SMEs
COVID-19: FG Urges Women To Apply For MSMEs Grant
The Federal Government has urged female entrepreneurs to apply for its ongoing intervention grant for Micro, Small and Medium Enterprises (MSMEs) to enable them overcome challenges posed by the COVID-19 pandemic.
The Minister of State for Industry, Trade and Investment, Amb. Mariam Katagum, made the call at a news conference on the implementation process of the survival fund in Abuja, yesterday.
Katagum, who is also the Chairperson, Programme Steering Committee, said the Project Delivering Office (PDO) for the scheme was receiving feedbacks from Nigerians since its registration portal opened on September 21 for applicants.
According to her, the project, which will run for an initial period of three months, has provisions for 45 per cent female-owned businesses and five per cent for those with special needs.
She, however, noted that there had so far been low women enrolment on the scheme, and therefore called on state and local governments, and trade associations to mobilise women to apply for the grant.
The minister said: “There is need to mobilise more women because by the design of the programme, we are targeting 45 per cent of women beneficiaries and five per cent for those with special needs.
“I use this medium to encourage more women to apply, and we also urge associations to try assisting their members who do not have access to the internet.
“If you are a woman, apply and encourage others to apply because this money is there and we want to ensure that it gets to the targeted beneficiaries,” she said.
Katagum lauded MSMEs’ performances across the country and urged them to take full advantage of the scheme by applying for any category that suits their needs.
She said that although many Nigerians had applied for the grant but there was need for improved awareness creation for MSMEs, especially those in the grassroots to key into it.
According to her, the white list of beneficiaries fully verified for disbursement and payments to the approved block of beneficiaries has also started.
She said that disbursements had been approved for a total of 16,253 MSMEs businesses, accounting for a total of 101,567 beneficiaries.
“Also N30, 000 was paid to each of the 94,696 employees/beneficiaries, while N50, 000 was paid to each of the 6,871 employees/beneficiaries.
“And 2.6 per cent of the beneficiaries are people with special needs, while 43 per cent of the total beneficiaries are women in line with the guidelines on disbursement.
“The disbursements for payroll support commenced last week Wednesday, November 18 and it is ongoing presently across the country.
“However, due to the inability of some states to meet their targets, the portal will be reopened to accommodate such states,” she said.
Katagum said that distribution of beneficiaries across the country so far to include Lagos – 25,000, Kano -17,000 and Abia – 16,000 beneficiaries, while every other state has 13,000 beneficiaries each.
The minister said that the Formalisation Support Scheme, which is simply the registration of 250,000 new businesses with CAC started on October 26.
According her, the scheme has so far registered 9,084 MSMEs from Lagos State, 8,406 from Kano State and 7,906 from Abia, while other states have 6,606 beneficiaries each.
The minister said that prospective beneficiaries under the Artisans and Transport Grants scheme were being paid in three streams with each stream having 12 states.
“Under stream one, 29,000 beneficiaries (artisans) have been approved for payment across the following states, they are FCT, Lagos, Ondo, Kaduna, Borno, Kano, Bauchi, Anambra, Abia, Plateau and Delta.
“While disbursement to beneficiaries under the first stream was ongoing, enumeration of artisans in stream two commenced on October 26 and concluded on November 11.
“Beneficiaries under this stream have been fully verified and will start receiving payments from yesterday.
“The states under stream two comprise Taraba, Adamawa, Bayelsa, Edo, Ogun, Ekiti, Katsina, Kebbi, Kogi, Kwara, Enugu and Ebonyi.
She said that enumeration of artisans under the third stream commenced on Nov. 13, and was concluded on November23 for Akwa-Ibom, Cross-River, Yobe, Sokoto, Nasarawa, Niger, Imo, Oyo, Osun, Jigawa, Gombe, Benue and Zamfara states.
The Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) has reviewed the selection process for beneficiaries of a N5billion credit facility allotted, meant for small businesses in the country.
With the new procedure, the agency has mandated the submission of Corporate Affairs Commission (CAC) certificate and Tax Identification Number as a compulsory requirement to obtain the loan.
The Head of Corporate Affairs, Moshood Lawal, SMEDAN, made the disclosure during an interview with our correspondent recently in Abuja.
According to the report,last year SMEDAN signed an agreement with Sterling Bank to disburse loan options ranging from N250,000 to N2,500,000 at a single-digit interest rate of nine per cent, to facilitate the growth of small businesses through enhanced financial access.
The credit, with the target to assist over 10,000 Small and Medium Enterprises (SMEs), has a duration period of 12 months, to enable small businesses to leverage the facility fully.
Speaking at the signing ceremony, the SMEDAN’s DG, Charles Odii, described it as “an important milestone in our efforts to stimulate economic growth and drive prosperity by enhancing SME access to finance.
“We believe that the financial support, which comes at a very competitive rate, will help SMEs expand operations, hire additional employees, and contribute to an overall upswing in beneficial trade and economic activities”, he said.
