Commencement of the disbursement of the Presidential Conditional Grant Scheme to eligible applicants is underway following a thorough selection process, as announced by the Ministry of Industry, Trade and Investment.
The government, in partnership with the Bank of Industry, has committed to distributing three different funding categories amounting to N200bn to assist manufacturers and enterprises nationwide.
In an update shared on the trade minister’s official X (formerly Twitter) handle on Tuesday, Doris Aniete reported that a number of confirmed beneficiaries have already been granted funds. Additionally, a substantial disbursement is scheduled for a significant number of verified applicants by Friday, April 19.
According to her, “We are excited to announce that the disbursement process for the Presidential Conditional Grant Programme has commenced. Some recipients have already been awarded their grants, signifying the kick-off of our phased disbursement approach.”
“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, rest assured that all confirmed applicants will eventually receive their grants in subsequent phases.”
This development comes over eight months post-President Bola Tinubu’s announcement of the grant for manufacturers and small businesses, and two weeks after applicants were instructed to furnish their National Identification Numbers as part of the grant acquisition criteria aimed at alleviating the impact of recent economic changes on businesses in the nation.
In his address, the president expressed his commitment to fortifying the manufacturing sector, enhancing its ability to grow, and generating well-paying employment opportunities.
“We are dedicated to disbursing N75bn between July 2023 and March 2024. Our goal is to support 75 enterprises with significant potential to catalyze sustainable economic development, hasten structural transformation, and boost productivity.
‘’Each of the 75 manufacturing enterprises will be granted access to N1bn credit at a 9% annual rate with a maximum repayment period of 60 months for long-term loans and 12 months for working capital,” Tinubu remarked.
The program, mired with numerous delays and a convoluted registration process, has faced criticism from potential beneficiaries.
Femi Egbesola, President of the Association of Small Business Owners, voiced concerns about the slow data aggregation pace by overseeing agencies, alleging that legitimate businesses were being intentionally discouraged from accessing the loans.
More updates to follow…