UBA To Disburse Over N100bn Loan to Nigerians, Other African SMEs, Lists Types of Businesses
- UBA has disclosed that it is planning to disburse over N100 billion in loans to empower small businesses across Africa
- The bank stated that businesswomen and youth in Nigeria and 20 other African countries where it has a presence would benefit from the initiative
- The loan programme is in partnership with the African Guarantee Fund (AGF) and aims to catalyse the growth and development of SMEs
Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
United Bank for Africa (UBA) has signed a partnership agreement with the African Guarantee Fund (AGF) to provide a $100 million (N162.5 billion) new loan to Small and Medium Enterprises (SMEs).
Business owners across the 20 African countries where the bank has a presence are set to benefit from the initiative.
Source: Facebook
UBA commits to SME loans
UBA’s group managing director, Oliver Alawuba, who spoke during the partnership signing ceremony between both institutions at the UBA Head Office in Lagos on Monday, March 11, 2024, said that the agreement shows commitment towards supporting SMEs in Africa.
He also revealed that the loans will pay special attention to women-led businesses and green finance projects, Vanguard reports.
His words:
“This guarantee will serve as a catalyst for the bank’s intervention for SME business, women-led and environment friendly businesses, enabling us to further extend our reach and impact. Additionally, the extensive capacity development initiatives planned for our SME customers across 20 African countries align with our vision to empower businesses, drive innovation, and foster sustainable growth.”
“I am particularly excited about our focus on advancing the AfCFTA initiative, reaffirming UBA’s $6 billion commitment to SMEs across Africa. This initiative, announced in September last year, demonstrates our dedication to supporting the economic integration of our continent."
Punch reports that Alawuba revealed that the partnership will give birth to capacity development platforms provided for free or at highly discounted rates for business owners.
Also speaking, the group CEO of African Guarantee Fund, Jules Ngankam, said the partnership between two pan-African institutions at the forefront of catalysing growth and the development of SMEs will significantly drive economic growth across the continent.
He said:
“Small and medium enterprises despite being the backbone of all African economies – they account for 90% of the private sector and 60% of all jobs – are perceived as risky and therefore have limited access to financing.
FG to disburse N150bn to traders, small businesses
Legit.ng reported that the Nigerian government is set to start disbursement of N50,000 to small businesses in all the 774 local government areas in the country as part of efforts to ease the impact of subsidy removal.
The minister of industry, trade and investment, Doris Uzok-Anite, disclosed this.
She stated that the scheme consists of the Presidential Conditional Grant for Programme and the Presidential Palliative Loan Programme targeted at Manufacturers, SMEs, MSMEs, and businesses.
Vanguard reports that the minister said the eligible businesses should be willing to provide proof of residential or business address in their local governments and other relevant documents.
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Source: Legit.ng
