- The Nigerian government has said it will soon start disbursing N50,000 grants to small businesses
- Those who will be eligible to receive the loans and grants are those who have applied and were selected
- The grant is aimed at assisting vulcanizers, makeup artists, wheelbarrow pushers, petty traders, dry cleaners, and various other professions
Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The Federal Government has announced that only one million out of the 3.6 million Presidential Conditional Grant Scheme applicants will be selected as beneficiaries.
The selected applicants are expected to get their funds by the end of May 2024.
Photo credit: Pius Utomi Ekpei
Source: Getty Images
The scheme offers a grant of N50,000 per beneficiary to support one million small businesses in all the 774 local government areas in the country.
Punch reports that the scheme targets 70% of women and youths, 10% of people with disabilities, and 5% of senior citizens, with the remaining 15% distributed to other demographics.
FG set to release funds
Speaking on the plans for applicants, the Ministry of Industry, Trade, and Investment in charge of the initiative said:
“The Disbursements aren’t based on any specific criteria, but in the order, applications are verified. The goal is to reach an estimated 1,290 beneficiaries per LGA across the country, totaling one million.
“Disbursement is also subject to verification of NIN, which became mandatory after the initial application phase and required only BVN.
“The selection is random, without human intervention, from those who have passed their NIN and BVN verification.”
The ministry also highlighted that the procedures remained unaffected since the verification process was digital. Contacting individuals post-verification would be unnecessary, as disbursements would occur automatically upon successful verification.
It said:
“The ministry clarified that not all applicants will receive the grant. Out of 3.6 million applicants, only one million will be granted. This allocation aligns with the budget allocated for nano businesses.
“The verification process for the over three million applications has been meticulous and consequently time-consuming. It has been carried out in batches to reduce errors.
“This scheme is tailored for individuals with nano businesses aiming to grow. To qualify, they must be committed to formalizing their businesses and hiring at least one additional person as their turnover increases.”
FG releases N135.4 billion NG-CARES funds to 36 states to share with Nigerians
Earlier, Legit.ng reported that the Nigerian government disbursed about N135 billion to the 36 states and the Federal Capital Territory Abuja following the second Independent Assessment of the outcome reached under the Nigeria COVID-19 Action Recovery and Economic Stimulus (NG-CARES) plan.
The World Bank-assisted initiative is a performance-for-results programme with a significant budget of $750 million.
Abdulkarim Obaje, NG-CARES’s national coordinator, disclosed this in a statement issued by Suleiman Odapu, the information and communications officer at NG-CARES, on Sunday, November 3, 2023, in Abuja.
Source: Legit.ng
