Bank of Industry’s Interest-Free Loan Scheme Takes Off

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The Bank of Industry (BoI) yesterday on behalf of the federal government, flagged market activation of TradeMoni for petty traders in Nyanya market in Abuja. TradeMoni, being implemented by BoI is solely aimed at funding micro businesses in the country. Executive director , Micro Enterprises , Bank of Industry ( BoI) , Mrs Toyin Adeniji ,explained that no fewer than 30 , 000 beneficiaries would collect the loan in the Federal Capital Territory ( FCT) , but said 10 , 000 would be captured in the first phase.

 

Adeniji, who explained that the present administration was committed to empowering micro businesses, said the petty traders were reached and registered at the market or points of businesses to ensure that government reached out to the right target. To ensure the transparency of the process, Adeniji said every single beneficiary is registered on bank’s system and there was no intermediary involved in the disbursement. She explained that each enumerated and registered trader would be given a loan of N10,000 and would be eligible to collect higher amounts of loan if they paid back within three to six months timeline.

 

“This programme is targeting petty traders all over the country. For every state in Nigeria and the FCT, the minimum number of beneficiaries is 30,000 some will be more than that. “We are targeting, in the first instance, two million petty traders and each petty trader, who is enumerated, registered and qualifies for the loan, gets N10, 000; we will continue for as long as it takes.

 

“The loan starts at N10,000 you have three to six months to pay back if you pay back the 10,000; you will get a higher loan of N15,000; if you pay back the N15,000, you can get N20,000 and then you can move on. “This is not a largess, grant or gift , it is a commercial loan for them to expand their businesses.”

 

She therefore advised them to open an account and also obtain a Bank Verification Number ( BVN) with any of the banks to qualify for the second round of loans. The latest social intervention scheme was launched amid the existing Government Enterprise and Empowerment Programme (GEEP) which targets traders, artisans and enterprising youths.