United Bank for Africa (UBA) Plc has signed a partnership deal with the Deutsche Investitions- und Entwicklungsgesellschaft mbH, the German Development Finance Institution. The partnership deal, which is worth $50million (N20.5billion) and spans six years, aims to support small and medium scale businesses (SMEs) in Nigeria.
“At UBA Group, we are proud of this collaboration with DEG, particularly as it supports our financial intervention in the SME space, enabling financial inclusion, as well as facilitating economic empowerment." Sola Yomi-Ajayi-UBA America’s Chief Executive Officer and Global Head for Financial Institutions, Multilateral and Development Organizations.
As a financial institution, Sola Yomi-Ajayi-UBA America’s Chief Executive Officer - said UBA remains passionate about the growth of the private sector and small businesses which according to her, remains critical for any developing country. She noted that the passion to see this sector succeed is what led both organizations to collaborate on this laudable feat.
“...These objectives remain core aspects of our strategy, particularly as regards to facilitating the achievement of Sustainable Development Goals on the African continent,” she added.
Commenting on the partnership, Bernhard Tilemann, DEG’s Regional Director for West Africa opined that “DEG is delighted to enter into a long-term cooperation with UBA in Nigeria and the region. This cooperation will address the current economic challenges of the country while fostering private sector growth and impact in the largest economy of the continent.”
DEG is one of the world’s largest private-sector development financiers, with a portfolio of around EUR 8.5 billion in approximately 80 countries. The company is a partner to private-sector enterprises operating in developing and emerging-market countries. DEG provide customers tailor-made solutions, including financing, promotional programmes and advice tailored to individual needs.
According to Tilemann, "DEG has offices on the African continent in Lagos, Abidjan, Johannesburg and Nairobi...the move is a major milestone for DEG’s Regional Representative Office in Lagos which was opened in 2019."
"The funding provided by DEG is partly supported by EB-SME Finance Fund Emerging Markets, while the fund’s adviser is a 100% subsidiary of Evangelische Bank (EB)." said Tilemann said.
Nigeria in focus
GDP: $448.12 billion compared to Ghana's $66.984 billion in 2019
Population: 200,963,599 compared to Ghana's 30,417,856 in 2019
GDP per capita: $2,229 compared to Ghana's $2,202 in 2019