DBN is giving out N150bn to 120,000 small businesses in Nigeria

The Micro, Small, and Medium-Sized Enterprises (MSMEs) in the nation would receive N150 billion from the Development Bank of Nigeria (DBN) in 2023, Joseph Nnanna, the chief economist of DBN, told NAN on Monday, September 11, 2023.

According to Nnanna, the money would be distributed through partner financial institutions for further lending to MSMEs in a variety of economic sectors.

According to him, the goal is to hire 120,000 MSMEs by this year.

As stated in a report, Nnanna, said that the rising employment rate had led to the bank's observation of growth in the MSME sector.

He claimed that over 300,000 MSMEs in the fields of commerce, education, manufacturing, agriculture, and ICT have benefited thanks to the bank.

He said the bank has noticed some increase in the MSME sector because it tracks the amount of money it distributes through partner financial institutions that create jobs.

According to him, over 240,000 jobs have reportedly been created thus far, which is impressive.

Nnanna urged the participating financial institutions to provide the needed support for MSMEs to continue to grow amidst the prevailing economic challenges in the country.

He said: We know we are trying to create jobs and we know that the economy is a bit challenged now, the high interest rates and uncertainty with the agriculture sector given that the Cameroon government is going to open up the dam.

He noted that commercial banks and microfinance institutions would undoubtedly step in and assist those players in their market who require a safety net to keep expanding.

The economist noted that more partnerships with industry stakeholders would be formed in order to reach the goal. In addition to support from the regulators and its partner institutions, he said the bank needs to collaborate more to achieve inclusive growth.

Meanwhile report states that the Central Bank of Nigeria has made good on its promise and has begun debiting accounts of defaulters under its development finance intervention programmes.

Legit.ng had earlier reported that the CBN has disclosed that N503 billion has been repaid by farmers under the Anchor borrowers programme as of February 2023. The amount represent 52.39% of loans disbursed by the apex bank.