The small and medium enterprises development Agency of Nigeria SMEDAN has commenced a matching fund programme for agro-based Nano, Micro and Small Enterprises in collaboration with a commercial bank.
According to statement by the Head of Corporate Affairs Division of the agency, Mr Ibrahim Mohammed in Abuja, the Director-General of SMEDAN, Olawale Fasanya says the intervention is to deliver credit to the sub-sector in six selected states of Anambra, Bayelsa, Delta, Ebonyi, Ekiti and Osun.
According to Mr. Fasanya, the programme is a promotional mechanism to enhance enterprise output, competitiveness as well as job creation.
He identified Nano, SMEs operating in the real sector with value-added agricultural products as the target beneficiaries for the programme.
Fasanya explained that prospective beneficiaries may apply for financing within the range of N500,000 and N2.5 million.
He gave an assurance that the interest rate applicable on all financing under this programme shall not exceed single digit per annum.
Also, the financing term would be for a maximum period of 30 months effective from the date of first disbursement.
Writing by Victoria Chimezie, editing by Daniel Adejo