The Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) has announced that small and medium-sized enterprises (SMEs) have commenced accessing the N5 billion single-digit interest rate loan secured from Sterling Bank. However, some SMEs are encountering challenges in meeting the bank’s eligibility criteria.
Charles Odii, director-general of SMEDAN, revealed that efforts are underway to support SMEs in overcoming these hurdles. In a meeting with Abubakar Suleiman, Managing Director of Sterling Bank, on Monday, Odii addressed the issues raised regarding the application process and difficulties faced by some businesses in reaching the disbursement stage.
The challenges, attributed to issues with formalization and other eligibility factors, were discussed, and an action plan was agreed upon to address them. This plan includes continuous updates to the digital platform to enhance user experience, support for applicants who did not meet eligibility criteria, and providing clear answers to applicants’ inquiries online or at bank branches.
The shared goal between SMEDAN and Sterling Bank remains to support small businesses and ensure the loan opportunity is fully utilized for business growth. SMEDAN will also monitor the progress of successful applicants and provide tailored support to maximize the benefits of the loan opportunity.
The agreement between SMEDAN and Sterling Bank, signed on November 22, aims to provide a N5 billion loan facility to small businesses across Nigeria, reflecting a commitment to fostering entrepreneurship and economic development in the country
