The Bank of Industry (BOI) has signed a Memorandum of Understanding with the Plateau State government to establish a N4 billion matching fund aimed at expanding affordable, long-term financing for Micro, Small and Medium Enterprises (MSMEs) across the state’s 17 local government areas.
The BOI divisional head of Public Relations, Theodora Amechi, stated that the fund is designed to finance both equipment acquisition and working capital at a single-digit interest rate, with the goal of accelerating job creation, strengthening local value chains and deepening inclusive economic growth in the state.
The bank said the single obligor limit under the fund will not exceed N100 million, while the maximum loan tenor is five years, with a moratorium period of up to 12 months from the date of disbursement.
The initiative will also prioritise capacity building for potential beneficiaries, with training programmes to be implemented in collaboration with accredited Entrepreneurship Development Centres (EDCs).
These programmes will focus on value addition across sectors including poultry production, block making, oil and rice milling, agro-mechanisation, packaging, pharmaceuticals, bakery and confectionery, among other viable business areas.
The statement added that the programme would encourage the establishment of product clusters to enhance the growth of MSMEs and nurture specialised entrepreneurs, particularly women and youth.
Speaking at the event, the managing director of BOI, Olasupo Olusi, noted that the bank has maintained an active presence in the state since 2020, disbursing N8.46 billion to 257 enterprises.
“The Bank has maintained an active presence in Plateau State since 2020, disbursing N8.46 billion to 257 enterprises, supporting Micro, Small and Medium Enterprises as well as large enterprises across the state.
“These interventions span several programmes, including the Federal Government MSME and Manufacturing Intervention Funds, the Rural Area Programme on Investment for Development (RAPID), and BOI-funded projects,” he said.
Olusi added that the bank was encouraged by the state government’s ongoing efforts to improve the business environment.
“We are also encouraged by the state’s continued efforts to improve the business environment. Plateau State’s improved ranking on the Ease of Doing Business Index, according to the Presidential Enabling Business Environment Council’s subnational report, reflects deliberate reforms aimed at creating a conducive environment for investment and private sector participation,” he added.
Speaking at the MoU signing ceremony, Plateau State governor, Caleb Mutfwang, said the partnership would help strengthen the state’s contribution to Nigeria’s economic growth in line with the vision of President Bola Ahmed Tinubu to build a $1 trillion economy.
“The Plateau State government and the Bank of Industry are contributing N2 billion each to facilitate this partnership aimed at stimulating MSMEs in the state, with a focus on women and youth.
“This partnership will improve the state’s contribution to the country’s GDP in alignment with the vision of President Bola Ahmed Tinubu to build a $1 trillion economy,” the governor said