CBN Launches N220 Billion Fund for Micro, Small and Medium Enterprises

The Central Bank of Nigeria, (CBN) has launched a N220 billion Micro, Small and Medium Enterprises (MSMEs) Fund which will be disbursed at 9 per cent interest rate to beneficiaries.

The apex bank’s move is aimed at boosting entrepreneurship at the grass- roots level by making loans available at affordable rates.

CBN Governor, Mallam Sanusi Lamido Sanusi, delivering a keynote address Thursday in Abuja at the opening of a two-day seventh annual MSMEs finance conference and D-8 workshop on micro-finance for SMEs, also disclosed that a special interest rate would be for women entrepreneur  who borrow from MFBs.

On the modality for accessing the fund, Mallam Sanusi stated that the apex bank would not be lending directly to farmers or businesses.

Instead, he said, the fund is a wholesale fund which provides funding to the participating financial institutions wherever they are located.