But giving an update on the issue four months after, the spokesperson said a software application had been developed to smoothen the process and limit human interference on the credibility of the process.
He added that submission of CAC certificate and tax identification number was needed to identify fake applicants and ensure the fund is given to the right persons.
He said, “Concerning the N5bn loan for small businesses, We have developed an app and it is ready now. We are now taking submissions via the software application. Everyone is expected to download it, put in their business plan and every other detail. Then, they would be evaluated on the app.
“We had to move to an app to avoid human interference because almost everyone had a brother or a sister who tried to influence the process. So, it is better to register via the application, upload the Corporate Affairs Commission certificate, Tax Identification Number and other necessary documents.
“Once that process is fulfilled, the request will be evaluated and those qualified will get a reply immediately but if we had continued with former procedure, the process may be influenced.
“We also noticed that most applicants do not have their CAC certificate and that is a very important document to be submitted.
“Some persons have claimed not to have these certificate but we have insisted that it would be a very important criteria to receive the loan or they would be ineligible. We have promised to be transparent about this initiative and that promise will be kept”.
On the status of applicants who had registered earlier, Moshood explained that those applicants must start the process again using the newly developed app in order to be considered for disbursement.
“Everyone that initially applied for the grant would have to do it again. During the former procedure, they were not asked serious questions, they were only told to register but now we are asking specific questions on how the money will be utilised, the business turnover per month. It is via those questions we will be able to sort out real businessmen and fake ones”, he stated.
According to the report, over 200,000 small-scale businesses had earlier signified their interest to obtain the credit facility with successful applicants receiving emails from the bank.
The alarming rate of small scale business mortality in the country has been a reoccurring issue with the SMEDAN DG revealing that around three million businesses were lost due to varying factors such as insecurity, fraud, global competitiveness and lack of ease of doing business in the past few years.
Financial experts had expressed the view that with improved access to finance, more small business will become drivers of economic progress and important contributors to employment as well as economic and export growth.
As the economic condition continues to bite, a group of young entrepreneurs has extended support to some vulnerable Nigerians via a feeding scheme.
The group said in a statement that the initiative is aimed at providing nourishment to those in need, while drawing inspiration from the teachings of Jesus Christ.
A total of 820 individuals benefited from the programme, enjoying a diverse menu which included Chinese spaghetti, jollof rice, white rice, fried rice, and various soups.
The group from the Redeemed Christian Church of God Youth Church in Ikeja, Lagos, said the act reflects the commitment of the young entrepreneurs to make a positive impact on their community and address societal needs.
The initiative aligns with the Christian Social Responsibility mandate advocated by The Redeemed Christian Church of God, which emphasize the importance of demonstrating love and compassion to uplift communities and individuals.
Part of the statement reads, “The gesture is also in line with the Christian Social Responsibility mandate from The Redeemed Christian Church of God as a mission to meet societal needs through the demonstration of love that positively impacts communities and individuals to make a meaningful mark on the lives of individuals and families, spreading hope and nourishment in the community which is done at least once a month.
“This was led by the Provincial Youth Pastor of Province 1, Pastor Bisi Akande alongside Pastor Femi & Life Oyewunmi, Pastor Shola & Derayo Oladejo and Pastor Leke Adeboye & Titilope Adeboye”.
The Nigeria Customs Service (NCS) has deepened its relationship with its Benin counterpart in enhancing trade.
This follows a meeting held last Thursday between a deligation led by the Comptroller-General of Customs (CGC), Bashir Adewale Adeniyi, and his Republic of Benin counterpart at the Director-General of the Customs Administration of Benin Republic to strengthen collaboration between them.
The primary focus of the meeting, as outlined by the Customs boss, was to deliberate on strategies aimed at amplifying trade activities between the two nations and ensuring the seamless implementation of recommendations previously discussed during their rendezvous in Cotonou.
Highlighting the significance of the collaboration, the CGC said, “We are cognizant of the established framework for cooperation between our respective customs administrations.
“This framework was established at a higher level by the authorities of the heads of State, President Patrice Talon of Benin, and His Excellency President Bola Ahmed Tinubu of Nigeria, both expressing a desire to work together.
“It is upon this foundation that the Customs of both countries are united in their efforts”.
The Director-General of Benin Customs Administration, Mrs Adidjatou Hassan Zanouvi, in her remarks reiterated their steadfast commitment to executing the mutually agreed-upon measures.
Mrs Zaniuvi emphasised the importance of thorough monitoring to ensure effective implementation.
She noted that collaborative endeavours between the Nigeria Customs Service and the Benin Republic Customs Administration serve as a testament to their shared commitment to facilitating seamless trade operations and ensuring the efficient management of cross-border activities for the mutual benefit of both nations.
The CGC seized the opportunity to inspect ongoing projects within the Nigeria Customs Service, Seme Area Command.
He was accompanied by the Customs Area Controller, Seme Border, Comptroller Timi Bomodi.
By: Nkpemenyie Mcdominic, Lagos