The Federal Government’s plan to move the headquarters of the Bank of Industry (BOI) to Eko Atlantic City in Lagos has raised concerns and questions.
Many people are asking why a new headquarters is needed when the bank already has offices in Lagos and Abuja. BOI currently has its head office in Marina, Lagos, a large office on Herbert Macaulay Way in Abuja, and offices in 33 states across the country. The plan to relocate to Eko Atlantic was announced last week.
The Minister of State for Industry, Trade and Investment, Senator John Enoh, said the Federal Executive Council approved the design and construction of a new BOI headquarters at Eko Atlantic City. He explained that the project was one of several proposals approved by the council to support industrial development, trade, and investment.
According to the minister, the new headquarters is meant to serve as a central base for BOI’s expanded role in funding industrial growth, small and medium-sized businesses, and export-focused manufacturing.
About the Bank of Industry
The Bank of Industry is Nigeria’s oldest and largest development finance institution. It provides loans and advisory services to large, medium, and small businesses to help grow the industrial sector.
BOI supports many sectors, including agriculture, food processing, creative industries, healthcare, technology, oil and gas, renewable energy, and solid minerals. It operates through offices in all 33 states of the federation.
The bank was formed from the merger of the Nigerian Industrial Development Bank and the Nigerian Bank for Commerce and Industry. Its share capital has grown from N50 billion to N500 billion over the years.
In its 2024 annual report, BOI said its profit before tax rose from N153.8 billion in 2023 to N250.4 billion in 2024. Its total equity also grew by 24 percent to N835.8 billion.
In 2024 alone, BOI disbursed N510.9 billion to nearly one million beneficiaries through loans and government intervention programmes. It also supported over 10,000 farmers with N2.7 billion and helped rural businesses through special funding programmes.
Why Eko Atlantic?
Eko Atlantic City is a new, privately developed coastal city in Lagos, built on reclaimed land beside Victoria Island. It is designed as a modern business hub with advanced infrastructure and services.
The city is being developed by South Energyx Nigeria Limited, a subsidiary of the Chagoury Group, in partnership with the Lagos State Government and with support from the Federal Government. The Chagoury Group is owned by billionaire Gilbert Chagoury, who is known to be close to President Bola Tinubu.
Several major organisations, including FirstBank, MTN, Shell, the US Consulate, and TVC, have already moved or plan to move to Eko Atlantic. Land in the area is very expensive, costing between $1,500 and $3,000 per square metre.
Critics say building a new BOI headquarters there would cost hundreds of millions of dollars, especially when land and construction costs are considered.
Concerns and criticism
Many analysts and public affairs experts say the project is unnecessary and wasteful. They argue that BOI already has enough office space, including a 12-storey tower in Abuja that was completed in 2022 and is partly rented out.
There are also concerns that government agencies may be quietly forced to move to Eko Atlantic, a move that could cost taxpayers billions of naira.
Some analysts questioned whether other government-owned development banks, such as the Bank of Agriculture and the Nigeria Export-Import Bank, would also be asked to relocate.
Critics argue that at a time when Nigeria’s economy is struggling and small businesses are finding it hard to access funding, BOI should focus on supporting the real sector rather than spending huge sums on a new headquarters.
One analyst said BOI should use its funds to support manufacturers and small businesses instead of building what he described as a “white elephant” project.
Another economist said BOI’s role is to provide financing, not to build large office buildings. He questioned the need for more office space when existing offices in Lagos and Abuja are already large enough.
Small business owners also shared similar views, saying the real measure of BOI’s success should be how many businesses and jobs it supports, not the size of its buildings.
Some Nigerians also expressed their concerns on social media, saying money spent on expensive office projects could have been better used to support small and medium-sized enterprises.
As of the time of this report, the Bank of Industry had not responded to requests for comments on the planned relocation.
