The Federal Government through the @TradeInvestNG, has established three funds totalling N200 billion to support businesses across Nigeria. They are:
- The Presidential Conditional Grant Scheme (PCGS).
- The FGN MSME Intervention Fund
- The FGN Manufacturing Sector Fund.
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What you need to know about each funding support:
1. Presidential Conditional Grant Scheme
This is a N50 billion grant scheme to support eligible nano-business owners like traders, food vendors, ICT businesses, transporters, artisans, creative, among others.
The Grant will be disbursed to a minimum of 1,000 beneficiaries (especially Women & Youths) per LGA across the Nation and the 6 Council Areas in the FCT.
To be eligible, beneficiaries must own a nano business and be willing to register a business name as their business grows, and be willing to engage at least one additional staff member if the business turnover increases.
They must also be willing to provide proof of residential/business address in their LGA, provide relevant personal and bank account information.
Note: Beneficiaries are not required to pay back.
2. FGN MSME Intervention Fund
This is a N75 billion fund to support MSMEs, and serve as a cushion against the high cost of production, marketing and distribution of products arising mainly from infrastructure deficiencies and other ancillary factors involving MSMEs in Nigeria
Each beneficiary would receive a maximum of N1,000,000.
The fund would be disbursed at an interest rate of 9% all-inclusive per annum, with a tenor of 3 years for equipment and working capital.
3. FGN Manufacturing Sector Fund
This is a N75 billion fund to support eligible manufacturing companies and help cushion against the high and rising costs of production, marketing and distribution of products arising from infrastructural deficiencies and other ancillary factors affecting the manufacturing sector in Nigeria.
Beneficiaries would receive up to N1 billion. The fund would be disbursed at an interest rate of 9% all-inclusive per annum, with a tenor of 5 years for term loans, and 1 year for working capital.
President Tinubu’s administration is committed to the development of MSMEs as the bedrock of the nation’s economy. The Bank of Industry has been appointed as the executing agency of the funds, vested with the responsibility for its day-to-day administration.