The Nigerian Federal Government is giving out a big N650 billion fund to help businesses owned by young people, small businesses, and manufacturers. This money will help them get cheap loans for a short time to grow their businesses.
This is part of a big plan by the new Presidential Economic Coordination Council (PECC), which President Bola Tinubu started on Thursday. They also started another big plan called the Economic Stabilization Programme to make Nigeria’s economy stronger.
A spokesperson for President Tinubu, Ajuri Ngelale, shared this news on July 4, 2024.
“A six hundred and fifty billion naira (N650 billion) fund will give cheaper and short-term loans to young business owners, manufacturers, and small businesses in different industries,” the statement said.
The announcement added that the money will go to businesses owned by young people, manufacturers, and small businesses in food processing, making medicines, farming, and trading.
They will decide who gets the loans based on how well the business is doing now and in the future, how the company is rated, and how much people want their products.
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Along with the N650 billion for businesses in specific industries, the Economic Stabilization Programme also wants to help new and existing youth-owned businesses in all 36 states of Nigeria. They aim to create 7,400 small businesses in the next 6 to 12 months, giving a big boost to young entrepreneurs across the country.
This plan also includes the Sub-national Matching Fund, where the Grow Nigeria Development Fund offers cheap loans through the Bank of Industry. They will work with local governments to help small businesses grow.
The plan will also grow the Bank of Industry’s Rural Development Programme, which will help rural areas by starting 300 new small businesses in each state. This includes the Federal Capital Territory (Abuja), adding up to 11,100 new rural small businesses across Nigeria.
The statement said that these plans are meant to make it easier for small businesses to get money, and they hope to create 4.7 million new jobs, both directly and indirectly, in the next 6 to 12 months.
Who is in the Presidential Economic Coordination Council (PECC)?
The PECC is led by President Bola Tinubu and has 31 members. This includes important political leaders like the Senate President, the Speaker of the House of Representatives, the Chairman of the Nigeria Governors Forum, twelve ministers, and the Governor of the Central Bank of Nigeria.
Well-known business leaders are also on the council. Some of these members are Alhaji Aliko Dangote, Mr. Tony Elumelu, Alhaji Abdul Samad Rabiu, Ms. Amina Maina, Mr. Segun Ajayi-Kadir, Dr. Funke Opeke, Dr. Doyin Salami, Mr. Patrick Okigbo, Mr. Kola Adesina, Mr. Segun Agbaje, Mr. Chidi Ajaere, Mr. Abdulkadir Aliu, and Mr. Rasheed Sarumi.