msme

ESP survival fund: More payroll support payments, MSME grants to commence this week

by with No Comment Businessfinance

In furtherance of the Buhari administration’s support for small businesses during the COVID-19 pandemic under its Economic Sustainability Plan (ESP), payment would be made to the next batch of beneficiaries of the ESP Survival Fund’s Payroll support track and the one-off General MSME Grant of N50,000 as from this week.

READ ALSO: Supporting small businesses is critical for COVID-19 recovery

This is expected to increase the number of beneficiaries under the Payroll Support track, which has so far benefitted a total of 319,755 Nigerians, while 265,425 Nigerians are beneficiaries under the Artisan and Transport Support track.

Of the 265,425 beneficiaries, there are 118,581 beneficiaries under Artisan support track, and 146,844 beneficiaries under the Transport track.

The payroll support track aims to support 500,000 beneficiaries with payment of up to N50,000 per employee for a period of three months. The MSME Survival Fund, a component under the Nigerian Economic Sustainability Plan, NESP, is designed to support vulnerable Micro Small and Medium Enterprises (MSMEs) in meeting their payroll obligations and safeguard jobs in the MSMEs sector.

The scheme is estimated to save not less than 1.3 million jobs across the country and specifically impact on over 35,000 individuals per state. Applications for the MSME Grants and the Guaranteed Off-take Stimulus Scheme opened on February, 9th, 2021 and closed on March 1, 2021.

The General MSME Grant is a one-off grant of N50,000 that will be given to each qualified MSME as direct cash injection into their enterprise.

The total number of beneficiaries in this track is 100,000 spread across the States. In the same vein, under the Artisan Support scheme, a total of 333,000 Artisans and Transport business operators nationwide will get a one-time operations grant of N30,000 per beneficiary to reduce the effects of income loss due to the COVID-19 pandemic.

Also, 172,129 businesses have so far benefitted under the under the ESP Survival Fund formalization support track, which is aimed at registering 250,000 new businesses for free with the Corporate Affairs Commission (CAC).

The formalisation support scheme had commenced on the 26th of October, 2020, with the registration by aggregators – CAC registration agents across the 36 states and the FCT. The processing of applications for the Guaranteed Offtake Stimulus Scheme is still ongoing and the commencement of this track will be announced on a later date.

The Guaranteed Off-take Stimulus Scheme is aimed at protecting and sustaining the incomes of vulnerable Micro and Small Enterprises by guaranteeing the offtake of their products. 

A total of 100,000 Micro and Small Enterprises are to benefit from the scheme.

The Economic Sustainability Plan (ESP) was approved by President Muhammadu Buhari on June 24, 2020, as a N2.3 trillion stimulus plan to mitigate the socio-economic effects of the COVID-19 pandemic.

The Plan was developed by the Economic Sustainability Committee chaired by Vice President Yemi Osinbajo, SAN.

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Women Entrepreneurs

FG Urges Women Entrepreneurs To Apply For MSMEs Survival Fund Scheme

by with No Comment Businessfinance

ABUJA – The Federal Government has pledged its commitment to supporting the operations of women-owned Micro, Small and Medium Enterprises (MSMEs) in Nigeria, even as it has advised them to apply for MSMEs Survival Fund Scheme.

READ ALSO: 246,000 Youths to Benefit from FG’s N75bn Youth Fund

Amb. Mariam Yalwaji Katagum, Minister of State for Industry, Trade and Investment, made this commitment when a delegation of the Federation of Women Associations in Micro, Small and Medium Enterprises (FEDWIM) led by its National Coordinator, Mrs. Anne Ugbo, paid her a courtesy visit in Abuja.

A statement on Friday by Mrs. Oluwakemi Ogunmakinwa, Assistant Director, Information in the Federal Ministry of Industry, Trade and Investment quoted the minister to have said that Nigerian women entrepreneurs, through their ingenuity have always contributed their quota to national economy and therefore needed to be encouraged for enhanced contribution to Gross Domestic Product (GDP).

Katagum reaffirmed that Nigerian women formed a very important constituent of the President Muhammadu Buhari-led administration.Katagum reaffirmed that Nigerian women formed a very important constituent of the President Muhammadu Buhari-led administration.

