President Bola Tinubu disclosed on Monday his administration’s plans to “energise” SMEs Sector with N125 billion as part of its efforts to mitigate the effects of the elimination of fuel subsidies.
Tinubu, in a pre-recorded address to Nigerians, outlined palliative initiatives for several economic sectors such as manufacturing, agriculture, and transportation.
“Our administration recognises the importance of micro, small, and medium-sized enterprises, as well as the informal sector, as drivers of growth,” he said of small businesses. With N125 billion, we plan to revitalise this vital sector.
“Out of the sum, we will spend N50 billion on Conditional Grant to 1 million nano businesses between now and March 2024. Our target is to give N50,000 each to 1,300 nano business owners in each of the 774 local governments across the country.”
The President added that, ultimately, the programme would further drive financial inclusion by onboarding beneficiaries into the formal banking system.
“In like manner, we will fund 100,000 MSMEs and start-ups with N75 billion. Under this scheme, each enterprise promoter will be able to get between N500,000 to N1million at 9% interest per annum and a repayment period of 36 months,” he said.