FG Announces New Date For Disbursement Of N50,000 Presidential Grants And Loans
The Federal Government has announced that it would begin disbursing N50,000 grants and loans to over 700 certified manufacturers and micro, small, and medium-sized companies (MSMEs) in Nigeria in September.
This effort is part of the Presidential Grant and Loan Scheme, which aims to strengthen the economy by aiding small enterprises.
This statement was made during a cheque presentation event in Calabar, Cross River State, by Dr. Doris Anite, the Minister of Industry, Trade, and Investment.
During her address, the minister stated that 660,320 recipients, known as “nano” enterprises, had already received funding via the plan.
She further stated that loan payment to manufacturers and MSMEs will commence next month, once the verification procedure for over 700,000 applications is done.
Governor Bassey Otu of Cross River State expressed his support for the effort, claiming that the Presidential Conditional Grant has had a tremendous influence on his state’s population.
According to Governor Otu, the grants and loans have revitalised local companies, enhancing the economic prospects of many families and individuals.
The Calabar event also provided an opportunity for constructive conversation between the federal and state administrations. The discussions centred on increasing partnerships to promote economic empowerment throughout the country.
With approximately N200 billion set aside for this program, the government hopes to stimulate growth, generate employment, and enhance the well-being of Nigerians across the country.
About Presidential Grants and Loans
This program launched by the Federal Government’s announcement in April was designed to provide N50,000 grants to one million small businesses across Nigeria’s 774 local government areas.
The scheme’s focus is on nanobusinesses, which are the smallest scale of enterprises but form the backbone of local economies.
The selection of beneficiaries will be carried out in partnership with state governments, ministers, and members of the National Assembly.
The criteria for selection prioritize women and youth, who will make up 70% of the recipients, as well as people with disabilities and senior citizens, who will account for 10% and 5% of the beneficiaries, respectively. The remaining 15% will be allocated to other demographic groups.
This initiative is also a response to the challenges faced by businesses and manufacturers in Nigeria due to the removal of fuel subsidies by President Tinubu earlier this year.
The subsidy removal led to a significant increase in operating costs for many businesses, and the grant and loan program is seen as a way to help them recover and thrive.
Looking ahead, Dr. Anite also mentioned that the government is preparing to launch a N75 billion Presidential Palliative Loan Programme for MSMEs, alongside another N75 billion specifically for manufacturers.
These loans, which will be offered at a favorable interest rate of 9% per annum, are expected to provide further support to businesses in the country.
In conclusion, the Federal Government, through the Ministry of Industry, Trade, and Investment, and in collaboration with the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), is taking significant steps to ensure that small businesses and manufacturers receive the support they need to grow and contribute to the economy.
The upcoming disbursement of N50,000 in grants and loans is just one part of this broader effort to empower Nigerian businesses and drive economic development across the nation.
If you’re interested in the Presidential Grant and Loan Scheme, read our previous report to learn how to potentially receive financial support for your business.
ALSO READ: FG Opens Application Portal For Nigeria Youth Investment Fund (NYIF) – APPLY NOW!