October 30, 2023 By Olubunmi Osoteku, Ibadan
The Oyo State Government has taken a bold step towards economic recovery by disbursing a sum of five hundred million naira (N500m) as grants to Small and Micro Enterprises (SMEs). This initiative, known as the Sustainable Action for Economic Recovery (SAfER) project, aims to provide vital support to local businesses in the face of economic challenges.
The ceremonial presentation of the cheques to microfinance banks representing the seven geopolitical zones in the state took place at the Conference Room of the Office of the Secretary to the State Government, Secretariat, Agodi, Ibadan.
During the event, the Chief of Staff to the Governor, Segun Ogunwuyi, emphasized the government’s commitment to supporting SMEs. He highlighted that the funds are intended to alleviate the hardships caused by the removal of the fuel subsidy, enabling businesses to thrive in the prevailing economic climate.
Ogunwuyi, who also serves as the Chairman of the SAfER Committee, stressed that the selection of beneficiaries was based solely on their business capabilities, with no political influence involved. Micro businesses will have access to loans ranging from N50,000 to N250,000, while small businesses can apply for loans ranging from N250,000 to N1million under this scheme.
The Chairman of the SAfER SME sub-committee, Professor Musibau Babatunde, expressed his optimism that this loan support would have a significant impact on SMEs, which form the foundation of the state’s economic activities. He emphasized the importance of sustainable development goals and the need to mitigate the hardships faced by the people.
Babatunde urged beneficiaries to fulfill their repayment obligations promptly, allowing others to benefit from the scheme. It is worth noting that the loan requires no collateral, and beneficiaries will have a three-month moratorium before repayment commences.
In his address of welcome, the Director-General of the Oyo State Investment of Public Private Partnership Agency (OYSIPA), Olatilewa Folami, advised beneficiaries to utilize the loan wisely and invest in profitable ventures that will create opportunities for others.
Speaking on behalf of the beneficiaries, Mr Sunday Fadipe expressed gratitude for the opportunity and pledged to utilize the loan responsibly for its intended purpose, as well as contribute to the overall development of the state.
The microfinance banks selected to participate in this program are: NUT, Oke-ado, Ibadan; Full range Microfinance Bank, Iwo-road, Ibadan; Caretaker Microfinance Bank, Ogbomoso; Isale Oyo Microfinance Bank, Oyo Town; Excel Microfinance Bank, Eruwa; Ebedi Microfinance Bank, Iseyin; and Kadupe Microfinance Bank, Saki.
By empowering SMEs with this substantial financial support, the Oyo State Government is taking proactive measures to stimulate economic growth and create a conducive environment for business expansion and job creation. This initiative reaffirms the government’s commitment to socioeconomic development and the well-being of its people.
