Bottom Of the Pyramid Scheme (On-Lending)


The Bottom of the Pyramid (BOP) Scheme is an on-lending Scheme using the services of Microfinance Banks (MFBs) as vehicle for credit delivery to the under-served and under-banked micro-entrepreneurs. The BOP Scheme is essentially aimed at poverty reduction through job and wealth creation focusing on the rural micro-enterprise operators with a view to extending financial inclusion to them.

The Scheme is designed to leverage on the spread and penetration of the MFBs in all parts of the country to stimulate economic activity within the critical mass at the bottom of the economic pyramid.

The fund shall be provided wholesale on agreed terms to MFBs for onward lending to micro enterprises at the BOP for propagation of value addition activities in various sectors of the economy.

Eligibility Criteria

PFIs such as Microfinance Banks (MFB) and Non-interest Banks. For MFBs, there are three (3) categories of licenses issued by the CBN as follows:  

  • Unit license 
  • State License 
  • National License

Initial Documentation Required

  • A current Formal Application 
  • Certificate of Incorporation
  • Form CAC 2 – Statement of Share Capital & Return of Allotment  
  • Form CAC 7 – Particulars of Directors 
  • Form CAC 3 – Notice of Situation/Change of Registered Address 
  • Form CAC 2.1 – Particulars of Persons who is the Company Secretary or changes therein 
  • Memorandum and Articles of Association 
  • Evidence of filing Annual Returns for the last three (3) years 
  • Corporate profile of Company; Board and Management Team 
  • Evidence of CBN’s /SEC’s License to operate.  
  • Audited Accounts for the last three (3) years 
  • Copy of CBN’s/SEC’s last Examination Report on Asset Quality 
  • Letter of Intent by a Commercial Bank to provide Guarantee for the Loan OR the Participating Financial Institution (PFI) provides Treasury Bills of up to 110% of principal sum.
  • Valid means of identification of the Chairman and Managing Director (Int. Passport/Driver’s License)
  • Four (4) passport sized photographs each of the Chairman and Managing Director.
  • Detailed Curriculum Vitae (in soft copies) of the Directors and Management Team; clearly indicating date of birth and dates qualifications were obtained. 
  • BVN of Directors and Shareholders. 
  • Tax Identification Number of Chairman and Managing Director. 
  • Tax Clearance Certificate (Company) 
  • Declaration of outstanding indebtedness to financial institutions/ individuals and security pledged.

Loan Documentation Required

Customers are required to open an account with the Bank of Industry before application can commence. The documents needed for an account to be opened are listed below. A customer identification number will be created at the end of the account opening process.

An account can be opened by completing an account opening form and submitting all the required documents:


  • Schedule of the shareholders signed by the company secretary. (Shareholders Register) for new customers and a confirmation of earlier submission for returning customers
  • Full Incorporation Documents:
    • Photocopy of Certificate of Incorporation
    • Certified true copy of Memorandum and Articles of Association
    • Forms CAC 2.5 (Allotment of Shares)
    • CAC 2.3 (Particulars of Directors)
    • CAC 2.1 (Appointment of Company Secretary)
  • Means of identification of all Directors of the company (i.e., photocopy of International Passport/Driver’s License and National Identity Card) and BVN of the Executive Directors. (**note that ID of all Directors are needed for compliance and credit search)

The loan application process will begin after the account is opened. A loan application form is required to be completed and all required documents submitted and verified:


  • Formal Loan Application on Letterhead
  • Duly completed Loan Application Form
  • Feasibility Study Report on the project to be financed stating write-up on technology and manufacturing process(s), etc.
  • Quotation/Proforma Invoice for the supply of items of Machinery and Equipment. Sources and quotations for Raw Materials expressed in quantity and amount
  • Security: Bank Guarantee, a letter of intent for Bank Guarantee (with Risk Management being part of the authorized signatories) of the commercial bank issuing the guarantee. Any exception should be supported with the Bank’s approval limits OR
    • Legal Mortgage
    • Photocopy of the title document(s) to the property being pledged e.g Statutory Certificate of Occupancy/Deed of Assignment/Conveyance/Deed of sublease
    • Valuation Report on the Property Proposed as Security from BOI’s accredited value
    • Lease agreement, if operating from a rented premises
  • A copy of the draft Technical, Management, Machinery Supply and/or Joint Venture Agreement (where applicable)
  • Three years’ Audited Financial Accounts and most recent Management Account from a BOI accredited auditors (for an existing business) OR Statement of Affairs (for business less than one (1) year)
  • Company’s Bank Statement for a period of one (1) year
    • The output of the process is the offer letter
    • Two options are proposed for this stage as shown below
  • Regulatory approvals e.g NAFDAC certificate, Mining Lease
  • Declaration of Outstanding Liabilities to other Institutions and/or Individual

If a loan a loan is approved, the next and that last part of the process is disbursement. Before disbursement can begin, the documents below must be submitted:


To be provided by the customer:

  • Submission of Letter of Offer duly endorsed by a Director and Company Secretary or two (2) Directors
  • Letter of acceptance of Offer and Letter showing specimen signature of the authorized signatory
  • Board Resolution authorizing borrowing
  • Return of duly executed Loan Agreement
  • Evidence of payment of fees (if applicable – appraisal, commitment and legal fees)
  • Letter of Attestation
  • Original proforma invoice(s) for the approved item
  • Four (4) Passport photographs of the Chief Promoter and a Director
  • Evidence of filing of Annual Returns, as well as tax clearance certificate -TCC- for the Company, the Chief Promoter and Directors of the Company. Evidence of payment (eTCC) should be accepted for deferral
  • Submission of Bank Guarantee or title documents/other legal documents e.g. Statutory Certificate of Occupancy of the pledged property, ground rent receipts etc.
  • Letter of undertaking to pay interest during moratorium

Click to view or download checklist


  • Single Obligor Limit: Up to 25% of Total Deposit as at the last Financial Year End or 50% of Shareholders’ fund (whichever is lower), for each category of MFB: Unit, State and National and Non-interest Banks. For Non- deposit taking PFIs, 50% of Shareholders’ fund only should be considered.
  • Tenor: 3 Years
  • Moratorium: 6 Months from date of loan disbursement
  • Pricing/Charges: Interest Rate: BOI to PFIs: 9.0% -12.0% per annum (all inclusive). PFIs to Beneficiary: 1.5% per month (all inclusive).
  • Security: Bank Guarantee from reputable commercial banks acceptable to BOI in line with the Bank’s policy on exposure limits to commercial banks OR Treasury Bills/ Bonds of up to 110% of principal exposure OR Legal Mortgage (for properties situated in Lagos, Abuja or Port-Harcourt).
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