Lagos Employment Trust Fund targets one million jobs by 2019

The Lagos State Government would provide support and grow over 100,000 businesses with its N25 billion Employment Trust Fund.

The step is expected to have multiplier effects of creating additional 300,000 direct and 600,000 indirect jobs while about 200,000 new taxpayers would be added to the State’s tax net.

Speaking on the initiative recently, the Executive Secretary of the Lagos State Employment Trust Fund (LSETF), Akintunde Oyebode, said the fund’s direction is in line with Governor Akinwunmi Ambode’s vision to create employment and entrepreneurship opportunities for all Lagosians. He further disclosed that the LSETF Board, in order to ensure sustainability of the Fund, has set its target to raise a minimum of N25 billion from domestic and international donors, in addition to the N25 billion already committed by the State Government.

According to him, though Lagosians are eagerly waiting for the commencement of the fund, especially with the challenging economic recession, the Board set up to manage the funds had spent the last few months perfecting strategies and addressing grey areas ahead of the commencement of the disbursement of the funds later this year.

He also said the Board of Trustees embarked on several strategy sessions to define the mission, vision, core values and strategic framework to guide the Fund’s activities.

“After the completion of the research exercise, the Board working with its appointed consultants developed a strategic framework articulating the goals of the Board, the key interventions designed to enhance job creation, and the supporting infrastructure needed to deliver the set goals. This exercise has now been concluded and approved by the Lagos State Executive Council,” he said.

Oyebode further said that the fund would provide loans to MSMEs at a single digit interest rates per annum, while training and capacity building and technical support would be provided to drive growth and job creation.

“The businesses we support must demonstrate capacity to repay our loans; be owned by Lagos residents duly registered by the Lagos State Residents Registration Agency (LASRRA); show evidence of tax payments to the Lagos Inland Revenue Service (LIRS); and have valid Bank Verification Numbers (BVNs). In addition to our MSME financing schemes, we will also train unemployed residents to either take up identified jobs or run their businesses,” he said.

Oyebode added that in adherence with Section 6 of the Lagos State Employment Trust Fund Law of 2016, the Board has forwarded the Operating Guidelines outlining the proposed interventions and eligibility criteria for approval by the Lagos State House of Assembly.

“Once the pilot phase is completed, we will rollout our loan schemes in all 57 LGAs and LCDAs across Lagos State,” he stated. “The full rollout will see us visit all LGAs to hold stakeholder sessions, where our staff will educate applicants on the application process, and the eligibility criteria for our various schemes. We are also in the process of setting up liaison offices in 20 LGAs, to bring the Fund’s activities closer to the people, and increase our points of representation to serve Lagos residents.”

On his part, Commissioner for Wealth Creation and Employment, Dr. Babatunde Durosinmi-Etti commended the plan by the LSETF Board to set up offices in 20 Local Governments in the State, as it would go a long way to ensure that no area is marginalized.