The Vice President, Kashim Shettima announced on Tuesday the Federal Government’s plan to initiate the disbursement of loans to Micro, Small, and Medium-sized Enterprises in collaboration with the Bank of Industry, starting in January 2024.
This was disclosed in a statement signed by Temitola Adekunle-Johnson, the Senior Special Assistant to the President on Job Creation & MSMEs in the Office of the Vice President, on Tuesday.
The statement is titled ‘BOI-FG single digit loans for MSMEs to commence Jan 2024.’
“The loans, amounting to approximately N75 billion, will be extended to small businesses across the country at an interest rate of 9 per cent,” he stated.
Adekunle-Johnson explained that the Federal Government, in collaboration with the Bank of Industry, will utilize existing platforms to facilitate the disbursement of loans to small businesses, with a particular focus on women and youths. He further noted that under the leadership of Tinubu, the government has previously worked with stakeholders from both public and private sectors to deliver substantial support to MSMEs through grants and loans.
He highlighted the recent upward adjustment of the Access Bank loan scheme for MSMEs, increasing it 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,” he stated.
The announcement followed Vice President Kashim Shettima’s assurance to Nigerian small business owners six months ago that the Tinubu-led administration would expedite access to single-digit loans for them as quickly as possible.
“The government is working urgently to ensure quick access to single-digit loans for Nigerian small businesses within the shortest time possible,” Shettima had said in his message to mark the 2023 World Micro Small and Medium Enterprises Day on June 27, 2023.