She reiterated that women-owned businesses were allocated 45 per cent and five per cent for those with special needs in the Federal Government’s MSMEs Survival Fund Scheme to cushion the effects of COVID-19 pandemic on their businesses.

According to the Minister, “The Federal Government clearly understands the place of women in economic development of our nation and that is why this Ministry is doing everything possible to support them.

Among other initiatives, the Federal Government has also flagged off is the N50billion Export Expansion Facility Programme (EEFP) on non-oil export businesses thereby safeguarding jobs and creating new jobs.

“I use this medium to encourage more women to apply and we also urge associations to mobilise and sensitise their members,” she said.

Katagum commended the association for the achievements recorded so far and advised the delegation of FEDWIN to formally write to the Ministry, indicating areas of collaboration.

Earlier in her address, the National Coordinator, Federation of Women Associations in Micro, Small and Medium Enterprises (FEDWIM) Mrs. Anne Ugbo said the association was in the ministry to brief the Minister about its programmes and to solicit support for its members across the 36 states, including the Federal Capital Territory.

She commended the Minister of State for her motherly commitment to the well-being of the Nigerian women through her contributions to the growth of Micro, Small and Medium Enterprises (MSMEs).

She stated that “FEDWIM is established to serve as a platform to create synergy among all women economic empowerment focused groups to provide a single mechanism for coordinated engagement with government and other stakeholders.

“This would engender effective supervision and monitoring of participation in the implementation of programmes and feedback for appropriate policy formulation and decision making on matters of economic empowerment and financial inclusion of women.

“This would fast track the development and competitiveness of the MSME sector, especially for women who are faced with challenges of poor access to affordable finance, appropriate technology and other challenges”.

The National Coordinator said the association was currently mobilising 50,000 women across sectors and levels of operations to participate in the ongoing process of accessing the Agribusiness and Micro, Small and Medium Enterprises Investment Scheme (AGSMEIS) loan.

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unesco

MSMEs Contribute Over 50% Of Nigeria’s GDP, 80% Employment ― FG

by with No Comment Businessfinance

The Federal Government (FG) has reaffirmed that Micro, Small and Medium Enterprises (MSMEs) contributes nearly 50 per cent of Nigeria Gross Domestic Product (GDP) and 80 per cent of the country’s total employment.

READ ALSO: FG Urges Women Entrepreneurs To Apply For MSMEs Survival Fund Scheme

Speaking virtually at the 7th EMPRETEC Global Summit with the theme “The Role of Entrepreneurship, MSME and EMPRETEC in post-COVID-19 Resurgence, the Federal Minister of State for Industry, Trade and Investment of Nigeria, Amb Mariam Katagum said the government had rolled out various interventions to reposition MSMEs for increased and sustained contribution to the national economy.

“As we are all aware, the MSME sector is the engine of growth of any economy, contributing to its development, job creation and export, amongst others.

“An MSMEs survey indicates that Nigeria’s SMEs contribute nearly 50 per cent of the country’s GDP and account for over 80 per cent of employment. No doubt, the sector is pivotal to Nigeria’s growth, including reducing poverty and unemployment levels.

“It has, therefore, become more apparent that supporting entrepreneurs and small businesses by creating opportunities for MSMEs to thrive is essential for increasing productivity, creating jobs, and boosting our economy.

“This is why Government is working with stakeholders across all sectors, to create the enabling environment for entrepreneurs and MSMEs to ensure that they grow now and into the future,” the Minister stated.

According to a statement by Oluwakemi Ogunmakinwa, Katagum said “the Government of Nigeria had, prior to the outbreak of COVID-19, initiated the MSMEs Clinics’ scheme as a strategy, aimed at providing support for the MSMEs in the country.

“At the clinics, which is organised in various states of the country, operators in the MSMEs space are engaged by regulators and business advisory experts, on issues ranging from entrepreneurship, skill development, finance, quality & standards, and on how to facilitate and grow their businesses and enterprises.”

The Minister further stressed that in order to achieve sustainable growth and development of MSMEs, the Federal Government had recently approved the revised National Policy on Micro, Small and Medium Enterprises (MSMEs) which would provide the framework to resolve the challenges faced by the sector.

