Nigerian Government Launches N200 Billion Fund to Support Small Businesses

Nigeria launches $600M Presidential Intervention Fund to support small businesses impacted by economic challenges, aiming to boost growth, create jobs, and reduce unemployment.

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Quadri Adejumo
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Nigerian Government Launches N200 Billion Fund to Support Small Businesses

Nigerian Government Launches N200 Billion Fund to Support Small Businesses

The Nigerian government has launched a Presidential Intervention Fund with a budget of N200 billion to support small businesses across various sectors. The fund aims to provide financial assistance to shops, food vendors, tech businesses, transportation providers, creative fields, and service providers that have been impacted by recent economic challenges.

According to the government, the Presidential Intervention Fund will be disbursed in two parts: N75 billion for micro, small, and medium-scale enterprises (MSMEs) and another N75 billion for the manufacturing industry. The fund is expected to boost economic growth, create more jobs, and reduce unemployment in the country.

Applications for the fund are now available online and at Bank of Industry branches nationwide. MSMEs and manufacturers interested in receiving financial support can submit their applications through these channels.

Why this matters: MSMEs contribute over 45% to Nigeria's GDP and account for nearly 90% of jobs in the country. The Presidential Intervention Fund will provide critical support to these businesses, helping them recover from recent economic setbacks and unlock their full potential for growth and job creation.

Olatunbosun Oyintiloye, a chieftain of the ruling APC party, has advised President Bola Tinubu to set up a monitoring team to ensure the intervention fund is used for its intended purpose and not siphoned into private pockets. "The fund will help MSMEs, the backbone of the economy, create more jobs and unlock the full potential of the nation's economy, leading to increased prosperity and reduced insecurity," Oyintiloye noted.

The Presidential Intervention Fund is part of the government's efforts to support small businesses and boost economic growth in the wake of the recent fuel subsidy removal and subsequent rise in fuel prices. With N200 billion allocated to MSMEs and the manufacturing industry, the fund is expected to provide much-needed relief and support to businesses across various sectors, helping them recover, grow, and contribute to the nation's economic development.

Key Takeaways

  • Nigeria launches N200bn Presidential Intervention Fund to support small businesses
  • Fund to provide financial aid to MSMEs (N75bn) and manufacturing (N75bn)
  • Aims to boost economic growth, create jobs, and reduce unemployment
  • MSMEs contribute over 45% to Nigeria's GDP and 90% of jobs
  • Monitoring team advised to ensure fund is used for intended purpose