The Niger State government on Monday commenced the disbursement of the N1 billion Central Bank of Nigeria (CBN) Micro Small and Medium Enterprises Development Fund (MSMEDF) to 11, 578 beneficiaries.
The fund was the first tranche of disbursements to Micro, Small and Medium enterprises (MSMEs) aimed at creating financial inclusion, wealth and empowerment of youths.
Governor Abubakar Bello of Niger State said the government keyed into the initiative as part of its restoration agenda to empower youths to be engaged in useful ventures, to become self-reliant.
He advised the beneficiaries to be prudent in the management of the funds, as they are loans to be paid back.
Bello said the government would continue to support MSMEs in order to stimulate economic growth, create jobs and engage the youths to reduce restiveness.
“I must make it clear that these monies are not free, they are loans to artisans, which must be repaid so that others too can benefit.
“Our desire to focus on the SMEs is to help the absorption of productive resources at all levels of the economy.
“This will enable them to contribute to the building of flexible economy system in which artisans in the state are fully empowered to contribute to our economy,” he said.
He commended the effort of the agency in getting the beneficiaries and urged it to strengthen its recovery process to the loans were repaid.
The Director-General of the Small, Medium Enterprises and Micro Finance Agency in the state, Alhaji Farouk Audi, said the beneficiaries are drawn from the 25 local government areas.
According to Audi, 6, 343 out of the total number are women constituting 60 percent, while 5,244 are men.
He said three local government areas were selected in the three senatorial districts, adding that the scheme is targeted at generating wealth and job creation.
Audi added that the scheme would increase productivity and output of microenterprises, enhance access to finance by MSME’s operators, reduce poverty to the barest minimum and address social vices among youths.
The Commissioner of Investment, Commerce and Industry, Alhaji Mahammad Mudi, said the scheme would strengthen private sector operatives, easy access to affordable credit facility and create an enabling environment for businesses to thrive.
He explained that the scheme is designed to empower the less privileged, petty traders, farmers, artisans, cottage industries, trade and general commerce, agricultural value-chain and business associations.
Mudi added that the scheme is a soft loan with beneficiaries expected to repay with ease through a simplified repayment guide within the recovery period.
- NAN