AKSG to sign MOU with Central Bank

 

The State government is to sign a Memorandum of Understanding with the Central Bank of Nigeria to access two billion naira from the Micro, Small & Medium Enterprise Development Fund (MSNEDF) to support micro and small businesses in the State.

The Commissioner for Economic Development, Mr. Akan Okon gave the hint during a meeting with operators of Micro Finance Banks in the State, held at the conference room of the Ministry yesterday.
Mr. Okon said the Federal Government through the Central Bank of Nigeria has made available two hundred and twenty billion naira to States with each State entitled to access two billion naira for micro, small and medium scale businesses.

The money, he disclosed is to help stimulate and improve the State’s economy by encouraging small and medium scale industries and to promote micro enterprise.

He stated that qualified Micro Finance Banks in the State will be used as vehicles to make the funds available to the  industries in order to  ensure that the facilities were returned by such clients as at when due.
The Commissioner further disclosed that the funds will help citizens at the lower level to be gainfully employed and also provide support to help solve the problem of financing often experienced by small scale industries.  Mr. Okon said the facility would be available for a period of nine years with three years cleanup cycle, stating that the money would be made available to banks according to their capacity and level of funds they can manage.

He listed the areas the loan will support to include, agricultural value chain, hospitality, education, artisans, cottage industry, trade and general commerce.

In his speech, the Chairman of the National Association of the Micro Finance Bank, Akwa Ibom State branch and Managing Director of Active Point Micro Finance Bank, Mr. Effiong Inyang, appreciated the efforts of the State government through the Ministry of Economic Development for keying into the laudable programme of the Federal Government.

He said the Association coordinates the activities of the Micro Finance banks    and would gladly work with the State government to access the funds and actualize the goals of the programme.
Present at the ocassion were the Permanent Secretary in the Ministry of Economic Development, Deaconess Arit Ibanga, and the Director of Planning, Mr. Nsudoh Nsudoh.

Others were the Director of Palmcoast Micro Finance Bank, Mr. Gabriel Ukpong, Mr. Imoh Markson of University of Uyo Micro Finance Limited, Gladys Arthur of Eduek Micro Finance Limited, Nsidibe Peters of Prospect Micro Finance Limited, Ben Udowa of Madelyn MFB, Ntuk Udo of Sapphire MFB Limited, Abraham Evan, Uduak Udoh of Gufax MFB Ltd and Ekeoma Chris-Mboho of Brooks MFB Limited.