Nigerian banks lead way on growth strategies for businesses
YOU’D be hard pressed going anywhere in Nigeria without the state of the economy and the ‘recession’ being hot topics of conversation.
There is no question millions of Nigerians are doing it tough, with work hard to find and spending habits in decline.
Despite local and international interest in Nigerian products and services, this collective belt tightening has had a dramatic effect on our Small and Medium Enterprises (SMEs).
A recent United Nations report revealed that 80% of SMEs in Nigeria failed to keep their heads above water.
In an effort to curb this alarming trend the United Nations Industrial Development Organisation’s Investment and Technology Promotion Office in Nigeria convened a four-day intensive workshop with three federal agencies.
Head of the Nigerian UN program, Mrs Adebisi Olumodimu, said “…the team had been able to evolve the needed strategies to address challenges associated with entrepreneurial development in Nigeria”.
Although the recent effort by the UN and federal government was commendable, it would be fair to say these agencies have been a little slow to the table and could learn a lot from some of the strategies our local banks have already put in place.
Due to a renewed push to revitalise the SME sector in Nigeria, Heritage Bank was one organisation that has been tackling the issue of growth in SMEs head on.
Through its multifaceted business accounts, loan schemes, facilities and connections, Heritage has helped thousands of business owners achieve growth in this difficult period.
With a focus on building businesses from the ground up, Heritage said it “cultivates real partnerships” with businesses so owners and entrepreneurs feel as though they are “part of the family”.
Being part of the family or “progress club…gives you access to the CBN single digit loan…a direct link to easy funding through the Paris Klub Scheme, and also business advisory services via regular Business Clinic events”.
But with the realisation that various businesses have different needs, Heritage created three tailored MSME business accounts, Classic, Pro and Premium to suit any entrepreneur.
According to Heritage, these accounts give its business partners greater access to higher levels of credit, overdraft facilities, free POS terminals, easy access to collateral free loans, advisory services, zero COT as well as access to tailored loans for any type of business.
With other banks following Heritage on this push to inject life back into the economy, it is hoped that with the help of the UN, federal government, Nigerian banks and the entrepreneurial spirit inside most Nigerians, the light at the end of recession tunnel will soon become much brighter.
“As a team, the collaborators have analysed the Nigerian business climate…(and) I have no doubt that we will achieve our set goal of making conglomerates of entrepreneurs by strengthening SMEs and placing them on the path of growth,” Mrs Olumodimu said.
