In its move to encourage Small and Medium Scale Enterprises (SMSEs) in Nigeria, the Management of Diamond Bank Plc., disclosed Friday that the financial institution has so far disbursed N34billion to entrepreneurs in the Northern part of Nigeria.
The North-West Regional Manager of the Bank, Mohammed Tsaibu who disclosed this during an interaction with customers in Kaduna, said the amount was distributed to small scale businesses in the last four years with a view to encourage operators to stay on the business.
Mr. Mohammed disclosed the bank’s willingness to disburse more funds to assist entrepreneurs in the small scale business.
He expressed disappointment at the low contribution of the small and medium scale businesses to the national Gross Domestic Product (GDP) saying; “The contribution of the SMS to the GDP is 30 per cent which is below average and what is expected of the sector”.
The North-West Regional Manager added that the region so far had disbursed soft loan to customers who are on the Diamond BusinessXpress.
He, however, challenged beneficiaries to judiciously use the loan for the purpose they are acquired.
“The small scale and medium entrepreneur should manage its fund prudently and avoid every wasteful spending. They should also constantly bring out new ideas that will uplift their business and we at Diamond Bank will be willing to partner with such SMS”, he added.
Similarly, the Head of MSMEs Proposition at the Corporate Headquarters of the bank, Mr. Chima Nnadozie tasked the entrepreneurs to abide by the new Central Bank law of cash limit by introducing machine payment into their business.
He said customers who are on BusinessXpress account with Diamond Bank have their cash limit at N1million and any payment of cash above this attracts fine from both the Bank and the Apex Bank.