PANAPRESS
Panafrican News Agency
Nigerian govt commits 75b naira to SMEs
Lagos, Nigeria (PANA) - In an effort to boost Small and Medium Enterprises (SMEs), as well as Small Growing Businesses (SGBs), the Nigerian government has committed 75 billion naira as seed capital for lending to operators in the sector, according to Finance Minister Olusegun Aganga (US$1=150 Naira).
''The Federal Government has committed the sum of 75 billion naira to the custody of the Bank of Industry(BOI), specifically for the purpose of lending to SMEs and SGBs in the country,'' Aganga said at the launch of a plan to develop the sector in the country.
The minister urged the beneficiaries of the loan to channel it towards boosting their businesses, so that more jobs will be created for the more than 50 million unemployed youths in the country.
Aganga also warned that the government would develop zero tolerance for non-performance of loans.
''These monies will be channeled directly to the SMEs and SGBs via the Bank of Industry (BOI) on terms suited to improve the competitiveness of the sector with no reversion to moral hazards,'' the minister said.
The launch of the plan was part of the National Economic Management Team's programme aimed at increasing access to capital for SMEs and SGBs.
Apart from capital, many SMEs in the country are operating in a very harsh economic environment occasioned by poor power supply, infrastructural decays and weak purchasing power due to poor salaries and wages.
-0- PANA SB/SEG 3Dec2010
''The Federal Government has committed the sum of 75 billion naira to the custody of the Bank of Industry(BOI), specifically for the purpose of lending to SMEs and SGBs in the country,'' Aganga said at the launch of a plan to develop the sector in the country.
The minister urged the beneficiaries of the loan to channel it towards boosting their businesses, so that more jobs will be created for the more than 50 million unemployed youths in the country.
Aganga also warned that the government would develop zero tolerance for non-performance of loans.
''These monies will be channeled directly to the SMEs and SGBs via the Bank of Industry (BOI) on terms suited to improve the competitiveness of the sector with no reversion to moral hazards,'' the minister said.
The launch of the plan was part of the National Economic Management Team's programme aimed at increasing access to capital for SMEs and SGBs.
Apart from capital, many SMEs in the country are operating in a very harsh economic environment occasioned by poor power supply, infrastructural decays and weak purchasing power due to poor salaries and wages.
-0- PANA SB/SEG 3Dec2010
