The Access Bank Plc has revised its Micro, Small, and Medium Enterprises (MSMEs) loan scheme from N30 billion to N50 billion, aiming to bolster support for small businesses in Nigeria.
This announcement aligns with the forthcoming disbursement of N75 billion to Micro, Small, and Medium Enterprises (MSMEs) nationwide in January 2024, in collaboration with the Bank of Industry (BOI).
Initially earmarked at N30 billion, Access Bank aims to expand its support to four million MSMEs, women, and young individuals in Nigeria. The revelation emerged during a meeting at the Presidential Villa with Vice President Kashim Shettima, disclosed by the bank’s Group Managing Director, Roosevelt Ogbonna.
Temitola Adekunle-Johnson, the Senior Special Assistant to the President on MSMEs and Job Creation, commended the bank’s decision to increase the loan pool, emphasizing its potential to positively impact more lives. Notably, beneficiaries are expected to receive the loans at a 15% discount, with potential reviews based on the loan’s performance after a year.
Vice President Shettima lauded the bank’s generosity and the collaboration’s influence on MSMEs, acknowledging the significance of Access Bank’s partnership with the federal government.
This upward adjustment of Access Bank’s loan to MSMEs is a crucial development for small businesses in Nigeria. The additional N20 billion infusion will provide vital funding to bolster business growth and employment creation.
The government’s intervention with a N75 billion fund is a promising initiative aimed at bolstering support for MSMEs. Collaborating with the Bank of Industry ensures efficient distribution, reaching businesses in need.
However, the success of these interventions hinges on effective implementation. Access and BOI need to ensure accessibility to these loans across all MSMEs, irrespective of size or location. Additionally, comprehensive support mechanisms are essential to assist businesses in utilizing these funds efficiently.
By supporting MSMEs, both the government and banks can significantly impact Nigeria’s economic landscape, fostering job creation and poverty reduction. Ultimately, these interventions have the potential to pave the way for a more prosperous future for Nigeria.
