&w=64&q=75)
Abia State Governor, Alex Otti, has commenced the disbursement of 1 billion naira interest-free loan under the state cooperative support scheme for nano and micro business operators.
Beneficiaries of the credit facility were drawn from the 184 electoral wards in the South-East state.
The Governor inaugurated the disbursement in Umuahia, the state capital, on Thursday, July 11, 2024.
Speaking at the event, Otti described the scheme as a strategic economic emancipation of small business owners, especially those in rural areas.
He added that the multiplier effect of the programme will lift the beneficiaries' dependants from abject poverty.
According to the Governor, the scheme, which is earmarked to attract 10,000 beneficiaries, perfectly aligns with his government's strategic development agenda geared towards improving the welfare of the people.
He maintained that the scope of the initiative is targeted beyond the present, stressing that the projection is to boost the economy in the long run.
“Thousands of the beneficiaries selected for this batch are petty traders, farmers, and artisans who have over the years toiled on their own without the kind of structured support that their peers from other parts of the world take for granted.
“Our model is geared towards improving production, creating jobs and reducing poverty. Our target is beyond the present number of beneficiaries, which is to reach about 100, 000 businesses directly over the next 36 months because we are optimistic that today’s beneficiaries will put in honest effort to repay the loans in time so that others can benefit.
“The projection is that the injection of about N1bn into the economy of the various communities in the state through the interest-free revolving loan scheme will ultimately lead to a jump in the volume of agricultural outputs brought to the markets in the short to medium term, new orders for business inputs, and a measurable rise in the value of the gross domestic product of the local communities,” Otti said.
Otti assures of transparency
The Governor gave the assurance that all the appropriate mechanisms for monitoring the scheme would be put in place.
He added that as soon as a measurable rise in business consciousness amongst the grassroots people becomes visible, the government would partner with international development institutions and agencies to increase the pool of funds available for borrowing.