✕ CLOSE Online Special City News Entrepreneurship Environment Factcheck Everything Woman Home Front Islamic Forum Life Xtra Property Travel & Leisure Viewpoint Vox Pop Women In Business Art and Ideas Bookshelf Labour Law Letters
OPAY: Scholarship
Search
Click Here To Listen To Trust Radio Live
Business

MSMEs got under 7% of N10tr CBN intervention in 10 years

The Central Bank of Nigeria has released a strong affirmation of the security of cash within Nigerian banks, highlighting the country's banking sector's soundness. Amid widespread unconfirmed rumours, not originating with the CBN, raising concerns about the health of Nigerian banks, the central bank of Nigeria asked the people not to panic and to continue with their usual banking activity. To ease people's anxieties and comfort them, the CBN emphasized its readiness and capability to carry out its stated role of maintaining a stable financial system in Nigeria. This statement by the CBN responds to the concern caused by unverified information and seeks to reassure the public about the safety and stability of the country's banking industry. "The Central Bank of Nigeria has noticed reports, in certain media outlets, about a recommendation for the Federal Government to take over some CBN-supervised financial institutions," said the apex bank's acting Director, Corporate Communications, Hakama Sidi-Ali, in a statement issued on Wednesday. "To avoid any doubt, Nigerian banks are still safe and sound. The CBN advises the public to go about their daily lives without getting disturbed by reports regarding the health of Nigerian banks that have not come from the CBN. "The CBN is fully equipped to carry out its statutory duty of ensuring the stability of Nigeria's financial system. "We assure the general public and depositors that their funds are safe in Nigerian financial institutions. "Bank customers are therefore advised to proceed with their banking transactions as usual, as there is no cause for concern." This statement follows a report by the CBN's special investigator, Jim Obazee, alleging that Godwin Emefiele, the former governor of the federal bank, used proxies to establish two financial institutions. According to the report, Emefiele utilised proxies to acquire Union Bank of Nigeria for Titan Trust Bank Limited and Keystone Bank without providing any proof of payment. As a result, it recommended that the Federal Government reverse the sale and take over the banks.
    By Sunday Michael Ogwu

The Central Bank of Nigeria, over a period of 10 years, allocated 6.63% of the total N10.39 trillion loan disbursed to various sectors as intervention programmes to support Micro, Small, and Medium Enterprises (MSMEs).

A detailed report from the apex bank revealed that a total of N689 billion was allocated to the sector between August 2013 and September 2023.

According to the report, the MSME sector ranks third in terms of the least allocation within the intervention programs, trailing behind the export sector with a meagre 2% allocation and the health sector, which barely constitutes 1% of the total intervention programs.

SPONSOR AD

The intervention programmes include the Micro, Small and Medium Enterprises Development Fund (MSMEDF), Agri-business/SME Investment Scheme (AgSMEIS), Nigeria Youth Investment Fund (NYIF) and Tertiary Institutions Entrepreneurship Scheme (TIES), among others.

Court announces date to hear Nnamdi Kanu’s N1bn suit against FG, DSS

FG, lab four sign pact to attract $1.2bn forex, 50,000 jobs

The report further indicated that the majority of credit facilities allocated to the sector have either been fully paid or are currently in ongoing payment status for the projects, suggesting positive performance indicators within the sector.

Data from the Central Bank of Nigeria (CBN) indicates that a minimum of eight loan programmes were specifically aimed at key players in the MSME sector.

Join Daily Trust WhatsApp Community For Quick Access To News and Happenings Around You.

More Stories