By Godfrey Ofurum
Bank of Industry (BoI), Nigeria’s oldest development finance institution, has disbursed over N53 billion to Micro, Small and Medium Enterprises (MSMEs) in different sectors in Nigeria resulting in facilitating the creation of an estimated one-million direct and indirect jobs so far.
Nnamdi Onwuharu, an official of the bank, made the assertion at the launch of the NG-Cares stimulus package on Result Area 3, to beneficiaries in Abia State, tagged “Abia Cares”.
He observed that the effect of COVID-19 pandemic was felt around the world and Nigeria was not an exception, noting that worst hit are MSMEs, who experienced severe economic losses due to the pandemic and lockdown measures introduced to curtail the spread of the virus.
He stated that the timing of NG-Cares Programme cannot be more apt with the huge losses reported by this segment, which necessitated an urgent need to provide support for households and MSMEs across Nigeria, to help them recover from the effect of the COVID-19 pandemic and to enhance their businesses.
“We have seen various studies emphasising the important roles MSMEs play in national development. At the Bank of Industry, we will continue to demonstrate our commitment to develop and empower MSMEs.
“BoI also provides subsidised loans to MSMEs at single digits all inclusive interest rate, which has helped to stimulate economic activities nationwide. We are also committed to supporting Abia State with the implementation of the Cares Programme, using our robust and sophisticated systems, infrastructure and operations that drive impactful delivery,” he stated.
Onwuharu stated that BoI offers the simplest process technology and field infrastructure for fund delivery to small and medium businesses with the power of biometrics, BVN, as digital collateral, mobile data capture, mobile wallet and 17,000 storing agent network, adding that the bank has been able to properly document, profile and deliver social interventions to over 2.4 million Nigerians across the country.
He affirmed that it is in this capacity and infrastructure and experience that the bank deployed to Abia State “Cares Programme”.
“As at recent, through the prelax platform where NG Cares had received 14,000 applications, 2,991 of these applicants were nominated to go through a vetting process. 1,750 completed the vetting process and 1,084 were enumerated. Right now we are in the process of validating and capturing and disbursing funds to those enumerated,” Onwuharu said.
“I would like to ask at this juncture, why do we have diminishing numbers, from 14,000 applicants coming down to 1,084? This is not a good sign. BoI intends to ensure that Abia State meets its target on this Cares Programme,” he said.
He assured the Abia State government that BoI is fully committed to ensuring that the state RA3 programme is delivered in a transparent and efficient manner, noting that the bank is building capacity to provide all the support required by the state to deliver on the impactful and all inclusive programme.
He congratulated the Abia State government for embarking on the intervention programme to provide support to MSMEs in the state.
