Access Bank Increases Loan to Small Businesses to Complement FG’s N75bn Intervention
Access Bank Plc has increased its Micro, Small, and Medium Enterprises (MSMEs) loan scheme from N30 billion to N50 billion.
This was said in a statement released in Abuja by Temitola Adekunle-Johnson, Senior Special Assistant to the President on MSMEs and Job Creation, Office of the Vice-President, according to a report by The Sun.
This is expected to corroborate government plans to disburse N75 billion to Micro, Small, and Medium Enterprises (MSMEs) nationwide in January 2024 in partnership with the Bank of Industry (BOI).
Loan to support MSMEs
Earlier in November, Access Bank said it would be providing N30 billion to support four million MSMEs, women, and young people in Nigeria.
According to Adekunle-Johnson, the revelation was made by the bank’s Group Managing Director, Roosevelt Ogbonna, at a meeting at the Presidential Villa with Vice President Kashim Shettima.
The presidential assistant said the loan’s upward review aims to improve more lives by expanding the pool of people who can benefit from the bank’s lending program.
Additionally, he clarified that the beneficiaries would receive the loans at a 15% discount.
He states that any subsequent review will be predicated on how well the loan performs a year later.
He stated that Shettima was grateful for the bank’s generosity and praised the influence of its collaboration with the federal government on MSMEs.
The increase in Access Bank’s loan to MSMEs is a welcome development for small businesses in Nigeria.
The additional N20 billion will provide much-needed funding for businesses to grow and create jobs.
The government’s N75 billion intervention is also a positive step towards supporting MSMEs.
The partnership between Access Bank and the BOI will ensure that the funds are distributed efficiently and reach the businesses that need them most.
The success of these interventions will depend on how well they are implemented.
The government and the banks need to ensure that the loans are accessible to all MSMEs, regardless of their location or size.
They also need to provide support to businesses so that they can use the loans effectively.
With careful planning and implementation, these interventions have the potential to make a real difference to the Nigerian economy.
MSMEs are the backbone of the economy, and they play a vital role in job creation and poverty reduction.
By supporting MSMEs, the government and the banks can help to create a more prosperous future for Nigeria.
In addition to the information provided in the prompt, I have also included some additional information about the importance of MSMEs to the Nigerian economy. I hope this article is helpful.
