The Federal Government of Nigeria has launched a substantial Public Intervention Fund (PIF), earmarking N200 billion to aid the growth of Micro, Small, and Medium Enterprises (MSMEs) and manufacturers.
The announcement was made in Abuja on April 22, 2024, by the Minister of Industry, Trade and Investment, Doris Uzoka-Anite.
Under this initiative, the government plans to distribute the funds equally, with N75 billion allocated to MSMEs and another N75 billion to manufacturers. The move aims to bolster economic stability and promote sustainable business practices across various sectors.
1. How to Apply for the Fund:
– Prospective applicants are encouraged to submit their applications through the official portal at www.fedgrantandloan.gov.ng.
– For further guidance and information, visiting local Bank of Industry branches is recommended.
2. Eligibility Criteria:
To qualify for the PIF, applicants must meet the following requirements:
– Operate an existing business with at least one year of operations or possess a registered start-up.
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– Present valid business registration documents from the Corporate Affairs Commission (CAC).
– Show a company bank statement for existing businesses or a chief promoter’s bank statement for start-ups.
– Meet the required monthly turnover and other specific requirements as stipulated by the bank.
3. Security:
– The program demands applicants provide a personal guarantee
– Agree to a Bank Verification Number (BVN) covenant.
– Adherence to the Global Standing Instruction (GSI) and other securities set by the bank is also required.
4. Repayment Terms:
– Applicants can choose between Working Capital or Asset Financing options.
– The terms include a 5-year repayment period for asset financing, while working capital financing offers a 6-month moratorium on both principal and interest, followed by a 12-month equal instalment repayment plan.