FG announces plans to formalise 1m businesses at discounted rates
By Ukpono Ukpong
In an effort to eliminate bottlenecks affecting Micro, Small, and Medium Enterprises (MSMEs) in Nigeria, the federal government has announced plans to formalise one million businesses across the country at discounted rates.
Vice President Kashim Shettima disclosed this on Tuesday when he launched the Expanded National MSME Clinic in Makurdi, the capital of Benue State. This event marks the first step on a nationwide journey to empower small and medium-sized businesses.
The MSME Clinic, the first of its kind under President Bola Tinubu’s administration, aims to empower MSMEs by breaking down barriers and providing crucial resources.
Benue’s pioneering role in the MSME Clinic sets the stage for a nationwide rollout scheduled to cover Ebonyi, Ogun, Delta, Kaduna, Borno, Katsina States, and the Federal Capital Territory (FCT).
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This meticulously planned itinerary is set for the first half of 2024, culminating in the National MSME Awards, a celebration of entrepreneurial spirit coinciding with World MSME Day, on June 27, 2024, in Abuja.
Addressing a large crowd of entrepreneurs and stakeholders at the Ibrahim Badamosi Babangida (IBB) Square in Makurdi, Shettima emphasised the federal government’s commitment to creating a thriving MSME ecosystem.
He acknowledged the crucial role of MSMEs in job creation and economic development and pledged the government’s unwavering support to empower them.
“We have everything to guide your ambition,” Senator Shettima assured while delivering his speech titled, “Benue State: Nurturing Enterprises, Embracing Prosperity.”
He stated that President Tinubu is committed to resolving the bottlenecks affecting the MSME space in Nigeria and will persist until these issues are resolved. The Vice President noted that the N75 billion loan scheme from the Bank of Industry (BOI) and Access Bank’s discounted N50 billion fund offer crucial financial support for
entrepreneurs.
“We currently have a N75 billion 9% single-digit loan from BOI. Additionally, Access Bank has made N50 billion of their fund available to MSMEs at a discounted rate of 15 per cent which could significantly increase based on loan performance.
“Mr. President is committed to resolving the bottlenecks affecting the MSME space in Nigeria and will persist until these issues are resolved,” he said.
The Vice President hailed the state’s industrious spirit and entrepreneurial drive, describing it as a “beacon of inspiration” for the entire country.
“This clinic isn’t just about fulfilling President Tinubu’s promise,” declared Shettima, adding, “It’s a tribute to Benue’s unmatched work ethic and entrepreneurial drive.”
Praising the state’s dedication to agriculture, art, and commerce, he noted that “these stand as a testament to the remarkable productivity ingrained within the core of Benue State. Every business owner in Benue, whether in Makurdi or Otukpo, Gboko or Katsina-Ala, is a priority,” he added.
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Senator Shettima also announced plans by President Tinubu for a world-class fashion hub in Makurdi, dedicated to the state’s thriving tailoring cluster, which is set to be operational within 90 days.
“Now, hear another piece of good news from Mr. President: His Excellency, President Bola Ahmed, has unveiled the plan to establish a world-class fashion hub in Makurdi for use by small businesses in the tailoring cluster in the state. This hub will be ready in 90 days,” the Vice President stated.
Earlier in his address, state Governor, Rev. Fr. Hyacinth Alia, declared that Benue State is open for business and emphasised the state’s commitment to supporting and empowering MSMEs as a key driver of economic growth.
The Governor highlighted the diverse range of MSMEs thriving in Benue, from organic food producers like Andor Global Foods to innovative motorcycle builders and traditional attire weavers. He also celebrated
Aorkwagh Farms’ work in regenerative farming and the “Made in Benue” brand’s creativity as examples of the state’s entrepreneurial spirit.
Governor Alia, who lauded their contributions to local agriculture, healthy living, and cultural heritage, acknowledged the challenges faced by MSMEs, including insecurity, regulatory hurdles, and access to finance. He assured participants that his administration was actively tackling these issues by streamlining processes, removing bottlenecks, and enacting laws against extortion, including “matching ground.”
