The Bank of Industry (BOI), in collaboration with the Federal Government of Nigeria (FGN), has introduced a groundbreaking ₦75 billion intervention fund. Designed to empower Micro, Small, and Medium Enterprises (MSMEs) across the country, this fund provides subsidized loans at a 9% annual interest rate. It aims to drive growth in manufacturing and agro-processing, promote the use of local raw materials, and create jobs under the National Enterprise Development Programme (NEDEP). Here’s a simple guide for eligible MSMEs to access this vital support.
1. Aim of this ₦75 Billion Intervention Fund
The fund targets MSMEs in manufacturing and agro-processing, offering unique benefits:
Subsidized Interest Rate: A single-digit interest rate of 9% per annum makes this fund an affordable financing option for business expansion.
Job Creation and Skills Development: NEDEP, overseen by SMEDAN, emphasizes skill acquisition, entrepreneurship training, and access to finance, aiming to create 5 million jobs nationwide.
Enhanced Local Production: By focusing on value addition, this fund supports local resources and enhances productivity within Nigeria.
2. Eligibility Criteria
To qualify for the BOI/FGN 75 Billion Fund, applicants must:
Be a Registered Business: Only duly registered Limited Liability Companies, Enterprises, and Cooperatives can apply.
Operate in Targeted Sectors: The fund is designated for businesses in manufacturing and agro-processing that focus on adding value to local raw materials.
Maximum Loan Amount: Eligible businesses can access up to ₦20 million, depending on their needs and BOI’s assessment.
3. Step-by-Step Guide to Applying for the BOI/FGN Intervention Fund
Step 1: Submit Your Application Online
Visit the BOI’s official website to access the online application form.
Fill in the necessary details, such as:
Business Registration Number
Company Name
Business Type (e.g., Sole Proprietorship, Limited Liability)
Location and Phone Number
Step 2: Document Verification
Attach supporting documents, which may include:
A copy of your company’s Certificate of Incorporation (CAC Certificate)
Business plan detailing your project, goals, and how the funds will be utilized
Financial statements and records
Tax identification numbers and records
Verification will ensure all provided information aligns with BOI’s standards.
Step 3: Loan Approval
Once your documents are verified, BOI will assess your application.
Approval is based on the credibility of the documents and the fund’s purpose alignment with the NEDEP program.
If approved, BOI will notify you of the next steps via email or contact number provided.
Step 4: Fund Disbursement
Upon approval, BOI disburses the funds directly to the designated bank account.
Ensure the account details provided are accurate to avoid disbursement delays.
4. Tips for a Successful Application
To increase the likelihood of approval:
Prepare a Detailed Business Plan: Outline how the loan will contribute to your business’s goals and impact the community.
Maintain Accurate Records: Keep financial documents and tax records up-to-date, as they may be requested for verification.
Follow Up: Regularly check your email and contact BOI offices if you encounter delays.
To APPLYYou can click HERE