In a bid to boost Micro, Small, and Medium-sized Enterprises (MSMEs), the Office of the Vice President has announced plans to commence the disbursement of loans in collaboration with the Bank of Industry (BOI) starting January 2024. The statement from the Senior Special Assistant to the President on Job Creation & MSMEs, Temitola Adekunle-Johnson, confirmed that these loans, amounting to approximately N75 billion, will be extended to small businesses across the nation at a highly favorable interest rate of 9 percent.
The initiative aims to leverage existing platforms, specifically targeting women and youths to provide substantial financial support for MSMEs. Adekunle-Johnson highlighted the collaborative efforts of the current administration with stakeholders from both the public and private sectors, citing recent collaborations resulting in significant support for MSMEs through grants and loans. Additionally, he noted the Access Bank’s recent upward review of its loan scheme for MSMEs from N30 billion to N50 billion, emphasizing the bank’s intent to expand the beneficiary base and impact more livelihoods positively.
This announcement follows Vice President Kashim Shettima’s assurance to Nigerian small business owners six months ago, promising swift access to single-digit loans under the Tinubu-led administration. Shettima reaffirmed the government’s recognition of the pivotal role MSMEs play in driving economic growth, job creation, and innovation. He emphasized the administration’s commitment to fostering an enabling environment and improving access to finance for MSMEs.
The Vice President urged all stakeholders to unite in championing the growth and success of MSMEs, acknowledging the challenges faced by these enterprises due to subsidy removal. He reiterated the government’s urgency in facilitating swift access to single-digit loans for Nigerian small businesses as part of efforts to bolster the MSME sector within the shortest possible timeframe.
