Lagos, Kano, Abia to get marginal increase in N75b survival fund – Presidency
The Presidency has stated that Lagos, Kano and Abia states will get slightly higher numbers of beneficiaries, while other States and the FCT will get an evenly distributed share of the Economic Sustainability Plan’s (ESP) N75 billion MSMEs Survival Fund.
The disclosure is contained in an updated reports of the Federal Government on the implementation of the Survival Fund scheme, as the ESP scheme continues gain attention with the emergence of beneficiaries on the first set of States across the country.
Confirming the report, Laolu Akande, the Senior Special Assistant to the President on Media and Publicity, Office of the Vice President said Lagos, Kano and Abia had more MSMES activities in their States than the rest and this explains why they got slightly higher numbers of beneficiaries.
The report disclosed that the Steering Committee led by the Minister of State for Industry, Trade and Investment, Amb. Mariam Katagum, is working to ensure smooth implementation of the programme across the states and FCT as focal persons are enlisted by the Project Delivery Office (PDO) to drive the operationalization of the schemes in communities within the states.
A detailed distribution procedure for the five tracks under the Survival Fund is as follows: Payroll Support – Lagos gets 25, 000 beneficiaries; Kano, 17,000; Abia, 16, 000; other states 13, 000 each.
General MSME Grants – Lagos, 3, 880; Kano, 3,280; Abia, 3,080; other states , 2,640 each.
Free CAC registration – Lagos, 9,084; Kano, 8, 406; Abia, 7, 906; other states 6,606 each, Artisan & Transport Grants – 36 States and FCT , 9,009.
Guaranteed Offtake Stimulus Scheme (MSMEs) – Lagos, 3,880; Kano, 3,280; Abia, 3080 and other states 12,640 each.
The report indicates that Abia, Lagos and Kano States were separated from the others in the distribution of slots for beneficiaries because of their special status in the MSMEs space, having a larger concentration of small businesses in the country.
The report allayed fears of marginalization of States in the distribution of slots for the five tracks of the Survival Fund.
On the ongoing disbursement of grants under the Artisans Track, in the first set of States, the report indicates that 66% of the total number of registered potential beneficiaries are male artisans while 34% are female artisans.
The intention of the Federal Government, under the scheme is to augment the payroll obligations of businesses in the Health, Production, Education, Hospitality and Food production sectors; provide N50, 000 grants to an additional eligible 100,000 MSMEs; register 250,000 new businesses with the Corporate Affairs Commission (CAC) at no cost to the MSMEs; and Support self-employed individuals like Mechanics, Taxi Drivers, Hairdressers, Keke Napep Riders, Okada riders, plumbers, electricians etc with one-off payment of N30,000 to each of them.
The plan is also geared towards stimulating direct local production in the 36 States of the Federation and the FCT by enabling MSMEs in the production sector with funds to stimulate ‘post COVID lockdown’ off-take products.
“Worthy of note is the fact that the programme is to save over 1,700,000 jobs and special focus will be given to 45% female owned MSMEs and 5% special needs owned MSMEs.
“The scheme comprises five tracks namely; Payroll Support, General MSMEs Grant, Formalization Support, Artisan & Transport Grant, and the Guaranteed Off-Take Scheme.
“The Payroll Support track targets 500, 000 individual beneficiaries. The scheme will support MSME payroll obligations by paying between N50, 000 (maximum) and N30, 000 (minimum) to between 3 and 10 staff of the business for a period of three months.
“The target beneficiaries under this track include, MSMEs in the hospitality industry, Private Schools, Factory owners, Law Firms, hospitals etc.
“For the General MSMEs grants, N50, 000 one-time grants will be given to 100, 000 MSMEs, and target beneficiaries are qualified MSMEs.
“Under the Formalization Support (free CAC registration for new businesses), the Federal Government will, in line with the Vice President’s promise to MSMEs, formalize the registration of 250,000 new businesses with the Corporate Affairs Commission at no cost to the MSMEs.
“Individuals eligible to benefit from this track of the scheme must be Nigerians and have verifiable BVN.
“For the Artisan & Transport Grants which is a one-off payment of N30, 000 to each beneficiary, target group include, Mechanics, Taxi Drivers, Hairdressers, Keke-Napep riders, Okada riders, plumbers, electrician, etc.”
According to the report, “the Guaranteed Off-take Stimulus Scheme is targeted at MSMEs in the production sector. The Objective is to protect and sustain the income of vulnerable Micro and Small Enterprises by guaranteeing the off-take of their products.”
No comments yet