The Bank of Industry (BoI) has enlisted 200 beneficiaries in Kano State under the Federal Government N140 billion Government Enterprise and Empowerment Programme(GEED) to empower small business owners.
The Minister of Women Affairs, Hajiya Aisha Alhassan, said this in a statement on Monday in Abuja.
Alhassan said that the programme (GEED) was one of the five pillars of the federal government social investment intervention scheme aimed at empowering vulnerable groups and small businesses in the country.
She said that the GEEP being implemented by the BoI was designed to provide micro credit to artisans, farmers, market women and entrepreneurs engaging in productive enterprises.
According to the minister, each beneficiary must belong to a registered association or cooperative, adding that each will be entitled to a loan between N10,000 and N100,000 repayable within six months.
Alhassan said that the bank would disburse the loans directly to beneficiaries’ personal accounts with verifiable BVN.
“The loans will be disbursed and repayment collected through local banks and money agents in order to reach remote areas where there are no banking facilities.
“Group leaders will be required to help mobilise their members for verification and repayment of the loans promptly.
“The loans are interest free and no collateral is required. There is only an administrative charge of five per cent which covers the bank’s expenses for administering the fund.
“Payback period is six months and there is a one-month grace period after getting the loan before repayment starts.
“A weekly recovery plan has been prepared to ease repayment for beneficiaries.
“For example, a loan of N10,000 will be repaid through a weekly repayment of approximately N440, while a N50,000 loan requires about N2,200 weekly repayment,” Alhassan said.
It could be recalled that there have been other programmes under the social investment intervention scheme.
The scheme includes the home grown school feeding programme, conditional cash transfer programme, job creation programme N-Power and the student bursary programme.