In an endeavor to promote inclusive economic growth, the Federal Government has increased the maximum amount of funds that small businesses can access under a single interest rate to N5 million. Dr. Olasupo Olusi, the Managing Director and Chief Executive Officer of the Bank of Industry (BOI), expressed the government’s dedication to promoting the growth of Micro, Small, and Medium Enterprises (MSMEs) during a town hall sensitization on the Federal Government Grant and Loan Scheme in Lagos. 

Olusi, who was represented by Umar Shekarau, Executive Director, MSMEs, BoI, commended President Bola Tinubu for the N200 billion Presidential Intervention Fund for Micro, Small, and Medium Enterprises (MSMEs). Of this amount, N75 billion was designated for MSMEs. He further stated that the presidential conditional grant and loan scheme aimed to create thousands of direct and indirect jobs nationwide, allocating N75 billion to MSMEs. He stated that the Bank of Industry (BOI) nationwide prepares the fund for disbursement to beneficiaries at an annual interest rate of nine percent. He urged business owners to register online or approach the BoI directly for a loan without going through intermediaries. He stated that over 800,000 Nigerians have benefited from the loan, and there is still space for the inclusion of youths, women, physically challenged individuals, and all Nigerians.

Read on: https://firstcentralcreditbureau.com/the-cbn-raises-the-interest-rate-to-17-5/

Temitola Adekunle-Johnson, the Senior Special Assistant to the President on Job Creation and MSMEs, stated that the purpose of the increase in loan size from N1 million to N5 million was to address the financial and infrastructural challenges that small and medium-sized businesses in the country face. He stated, “The loan has a nine percent interest rate and a three-year term.” Up to N5 million in single digits can be collected by a single MSME.We anticipate this initiative will create thousands of direct and indirect employment opportunities throughout the country. The Ministry of Finance, the Ministry of Industry, Trade, and Investment, the Presidency, and other stakeholders collaborated to devise a more comprehensive federal strategy that included the initiative. Additionally, the Minister of Finance, Mr. Wale Edun, who was represented by Ahmed Gazalli, underscored the significance of MSMEs in the national economy. He characterized the initiative as a significant stride in Nigeria’s pursuit of sustainable development and economic empowerment. He maintains that “MSMEs are the foundation of our economy.” It is imperative to foster their expansion in order to realize our aspiration of an inclusive, prosperous economy. He reaffirmed the government’s commitment to repositioning Nigeria’s economic landscape by removing barriers that impede the expansion of MSME and strengthening the manufacturing sector.