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Union Bank Intervention Funds – CBN MSMEDF, AGSMEIS

Daily Post NG

Central Bank of Nigeria Micro Small and Medium Enterprises Development Fund

In recognition of the significant role and contributions made by Micro, Small and Medium Enterprises (MSMEs) to the economic growth and development of Nigeria, the Central Bank of Nigeria (CBN) launched the MSME Development Fund on August 15, 2013 with a share capital of N220 billion naira. The Central Bank of Nigeria partners with financial institutions in the country and Union Bank is at the fore of the project.

With ten percent (10%) of the Fund devoted and aimed at developmental objectives such as grants, capacity building and administrative costs, 90% of the Funds will be released to Participating Financial Institutions (PFIs) such as Union Bank.

The project is aimed at enhancing the access of micro, and small medium enterprises to financial services which is perceived to be one of the major challenges confronting the growth of micro businesses in Nigeria. The CBN MSMEDF will also increase the productivity rate and level of output of micro enterprises. Needless to say, it engenders inclusive growth and serves as a source of employment and wealth creation for Nigerians.

CBN MSMEDF Target Businesses

For customers of Union bank, there are features attached to this loan. They include:

CBN AGSMEIS

The Central Bank of Nigeria Agri-Business/Small and Medium Enterprises Investment Scheme (AGSMEIS) was approved at the 331st meeting of the Bankers’ Committee on February 9, 2017. It is a project aimed at supporting the efforts of the Nigerian government towards promoting agricultural businesses and small and medium enterprises as a vehicle for sustainable economic development and creation of employment. Union bank is one of the major participating banks for this scheme.

AGSMEIS loan is a great platform for growth of already established and startup agricultural businesses and MSMEs, owing to the fact that it improves access to affordable and sustainable finances for these firms. It equally boost’s the managerial capacity and potentials of agri-business towards growing into bigger enterprises and large corporate organization which is in line with the agenda of the Federal government towards developing the real sector and promoting inclusive growth. Also, it is geared towards creating employment opportunities for Nigerians.

Eligible Businesses

Union bank customers are guaranteed of benefiting from this financial scheme if their businesses fall under the categories listed above. Features for this loan include:

Sources:

Unionbank NG

Cbn.gov NG

Ez37solutions.org

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