BOI: MSMEs can now access up to N5m loan at single-digit interest rate

The Bank of Industry (BoI) says it has increased the limit for single-digit loans available to micro, small, and medium enterprises (MSMEs) to N5 million.

Olasupo Olusi, managing director and chief executive officer of BoI, spoke on Friday during a town hall sensitisation in Lagos.

The event was organised by the the ministry of finance in collaboration with the ministry of industry, trade, and investments, the presidency, BoI, and other stakeholders.

On October 3, the BoI said it unveiled a N75 billion loan programme for MSMEs, providing up to N1 million in single-digit interest loans for businesses in the category.

Speaking at the event, Olusi, represented by Umar Shekarau, executive director of MSMEs at BoI, praised President Bola Tinubu for making the N200 billion presidential intervention fund for MSMEs accessible.

He said N75 billion from the presidential conditional grant and loan scheme was allocated to MSMEs, stressing that the initiative aimed to generate thousands of direct and indirect jobs across the country.

Olusi said the fund, managed by the BoI nationwide, is ready for distribution to beneficiaries at an interest rate of just 9 percent.

He encouraged business owners to directly reach out to the BoI or register online to access loans and grants, avoiding intermediaries.

Olusi said over 800,000 Nigerians have already benefited, with opportunities still available for youths, women, individuals with disabilities, and all citizens.

“We maintain our integrity as BoI and disburse the funds,” he added.

Also speaking, Temitola Adekunle-Johnson, senior special assistant to the president on job creation and MSMEs, announced that successful applicants would now receive loans of up to N5 million.

According to Adekunle-Johnson, the amount is against the previous N1 million limit set to support business operations.

He added that the president allocated the funds to help address challenges faced by businesses, including difficulties in accessing finance and infrastructure.

“The loan is nine per cent three years tenure. A single MSME can collect up to N5 million single digit,” Adekunle-Johnson said.

‘MSMES BACKBONE OF NIGERIAN ECONOMY’

Wale Edun, minister of finance and coordinating minister of the economy, described the event as a significant milestone in the shared pursuit of economic empowerment and sustainable growth.

Edun said the event aimed to promote a unified vision for collective prosperity within a flourishing and inclusive economy where every Nigerian has access to the tools and resources needed for success.

He said the government is strongly committed to driving MSME growth and enhancing the manufacturing sector’s success to transform Nigeria’s economy effectively.

“It is common knowledge that MSMEs are the backbone of the Nigerian economy and if we do not support our MSME’s to prosper, the Nigerian economy suffers,” Edun said.

The minister expressed gratitude to the MSMEs and attendees for their dedication, sacrifices, and contributions to Nigeria’s development and stability.

John Enoh, minister of state for industry, trade and investment, reaffirmed the government’s ongoing support for programmes and initiatives aimed at improving the welfare of Nigerians.

He also emphasised the government’s commitment to assisting all relevant agencies in fulfilling their mandates.

Enoh called for stronger collaboration among stakeholders to eliminate the obstacles hindering the growth of MSMEs.