For many experts, the key to economic growth and development is a robust small and medium scale enterprises, SMEs, sector. To promote the growth of this sector in Nigeria, Bank of Industry, BoI, First Bank of Nigeria, FBN, and Afterschool Graduate Development Centre, AGDC, have teamed up to groom young entrepreneurs through a Youth Ignite programme lauched in Lagos Wednesday. About N500 million will be disbursed to young entrepreneurs with the objective of creating 5 million jobs within five years.
Funmi Adeyemi, executive director, AGDC, explained that the Youth Ignite programme would create new jobs, facilitate finance, capacity development and advisory services for micro entrepreneurs. Through the scheme, new businesses can access N200, 000, while existing businesses get N500,000 with three months moratorium and nine months repayment period, both at single digit interest rate. Only youths aged between 18 to 35 years are eligible to apply for the programme.
A confident Waheed Olagunju, acting managing Director, BoI, said the scheme would sensitise youths to leverage on opportunities in their environment and that it would provide support for Micro, Small, Medium Enterprises to build viable and sustainable businesses in the various sectors of the economy. He explained that many youths were frustrated with the unemployment situation in the country and would appreciate the opportunity to become enterpreneurs.
Similarly, Gbenga Shobo, group managing director, FBN, believes that the scheme would redujce the rate of unemployment in the country. “It is important that we support the government and the economy so that we can get out of recession quickly.”
To Ibukun Awosika, chairman FBN, noted that there are many opportunities in the portfolio of most organizations, “but the challenge is that the people who need to benefit from them are not structured. What we are trying to do is to close the gaps and the mismatch between the provider and the benefactors by bringing them together so that value can be created for the society. At First Bank, creating the next generation of entrepreneurs is critical to our growth and that of the nation’s economy.”