By Matthew Johnson
Lotus Capital Limited, Nigeria’s pioneer non-interest financial services company, has celebrated its 20th anniversary, reaffirming its commitment to expanding ethical investments and supporting the country’s economic development through Sharia-compliant financial solutions.
The anniversary celebration, held on Friday in Lagos themed “20 Years of Creating Wealth the Halal Way.” , brought together business leaders, investors, government representatives and other stakeholders to reflect on the company’s two decades of pioneering non-interest finance in Nigeria.
Speaking at the event, Managing Director and Chief Executive Officer of Lotus Capital limited , Mrs Hajara Adeola, described the journey as exciting, noting that the company was established 20 years ago to promote financial inclusion by providing Nigerians with alternative investment opportunities aligned with their values.
Adeola said the company had recorded significant milestones, including the establishment of four Securities and Exchange Commission (SEC) registered public mutual funds, collaboration with the Nigerian Exchange ,NGX, to develop the NGX Lotus Islamic Index and the introduction of innovative investment products.
She also disclosed that Lotus Capital advised the Federal Government on its first three sovereign Sukuk issuances, which were used to finance the construction of more than 4,000 roads and nine bridges across the country.
According to her, the company also played a significant role in the establishment of Lotus Bank, while Nigeria’s non-interest finance industry has expanded to include five asset management companies, five Islamic banks, five Takaful insurance companies and more than 20 mutual funds.
Looking into the future, Adeola said Lotus Capital would intensify efforts to support the real economy by developing innovative financing solutions for agriculture, manufacturing, real estate and renewable energy.
Reflecting on the company’s achievements, she said: “We started 20 years ago, driven by the desire for financial inclusion and to give people an alternative for investments that are aligned with their values and are Sharia-compliant.
“Today, the industry has grown, the regulatory frameworks are robust and we are excited about the challenges ahead.
“The company will strengthen partnerships with entrepreneurs and industrial players, from small businesses to major corporations, to address their financial needs and contribute to job creation and economic growth.”Adeola said
Delivering the keynote address, President and Chief Executive of Dangote Industries Limited.Mr. Aliko Dangote commended Adeola for establishing and sustaining a pioneering non-interest financial institution in Nigeria, describing her achievement as worthy of emulation by young entrepreneurs.
Dangote, who disclosed that his family was among Lotus Capital’s earliest major corporate clients, said the company’s growth was built on trust, integrity and confidence.
Dangote challenged the company to move beyond gradual expansion and take what he described as “elephant steps” in its next 20 years, particularly by financing productive investments that could accelerate Nigeria’s industrialisation.
He identified manufacturing, agriculture, infrastructure, ports, energy and industrial development as critical areas where non-interest finance could mobilise long-term capital.
According to him, he explained that Nigeria must broaden its financing options to address the high cost and short-term nature of available domestic capital, adding that non-interest finance could complement conventional financial institutions in supporting businesses and economic development.
He also called for stronger partnerships with international financial institutions to attract more Sharia-compliant investment capital into Nigeria and across Africa.
He said: “Money doesn’t follow profit only; it follows trust first. That’s why we all invested when she came with the idea. The first number one rule is that you must trust a person before you invest. Money follows trust, then profit.”Dangote said
Similarly, Chairman of Lotus Capital Limited, Mr. Fola Adeola, recounted the challenges and milestones that shaped the company’s 20-year journey, describing its establishment as a bold decision at a time when non-interest finance was largely unfamiliar in Nigeria.
He said the idea of establishing an Islamic financial institution was initially met with uncertainty, particularly given the prevailing social perceptions surrounding Islamic finance. He recalled that when his wife, Mrs. Hajara Adeola, proposed the idea, he pledged his support despite having little knowledge of the financial model.
According to him, the company’s first investment product, the Halal Fund, was oversubscribed after it sought to raise N1 billion, demonstrating growing public acceptance of Sharia-compliant investments.
He said the company had, over two decades, contributed to the development of Nigeria’s non-interest finance industry through innovative investment products, public awareness and opportunities for individuals, families and institutions to invest in line with their religious and ethical values.
Adeola added that the company’s achievement was not merely in its financial growth but in helping Nigerians understand that different financial systems could coexist, giving investors the freedom to choose investment options consistent with their beliefs.
He said: “If all that this organisation has done in its 20 years is to let society know that finance is finance, but this particular one is under this set of rules, while others are under their own set of rules, and allow people who choose to use money that’s available to them and be satisfied and be able to sleep at night, that they are complying with their religion, with their faith, there is nothing wrong with that. And it’s not compulsory.” Adeola said
The Permanent Secretary, Lagos State Ministry of Finance, Mahmud Alao, who represented Governor Babajide Sanwo-Olu, commended Lotus Capital for sustaining its vision over two decades.
Alao said the growth of non-interest finance had demonstrated that financial innovation and ethical responsibility could complement each other in strengthening the country’s financial system.
He noted that the model offered opportunities to mobilise capital for infrastructure, housing, manufacturing, technology and small businesses, particularly in Lagos, Nigeria’s commercial and financial hub.
“I urged the company to expand its reach among young entrepreneurs, women-led businesses and small and medium-sized enterprises, while exploring opportunities in affordable housing, renewable energy, agriculture and infrastructure.” Alao said
Meanwhile, the Head of Structured Finance at Lotus Capital, Mr. Gregory Ogbebor, described the company’s 20-year journey as challenging but rewarding, particularly given the initial lack of public awareness about non-interest finance.
He expressed optimism that the next two decades would witness greater public understanding, wider adoption and the introduction of more innovative non-interest financial products.
“The company had invested considerable effort in educating Nigerians about the principles and benefits of Islamic finance, which emphasises investment in real assets and productive economic activities and avoiding prohibited sectors.” Ogbebor said
