Lagos approves funding for MSMEs

Mr Akintunde Oyebode

The Lagos State Government says it has so far approved funds for 281 micro-enterprises, of which 150 have received offer letters under the pilot scheme of its Employment Trust Fund (ETF).

Mr Akintunde Oyebode, the Executive Secretary of the ETF, made the remark on Friday in Lagos, at the presentation of offer letters to some of the beneficiaries.

According to Oyebode, the pilot scheme of the ETF seeks to support 1,000 Micro, Small and Medium Enterprises (MSMEs).

Oyebode said the distribution of the offer letters was in pursuit of government’s overall goal to support 100,000 MSMEs and create 300,000 and 600,000 indirect jobs by 2019.

He said that under the pilot scheme, beneficiaries would be given five per cent interest loans between N300, 000 and N500, 000 and are expected to repay within 12 months.

“Subsequently, we will roll out the SME loan programme of up to N5 million for three years,’’ Oyebode said.

He said that a lot of organisations were engaged in the selection, verification and disbursement of loans to the beneficiaries, and also provided applicants through their membership.

One of the recipients, Mr Charles Obi, on behalf of other beneficiaries, thanked Gov. Akinwumi Ambode for keeping to his promise.

The News Agency of Nigeria (NAN) reports that Ambode in January signed the N25bn Employment Trust Fund Bill into law, to address unemployment and promote wealth creation through entrepreneurial development.

NAN reports that N6.25billion will be injected into the fund by the state government for four years, totalling N25billion.