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Mariam Katagum

FG to support MSMEs contribution to economy to boost development – Minister

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The Minister said that the FG has schemes aimed at improving the post-pandemic climate for MSMEs in Nigeria.

READ ALSO: Paypal’s Venmo now permits cryptocurrency trading

The Federal Government declared that it is working with stakeholders to improve MSME participation in the economy through improving the business climate which will create jobs.

This was disclosed by Amb. Mariam Katagum, Minister of State for Industry, Trade and Investment, at the 7th EMPRETEC Global Summit,  on Tuesday, themed “The Role of Entrepreneurship, MSME and EMPRETEC in post-COVID-19 Resurgence.”

The Minister stated that the MSME sector of the economy is the growth engine of any economy which contributes to its development, job creation and export, amongst others.

“An MSMEs survey indicates that Nigeria’s SMEs contribute nearly 50 percent of the country’s GDP and account for over 80 percent of employment. No doubt, the sector is pivotal to Nigeria’s growth, including reducing poverty and unemployment levels.

It has, therefore, become more apparent that supporting entrepreneurs and small businesses by creating opportunities for MSMEs to thrive is essential for increasing productivity, creating jobs, and boosting our economy.

This is why the Government is working with stakeholders across all sectors, to create the enabling environment for entrepreneurs and MSMEs to ensure that they grow now and into the future,” she stated.

On Economic Sustainability

The Minister said that the FG has schemes aimed at improving the post-pandemic climate for SMEs in Nigeria. She also disclosed that the FG launched the National Policy on Micro, Small and Medium Enterprises (MSMEs), a framework for the resolution of the challenges faced by the sector.

The programmes launched by the FG includes the Survival Fund and Guaranteed Off-take Schemes, operated by a Steering Committee in the Ministry of Industry, Trade and Investment.

“The Government of Nigeria had, prior to the outbreak of COVID-19, initiated the MSMEs Clinics scheme as a strategy, aimed at providing support for the MSMEs in the country.

At the clinics, operators in the MSMEs space are engaged by regulators and business advisory experts, on issues ranging from entrepreneurship, skill development, finance, quality & standards, and on how to facilitate and grow their businesses and enterprises,” she added.

What you should know 

Nigeria’s unemployment rate as of the end of 2020 rose to 33.3% from 27.1% recorded as of Q2 2020, indicating that about 23,187,389 (23.2 million) Nigerians remain unemployed.

A combination of both the unemployment and underemployment rate for the reference period gave a figure of 56.1%. This means that 33.3% of the labour force in Nigeria or 23,187,389 persons either did nothing or worked for less than 20 hours a week, making them unemployed by our definition in Nigeria.

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SMEDAN MSMES

SMEDAN To Protect Intellectual Property For MSMEs

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The Director General/ Chief Executive Officer of Small and Medium Enterprises Development Agency Nigeria SMEDAN, Dr Dikko Radda has said that the agency would protect intellectual property for the Micro, Small and Medium Enterprises sector of the economy.

READ ALSO: Access Bank Acquires 78.15% Stake In Atlas Mara Subsidiary

He stressed on the need for SMEs to be sensitised on the importance of Intellectual Property to enhancing the value of their enterprises.

Radda, who made call during a world press conference to commemorate the 2021 World Intellectual Property Day , a brainchild of the World Intellectual Property Organisation in Abuja, lamented that most Small and Medium Enterprises, across the country are not aware of the importance in enhancing the value of their products, services and processes.

He also urged relevant agency with the statutory function in the administration of IP to be easily accessible by moving closer to the SMEs.

He gave examples of intellectual property that would be protected to include music, literature, and other artistic works; discoveries and inventions; and words, phrases, symbols, and designs among others.

He further explained that under the intellectual property laws, owners of intellectual property are granted certain exclusive rights.

He described intellectual property as a key consideration in day to day business decisions as new products, brands, creative designs appear almost daily on the market and are result of continuous human innovation and creativity.

Radda said, “SMEs are often the driving force behind innovations. However, their innovation and creative capacity is not fully exploited as many SMEs are not fully aware of the intellectual property system.”

He identified one of the challenges facing MSMEs to include lack of awareness as most of them ar not aware of the importance of intellectual property in enhancing th value of their products, services and processes.

