Federal Gov’t, BoI To Disburse N75bn Loans To MSMEs In 2024

In an effort to fortify the Micro, Small and Medium Enterprises (MSMEs) sector, the Office of the Vice-President has teamed up with the Bank of Industry (BOI) to initiate the distribution of loans to businesses starting from January 2024.

Mr Temitola Adekunle-Johnson, the Senior Special Assistant to the President on Job Creation and MSMEs, Office of the Vice-President, disclosed this vital development in a statement released on Tuesday in Abuja.

Adekunle-Johnson highlighted that this strategic step aligns with President Bola Tinubu’s commitment to bolstering the transformation of the MSMEs landscape across the nation.

The loans, totaling approximately N75 billion, will be extended to small-scale businesses throughout the country at an interest rate of nine per cent, offering a significant boost to entrepreneurial ventures.

The official emphasized that both the Federal Government and the Bank of Industry aim to utilize existing channels to disburse the loans, specifically targeting women and youths involved in entrepreneurial pursuits.

Furthermore, Adekunle-Johnson underscored the concerted efforts of Tinubu’s administration in collaboration with various stakeholders from the public and private sectors. These collaborative endeavors have resulted in extensive support for MSMEs, encompassing grants and loan facilities.

He further stated, “Recently, the management of Access Bank Plc approved an upward review of its loan scheme for MSMEs from N30 billion to N50 billion. The upward review, according to the bank, is to increase the number of beneficiaries of the bank’s loan scheme and impact more livelihoods.”

This significant initiative seeks to fortify the backbone of the Nigerian economy by empowering small-scale businesses and fostering economic growth and stability across various sectors.

(NAN)