The Alternative Bank Calls For Policy Certainty

Executive Director, Commercial and Institutional Banking (Lagos and South West) at The Alternative Bank, Korede Demola-Adeniyi, has called for stronger public-private collaboration and predictable policy to accelerate blended finance and mobilise more private capital into projects that drive inclusive economic growth.

Demola-Adeniyi made the remarks at the Africa Social Impact Summit (ASIS) High-Level Policy Engagement held at the State House Conference Centre, Abuja. The session was hosted by the Office of the Vice President in partnership with Sterling One Foundation and United Nations Nigeria, under the theme ‘Scaling Action: Driving Inclusive Growth through Policy and Innovation’.

She said blended finance can deliver commercially sound outcomes while advancing development priorities when transactions are properly structured, and risks are transparently shared among government, Development Finance Institutions (DFIs), banks, and other stakeholders.

She also noted that DFI-supported blended finance structures often deliver strong repayment performance relative to conventional lending when risks are shared transparently, and execution is actively monitored.

“Blended finance works when the structure is clear, and the risk-sharing is real,” she said. “However, private capital will not be committed at scale when the rules can change halfway through execution. If we want investors to show up, policy has to be predictable.”

Demola-Adeniyi explained that The Alternative Bank evaluates transactions as partnerships rather than conventional interest-based lending arrangements, assessing viability based on profitability, agreed profit-sharing structures, and each party’s contributions to execution.

“If a project is viable, we evaluate how it makes money, how profit is shared, and what each party is responsible for,” she said. “Our model is that of a partnership built to deliver results.”

She referenced The Alternative Bank’s impact collaborations as evidence that blended finance can translate from policy conversations into measurable outcomes when execution is supported. In Kano, she noted, the Bank delivered an electric mobility initiative through the UK government’s FCDO-funded LINKS programme, while also working with women’s cooperatives and transport stakeholders to train about 100 women, certify 30 mechanics, and support operations with tools, a service centre, and battery recharging infrastructure. This demonstrates how coordinated capital and implementation can expand economic participation.

Demola-Adeniyi identified policy inconsistency as a persistent barrier that weakens investor confidence and can jeopardise transactions after capital has been mobilised. “When a policy is introduced, stakeholders structure and fund projects around it, and then it changes midstream, the project is put at risk,” she said. “That is how capital gets stranded on the table.”

She urged policymakers to adopt a multi-year blended-finance framework that protects already-approved transactions from midstream policy changes through clear stabilisation provisions, noting that predictability is essential for long-term capital planning and credible execution.

“If the goal is a $1 trillion economy, then we need rules that investors can trust long enough to build,” Demola-Adeniyi urged.

The Vice President, Kashim Shettima, in his remarks, also called for an evolution in development thinking beyond public spending toward long-term investments in human capital, productive systems, climate resilience, digital infrastructure, and inclusive markets. He was represented by Hauwa Liman, Technical Adviser on Women, Youth Engagement and Impact.

“The future of this continent will not be financed by aid alone. It will be driven by patient capital, catalytic capital, blended finance and private enterprise deployed with discipline and guided by impact”, he said.

Shettima reaffirmed the administration’s commitment to expanding opportunities for young people and women, warning that fragmentation among stakeholders could undermine progress. “The stakes are too high for disunity. Development is not done to people; it is built with them. Progress demands a coalition,” he said.

He urged African leaders and partners to close the gap between promise and performance, noting that history would judge leadership not by speeches delivered, but by systems built, institutions strengthened, and futures secured.