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 N2Billion from the Micro, Small and 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 last week.

Mr. Okon said the Federal Government through the Central Bank of Nigeria has made available N220Billion to States and each State is entitled to access N2Billion 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 enterprises.

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 are returned by such clients when it is due.

The Commissioner further disclosed that the funds will help citizens at the lower level to be gainfully employed and will 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 the level of funds they can manage.

He listed the areas the loan will cover 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 Micro Finance banks and will gladly work with the State government to access the funds and actualize the goals of the programme.

Present at the occasion 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 Micro Finance Bank, Ntuk Udo of Sapphire Microfinance Bank Limited, Abraham Evan, Uduak Udoh of Gufax Micro Finance Bank Limited and Ekeoma Chris-Mboho of Brooks Micro Finance Bank Limited.