The Federal Government of Nigeria has launched three funds totaling N200 billion to support businesses and manufacturers nationwide. These funds include the Presidential Conditional Grant Scheme, the Federal Government of Nigeria (FGN) Micro, Small, and Medium Enterprise (MSME) Intervention Fund, and the FGN Manufacturing Sector Fund.
The Bank of Industry (BOI) has been appointed as the executing agency responsible for the day-to-day administration of these funds.
Presidential Conditional Grant Scheme: A N50 billion grant scheme targeting eligible nano business owners, especially women and youths, across all 774 Local Government Areas and 6 Council Areas in the FCT. Beneficiaries will not be required to pay back the grant and must meet certain eligibility criteria, including owning a nano business, registering a business name, and providing proof of residential/business address.
FGN MSME Intervention Fund: A N75 billion scheme aimed at supporting small businesses in the country. Each eligible micro, small, and medium enterprise can receive a maximum of N1,000,000 at an interest rate of 9% per annum, with a tenor of 3 years for equipment and working capital.
FGN Manufacturing Sector Fund: Also worth N75 billion, this fund will support eligible Nigerian production firms to mitigate rising costs due to infrastructural deficiencies and other factors affecting the manufacturing sector. Beneficiaries can receive up to N1 billion at an interest rate of 9% per annum, with a tenor of 5 years for term loans and 1 year for working capital.
Olasupo Olusi, Managing Director of BOI, reiterated the bank’s commitment to the development of MSMEs, aligning with President Bola Tinubu’s renewed hope agenda.
These funds are expected to provide vital support to businesses and manufacturers, contributing to economic growth and job creation across Nigeria.