Kwara, Bank of Industry move to deepen MSMEs’ credit delivery
The Kwara State Government has extolled the Bank of Industry’s (BoI) resilience in driving Micro Small and Medium Enterprise (MSME) development in the country, noting that the Development Finance Institution’s (DFI) effort in ensuring that entrepreneurs get equal access to credit facilities, reflects its strong commitment towards entrepreneurship development in Nigeria.
The Governor, Kwara State, Dr. Abdulfatah Ahmed, explained that since its inception, the bank has delivered financial assistance to large, medium and small businesses for their establishment, diversification and mobilization of such enterprises, adding that MSMEs do not only provide job opportunities, but also promote inclusive and sustainable growth in the country.
The Governor during the official commissioning of BoI’s zonal office in Kwara State, said the commissioning is also coming on the heels of a recent flag- off of MSME clinic organised by the office of the Vice President of Nigeria aimed at promoting entrepreneurship in the State.
Indeed, BoI has recorded a total loan approval of N11.6 billion to 66 projects in the State, out of which about N365.25 million is in respect of 42 MSMEs under the BOI and Kwara State government matching fund scheme.
According to Ahmed, the commissioning of the bank’s zonal office is another milestone created for the informal sector while also creating stronger platforms for the economic empowerment of the people in Kwara State.
“I want to commend the BoI for its continuous commitment towards transforming Nigeria’s informal sector by providing financial and business support services to enterprises. The opening of a BOI office in Kwara State therefore confirms the organisation’s effort towards ensuring its impact spreads across the country. This office will deepen access to micro credit and boost the informal sector in the State. Clearly, it is undeniable that MSMEs play a major role in economic development in many countries.
“No doubt the disbursement of these funds will go a long in ensuring entrepreneurs have access to capital for growing their businesses. We have long identified the potentials of MSMEs in Kwara State to boost our local economy and empower our people,” he added.
He said his government has put in place various strategies to ensure entrepreneurs in the State thrive such as the micro credit support scheme which has grown to a cumulative of N2.5 billion.
Earlier, the acting Managing Director, BoI, Waheed Olagunju, noted that the move is in the DFI’s continued effort to deepen its credit delivery process in order to bring its services closer to the bank’s current and potential customers.
He said the Kwara State office is coming up as one of the 22 State offices established by the bank across the country while also commending the Governor, Kwara State, Dr. Abdulfatah Ahmed for the continued support of the State to the bank in bringing to fruition the goal of establishing the Kwara State office.
According to him, by this singular strategic and visionary initiative, the Micro Small and Medium Enterprise (MSME) community of Kwara State are within the easy reach of BOI’s developmental finance and business advisory services.
“It is our hope and expectation that the establishment of the State office will further strengthen the existing partnership between BOI and the Kwara State government by way of enhancing financial inclusion for entrepreneurs in Kwara State, as well as greatly improving our service Turn-Around-Time to our customers,” he said.
He pointed out that the funds which were earmarked for the industrial development of the State as well as economic empowerment of the people is being provided as loans to Kwara State indigenous entrepreneurs at a subsidised interest rate of five per cent.
He stressed that BOI has recorded a total loan approval of N11.6 billion to 66 projects, including large enterprises and MSMEs in Kwara State of which about N365, 254,402.61 is in respect of 42 MSMEs under the matching fund scheme, 3,226 direct and 1,Z92 indirect jobs totaling 5,018 jobs have been created, even as it has embarked on some initiatives aimed at tackling some of the challenges confronting SMEs in the country.