The SMEDAN Boss also said costs associated with IP protection may deter SMEs in taking the initiative protecting their intellectual property

In his remarks, the Ag. Head, World Intellectual Property Organisation Nigeria office , Mr Oluwatobiloba Moody said at a time when the imperative of economic recovery in Nigeria is high, particularly in the light of global pandemic, the WIPD 2021 provides an important moment to shine a light on the critical role of SMEs in Nigeria.

Moody said SMEs are the backbone of Nigeria’s economy, adding that they deliver the goods and services Nigerians need everyday.

DG SMEDAN also said MSME hatch breakthrough innovations and inspiring creations that have job creation potentials.

He said globally, SMEs make up about 90 per cent of the world’s businesses, employ around 50 percent of the global workforce and generate up to 40 percent of national income in many emerging economies.

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unnamed-5

Boost For Business In Off-Grid District.

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Boost For Business In Off-Grid District As Mass Solar Power Debut.

Small, Medium and Large Scale business owners in the off-grid environment may now be relieved following the launch of Solar Power Naija Programme which will take care of their electricity need.

READ ALSO: Regulate SMEs with human face, CEO urges govt

Vice President, Yemi Osinbajo weekend flagged off the pilot phase of the programme in Jangefe Community in Roni Local Government Area, Jigawa State, from where it will get to all geopolitical zones in the country.

The project is coming under the Economic Sustainability Plan, as part of the promises made by President Muhammadu Buhari to provide renewable energy for over 25 Million Nigerians.

The epileptic power situation in the country has inspired the collapse of numerous businesses and pushing many into joblessness.

Following the launch in Jigawa State, Laolu Akande, the Senior Special Assistant on Media and Publicity to the Vice President said the rollout will continue across the six geopolitical zones in Edo, Lagos, Adamawa, Anambra, Kebbi and Plateau.

The Solar companies are also in the pipeline for the Solar Power Naija facility to continue the march to 5 million connections during the life of this present administration.

The scheme is targeted to go to the entire 36 States and the FCT covering 25 million Nigerians in the end.

The commencement of the Solar Power Naija programme means the community and business will get 1,000 Solar Home Systems connections for its about 5,000 population.

The Jangefe community in Jigawa State, which is the first location to be covered by the A-Solar company, will pay monthly energy payments until the systems are fully paid for at the point in which there will be a transfer of ownership to each consumer in the community.

The Vice President noted that the “President had emphasised that we could no longer rely solely on the grid if we were to electrify the whole country. Which meant that we had to develop an effective strategy for decentralizing the power supply. Two obvious things to do were, first to think of implementing more off-grid solutions and to use renewable energy especially solar power.”

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MSMES

CBN advances loans to MSME at single digit

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The Central Bank of Nigeria (CBN) says it will continue to provide opportunities for Micro, Small and Medium Enterprises (MSMEs) to access loans without difficulty at single-digit rate as part of efforts to entrench a vibrant economy.

READ ALSO: NNPC Signs $1.5bn PH Refinery Rehab.

Samson Isuwa, the Nasarawa State controller of the apex bank, stated this at the opening of a three-day Nasarawa Entrepreneur Boot-camp in Lafia, the state capital.

According to Samson, CBN has remained consistent in initiating loan schemes covering agriculture, the entertainment industry, small scale business owners, among others at a single-digit interest rate to achieve Federal Government’s drive to economic prosperity.

He said interest rate for small scale businesses was at the moment 7 percent, adding, however, that this would soon rise to 9 percent to address the prevailing economic challenges.

He maintained that, henceforth, CBN would insist on only genuine business owners benefitting from such loans.

He said those collecting loan without utilising for the purpose it was meant would be denied the opportunity. He described the workshop for entrepreneurs as apt and advised participants to seize the opportunity to develop business strategies that would add value to their economic status.

Nasarawa commissioner for commerce, trade and investment, Obadiah Boyi said the loan would complement the effort of the Nasarawa entrepreneurs by encouraging them with all the necessary support required for SMEs to succeed in the state.

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MSME

45% of N75bn MSMEs survival fund provided for women owned businesses

by with No Comment Business

About 45 %2 of the N75bn MSMEs survival fund has been made available for women owned businesses.

READ ALSO: FG disburses MSME Survival Fund to tailors

This was disclosed by the Minister of State for Industry, Trade and Investment, Amb. Mariam Katagum, in Abuja.

