The Federal Government says it has approved the disbursement of N150 billion in grants and loans to business owners across Nigeria.
This was made known by Minister for Industry, Trade and Investment, Doris Uzoka-Anite on Monday, December 4, 2023.
She said the funds would be disbursed through the Presidential Conditional Grant and the Presidential Palliative Loan programmes, and shall be administered at a single-digit interest rate of nine percent per annum.
According to the Minister, the programmes are designed to tackle the effect of the fuel subsidy removal by President Bola Tinubu.
Uzoka-Anite said; “In the Presidential Conditional Grant Programme, the federal government will disburse a grant sum of N50,000.00 to nano businesses across the 774 local government areas in the country.
“The eligible nano business beneficiaries should be willing to provide proof of residential/ business address in their local government area, and provide relevant personal and bank account information, including Bank Verification Number (BVN), for verification of identity.”
She further explained that while MSMEs can access loan facilities up to N1 million with a repayment period of three years, manufacturers can access up to N1 billion to access financing for working capital with a repayment period of one year for working capital or five years for the purchase of machinery and equipment.
The minister said MSMEs and manufacturers can apply for loans by submitting their applications on the portal set aside for the programme.
A breakdown of the N150 billion showed micro, small, and medium-sized enterprises (MSMEs) in various sectors would receive N75 billion, while manufacturers would receive N75 billion.
The loans would be accessed through their banks, and each applicant is required to meet the risk assessment criteria of his or her respective bank.