The European Union, in collaboration with the German International Cooperation Agency, have unveiled N200m non-interest financing scheme to boost Micro, Small and Medium Enterprises (MSMEs) in Kano State.
GIZ’s Access to Finance and Investment Adviser, Mr Yakubu Musa-Paiko, stated this at the inauguration of the financing scheme for MSMEs in the garment and leather value chains, on Thursday in Kano.
Musa-Paiko said that the scheme would be implemented under the Nigeria Competitiveness Project.
He said that NICOP was being implemented in Abia, Kano, Kaduna, Lagos, Ogun, Oyo and Plateau States. According to him, about 2,000 MSMEs are targeted to draw from the fund, adding that the project had so far disbursed N20m to 280 MSMEs in Kano State.
He said that businesses in tomato, chilli, garment and leather value chains were selected to participate in the project in Kano State.
“We are in Kano, in follow up on the work that we have been doing of improving the productivity and competitiveness of MSMEs in the leather and garment value chains.
“One of the challenges facing them is access to finance, we are partnering with JAIZ Bank to develop special support to such MSMEs,” he said.
According to him, the main objective of the project is to boost MSMEs, thereby creating employment opportunities for the people.
In her remarks, Hajiya Na’imatu Abdullahi, Northwest Regional Manager, JAIZ Bank, reiterated the commitment of the bank towards enhancing access to finance for the MSMEs in the country.
This, she said, would assist in job creation and poverty eradication in the country.
Also speaking, Mr Ibrahim Mukhtar, the state Commissioner for Commerce and Industry, said that the project was important to the development of the state considering the high population of the youths.
Mukhtar said that supporting MSMEs would assist to reduce unemployment and poverty among the people.
He, therefore, sought the support of development organisations to encourage the growth of small scale businesses in the state.