The Alternative Bank has unveiled a comprehensive financing blueprint aimed at building domestic pharmaceutical capacity in a strategic move to dismantle Nigeria’s dangerous reliance on imported life-saving commodities.
The initiative comes as a response to a staggering reality: while Africa bears approximately 25 per cent of the global disease burden, it continues to import nearly 97 per cent of its pharmaceutical products.
This vulnerability, which was starkly exposed during the COVID-19 pandemic, has prompted AltBank to deploy asset-backed, risk-sharing capital to fund local production, distribution, and research. The bank said in a statement sent to The PUNCH on Tuesday.
Speaking in an interview with the Association of Industrial Pharmacists of Nigeria, the Group Executive at The Alternative Bank, Jekwu Ozoemene, emphasised that localising the drug supply chain is no longer optional for the country.
He said, “Pharma and medicine security and sovereignty are essential to Nigeria’s survival. We are positioned to partner with all stakeholders to make this a reality.”
To drive this vision, the bank is looking beyond standard trade financing. Rather than simply funding the importation of finished goods, AltBank aims to empower the creators of the value chain.
“We don’t only want to finance the company that imports the most products,” Ozoemene explained. “We also want to finance the industrial pharmacist, establishing a WHO-compliant manufacturing plant to produce essential medicines locally. We want to back the researcher working on new formulations for malaria treatments or hypertension drugs designed specifically for the Nigerian demographic,’ he added.
As a fully licensed non-interest-bearing bank, AltBank is utilising a unique “patient capital” model. Unlike traditional rigid loan stipulations, this structure aligns repayment schedules with the actual cash flow of the business, fostering sustainable growth rather than financial strain.
The bank has already rolled out a suite of healthcare-focused products, including stock, vendor, and distributor financing, as well as revolving drug funds.
“By utilising asset-backed, risk-sharing financing structures, the Bank aligns repayment schedules with a business’s actual cash flow rather than imposing rigid loan stipulations. This thoughtfully structured financing is designed to grow sustainably alongside the businesses it funds,” the bank noted.
Beyond health outcomes, the initiative is designed to tackle Nigeria’s persistent macroeconomic hurdles. By substituting imports with local production, the bank aims to significantly reduce the sector’s demand for foreign exchange, thereby easing pressure on the naira.
Furthermore, the bank is scaling these solutions through strategic partnerships with state health boards to ensure that quality, locally produced drugs reach Nigerians at a significantly lower cost.
“This approach to healthcare inherently aligns with the core principles of non-interest banking, which prioritise investments that generate positive social impact alongside sustainable financial returns. By channelling capital into projects that directly preserve human life… the Bank is reinforcing its mandate to operate as an ethical financial catalyst,” the bank added.
With this new blueprint, The Alternative Bank is positioning itself not just as a lender but also as a strategic partner in Nigeria’s quest for industrial-scale pharmaceutical manufacturing and long-term economic resilience.
