FG BEGINS DISBURSEMENT OF N200BN PALLIATIVE LOANS

The Ministry of Industry, Trade and Investment has commenced the disbursement of the Presidential Conditional Grant Scheme to verified applicants following a thorough selection process.

The government, in collaboration with the Bank of Industry, is set to disburse three categories of funding totaling N200 billion to support manufacturers and businesses nationwide.

In a recent progress report shared on the trade minister’s official social media handle, Doris Aniete announced that an unspecified number of beneficiaries have already received their grants.

Additionally, she stated that another significant disbursement will be made to a substantial number of verified applicants by Friday, April 19.

“We are pleased to announce that the disbursement process for the Presidential Conditional Grant Programme has officially begun. Some beneficiaries have already received their grants, marking the start of our phased disbursement strategy,” she said.

She further explained, “By Friday, 19th April 2024, a significant disbursement will be made to a substantial number of verified applicants.

It is important to note that disbursements are ongoing, and not all applicants will receive their grants on this initial date. However, all verified applicants will eventually receive their grants in subsequent phases.”

This development comes more than eight months after President Bola Tinubu announced the grant for manufacturers and small businesses and two weeks after applicants were required to submit their National Identification Numbers as part of the grant requirements to mitigate the impact of recent economic reforms on businesses in the country.

In his address, President Tinubu expressed his determination to strengthen the manufacturing sector, increase its capacity for expansion, and create well-paying jobs.

“We are set to spend N75 billion between July 2023 and March 2024. Our goal is to fund 75 enterprises with great potential to kick-start sustainable economic growth, accelerate structural transformation, and improve productivity,” he stated.

Under the programme, each of the 75 selected manufacturing enterprises will have access to N1 billion credit at an interest rate of 9 per cent per annum, with a maximum repayment period of 60 months for long-term loans and 12 months for working capital.

Despite the programme’s multiple delays and complex registration process, which have drawn criticism from prospective beneficiaries, the government remains committed to supporting businesses and driving economic growth.