broaden its funding base by complementing its established access to international capital markets with increased mobilisation of long-term funds from domestic institutional investors.

The bank added that proceeds from the bond would strengthen its capacity to finance eligible enterprises in priority sectors and support investments in productive capacity and local value addition.

BOI and its transaction advisers said final subscription and allotment figures would not be disclosed yet, as the allotment remains subject to approval by the Securities and Exchange Commission.

The bank said the strong demand, pricing and broad investor participation demonstrated sustained institutional appetite for long-term domestic assets and reinforced the capacity of Nigeria’s capital market to mobilise development financing at scale.