The federal government, over the weekend, announced its intention to commence two programs designed to alleviate the effects of removing the fuel subsidy.
The Minister for Industry, Trade, and Investment, Dr. Doris Uzoka-Anite, outlined in a press statement sighted by Africa Today News, New York, that the two programs consist of the Presidential Conditional Grant and the Presidential Palliative Loan.
The statement reads: ‘In the Presidential Conditional Grant Programme, the Federal Government will disburse a grant sum of N50,000.00 to nano businesses across the 774 local government areas in the country.’
‘The Federal Government through the Federal Ministry of Industry, Trade and Investment and Small and Medium Enterprises Development Agency of Nigeria, SMEDAN, will collaborate with State and Local Governments, Federal Legislators, Federal Ministers, Banks and other Stakeholders.’
‘The eligible nano business beneficiaries should be willing to provide proof of residential/business address in their local government area, and provide relevant personal and bank account information, including Bank Verification Number, BVN, for verification of identity.’
It also said that eligible beneficiaries can get more information and apply at the website dedicated to the programme.
Also, for the Presidential Palliative Loan Programme, it said: ‘The Federal Government will likewise disburse N75 billion to Micro, Small and Medium-sized Enterprises, MSMEs, across various sectors and N75 billion specifically to Manufacturers.’
‘The loan shall be administered to the beneficiaries at a single-digit interest rate of 9 percent per annum.’
‘While MSMEs can access loan facilities up to N1 million with a repayment period of three years, manufacturers can access up to N1 billion to access financing for working capital with a repayment period of 1 year for working capital or five years for the purchase of machinery and equipment.’
‘MSMEs and manufacturers can apply for the loans by submitting their application on the portal provided for the programme.’
‘The facility would be accessed through their banks, and applicants would be required to meet the risk assessment criteria of their respective banks.’
‘As part of its commitment to promote economic development, entrepreneurship and financial empowerment, the Federal Government believes these initiatives will encourage entrepreneurship and job creation,’ the statement concludes.