This blog post will give you the insight on the SMEDAN and Jaiz bank matching funds for business, personal, mortgage, and credit with free interest. Read on for the application link!
In a bid to support Micro, Small, and Medium Enterprises (MSMEs) across Nigeria, the Small and Medium Enterprises Development Agency (SMEDAN) has partnered with Jaiz Bank to provide N1.2 billion in matching funds. The Director General of SMEDAN, Dr. Olawale Fasanya, made this announcement during a press briefing held in Abuja to commemorate World MSME Day.
Empowering MSMEs with Interest-Free Loans:
SMEDAN and Jaiz Bank have collaborated to disburse N1.2 billion in matching funds to MSMEs nationwide. This initiative aims to bolster entrepreneurial ventures by offering interest-free loans to individuals and businesses, supporting their growth and development.
Expanding Opportunities in Various Sectors:
The loan scheme, initially launched in the agri-business sector, will be expanded to encompass other sectors as more funds become available. To mitigate the risks associated with agri-business, SMEDAN has involved the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL).
Building a Stronger Future Together:
Aligning with the theme of “Building a stronger future together” for World MSME Day, SMEDAN and Jaiz Bank’s partnership emphasizes the importance of collaboration in fostering economic growth and job creation. The intervention seeks to enhance enterprise output, competitiveness, and employment opportunities.
Accessing Loans and Loan Amounts:
Prospective beneficiaries can apply for loans ranging from N500,000 to N2.5 million. These loans are intended to empower MSMEs, enabling them to expand their operations, improve competitiveness, and drive job creation. Click here to apply.
Cushioning the Effect of Subsidy Removal:
To mitigate the impact of subsidy removal on MSMEs, SMEDAN has adopted cost-cutting measures through the establishment of Common Facility Centers (CFCs). These centers, equipped with modern machinery and equipment, aim to reduce operating costs and enhance the competitiveness of MSMEs in terms of both pricing and product quality.
Future Plans and Initiatives:
SMEDAN has expressed plans to establish the SMEDAN investment company, diversifying its operations beyond government subventions. Additionally, the agency is awaiting operational licensing from the Central Bank of Nigeria to launch the SMEDAN microfinance bank, simplifying credit accessibility for MSMEs.
Surveys and Data Collection:
To gather insights and enhance support for MSMEs, SMEDAN conducted an MSME competitiveness survey and plans to release the findings soon. Furthermore, the agency intends to conduct another MSME survey in the coming year, building on the data collected during the COVID-19 era.
The partnership between SMEDAN and Jaiz Bank represents a significant step toward empowering MSMEs in Nigeria. By providing interest-free loans and supporting various sectors, this initiative aims to strengthen the foundation of the economy, promote job creation, and drive sustainable growth in the country.