In a bid to fulfill President Bola Tinubu’s promise of providing financial relief to SME (small and medium-scale enterprises) impacted by economic challenges, the Federal Government, through the Small and Medium Enterprises Development Agency (SMEDAN), is diligently collating precise data on eligible businesses to access the N200 billion palliative earmarked for this purpose.
SMEDAN has been proactive in updating existing data, ensuring the elimination of duplicates and meticulous allocation of funds to the rightful beneficiaries. This effort is part of a broader strategy to support the manufacturing sector and mitigate the adverse effects of the removal of fuel subsidy and exchange rate unification on small-scale businesses.
President Tinubu, in a nationwide broadcast on July 31, announced plans Palliative Allocation of about N75 billion between July 2023 and March 2024 to strengthen the manufacturing sector. The funds are intended to kick-start sustainable economic growth, accelerate structural transformation, and improve productivity by supporting 75 enterprises with significant potential.
However, despite the President’s directive, the government has yet to initiate the disbursement of funds, raising concerns among various stakeholders, including the Director General of the Manufacturers Association of Nigeria, Segun Ajayi-Kadir. He expressed his worries over the delay, describing it as “worrisome” for the business community.
In response to these concerns, SMEDAN’s Director General, Fasanya Olawale, provided reassurance during an exclusive interview with our correspondent. Olawale emphasized the government’s commitment to ensuring the timely distribution of the loan facilities. He stated that their objective is not only to disburse the funds promptly but also to reach businesses in every nook and cranny of the country, spanning all 774 local governments.
The government’s meticulous approach in collating accurate data reflects its dedication to transparency and fairness in the allocation process. As businesses eagerly await the promised financial support, the nation watches closely, anticipating the positive impact these initiatives will have on the struggling small and medium-scale enterprises, ultimately fostering economic growth and stability. Continue Reading