FG to support 1,300 MSMEs with N50,000 each for eight months

President Bola Tinubu says the federal government is making plans to support micro, small and medium-sized enterprises (MSMEs) in the country.

Speaking in a nationwide broadcast on Monday, Tinubu said 1,300 nano business owners will be given a grant of N50,000 each.

The SMEs will be drawn from the 774 local governments across the country, the president said.

“Our administration recognises the importance of micro, small and medium-sized enterprises and the informal sector as drivers of growth. We are going to energise this very important sector with N125 billion,” he said.

“Out of the sum, we will spend N50 billion on conditional grant to 1 million nano businesses between now and March 2024.

“Our target is to give N50,000 each to 1,300 nano business owners in each of the 774 local governments across the country.”

According to Tinubu, the programme is also meant to drive financial inclusion.

This, he said, would be done by onboarding beneficiaries into the formal banking system.

“In like manner, we will fund 100,000 MSMEs and start-ups with N75 billion,” the president said.

“Under this scheme, each enterprise promoter will be able to get between N500,000 to N1 million at 9 percent interest per annum and a repayment period of 36 months.”

Tinubu’s national broadcast comes amid concerns over the serious economic pressure experienced in the country since he assumed office on May 29.