Katagum disclosed that over 45 percent provision have been made for women owned businesses in the N75 billion Micro, Small and Medium (MSMEs) survival fund made available for businesses in Nigeria by the Federal government to cushion the impact of COVID-19 in the country.

Speaking at the signing of the Memorandum of Understanding (MoU) between Organization of Women in International Trade (OWIT) and the Nigeria Entrepreneurs Forum (NEF), Amb. Katagum said the intervention fund was targeted at giving support to businesses that have suffered due to the pandemic.

“The N75 billion MSME Survival Fund and Guaranteed Off take Scheme are part of Economic Sustainability Plan (ESP) designed and developed by the Federal Government to cushion the impact of the COVID-19 Pandemic on the economy, specifically targeted at providing succour to the MSMEs sector which has experienced the most adverse effect of economic disruptions caused by the Pandemic.

“The implementation of the scheme which has received commendation by stakeholders across the country has provision for 45 per cent female-owned businesses,” she stated.

The Minister Applauded the organizers for the “efforts towards actualizing this event which provides an avenue for the development of MSMEs especially among women.

“The critical role MSMEs play in the development of the national and global economy in terms of employment generation and contribution to Gross Domestic Product (GDP) cannot be overemphasized.

“It is in recognition of this that the Federal Government of Nigeria gives special attention to the growth and development of the MSME sector, with special emphasis on women-owned enterprises.

Represented by the Deputy Director in the department of Industrial Development, Mr John Opaluwa, the Minister stated that “the Federal Executive Council (FEC) has recently approved the revised National Policy on Micro, Small and Medium Enterprises (MSMEs) which provides the framework to resolve the challenges faced by the sub-sector.”

While delivering her welcome address, the President of OWIT, Blessing Irabor, said “OWIT Nigeria is driven by the believe that trade and investment can help Nigeria develop sustainably and inclusively.

“We also know that women and girls have less opportunity, less access to leadership positions, finance, education, information etc.

“However, in the Nigerian world of trade and business, where the gender blind deliverables in trade has strongly contributed to widening the gap of inequalities between men and women at all levels of economic empowerment”, noting that “strengthening coordination on women participation in trade and investment is now Paramount.”

In his remarks, the President of NEF, Sidney Inegbedion, said NEF “is a private sector driven organization whose services have focused on stimulating economic pdevelopment in Nigeria.

“This is why Nigeria Entrepreneurs Forum is partnering with the Organization of Women in International Trade (OWIT). OWIT Nigeria is an active women organization that focuses on trade and business at the local and international levels as a strategy for women empowerment and social recognition,” he stated.

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MSME Tailors

FG disburses MSME Survival Fund to tailors

by with No Comment Businessfinance

The Federal Government has commenced the disbursement of its Micro, Small, and Medium Enterprises, MSME, Survival Fund to tailors, artisans in Lagos State.

The Special Assistant to the President on MSMEs/DFIs, Tola Johnson, said so far in the Bariga cluster alone, over 400 people had benefitted from the scheme, with11other clusters approved last week.

READ ALSO: MSME Clinic To be Flagged Off by VP Osinbajo And Pantami

Johnson stated this at the activation of the Artisan Scheme of the MSME Survival Fund by the Bank of Industry in Bariga area of Lagos on Thursday.

He explained that the fund was created to cushion the effect of the COVID-19 pandemic on small businesses in the country, reaffirming the Federal Government’s commitment to supporting MSMEs.

He said, “It is no news that the pandemic affected many businesses and the government in its wisdom thought about how it could support different clusters of people. We have people for the payroll support, the artisan and the transport sectors.

“We also have people that we give money to cushion the effect of the pandemic on their businesses. The Federal Government resolved to support 500,000 people every month for three months, while also supporting 303,000 artisans with N30,000 one-off grant and N50,000 to about 100,000 businesses that have been affected by the pandemic.”

According to him, the government will carry out monitoring and evaluation of the fund to ensure that it is disbursed judiciously.

Johnson added, “We are carrying out this programme in phases so that we can learn from the mistakes of the first and correct in the second stream. We are actually trying to monitor to a large extent to ensure that what was approved is what is being done.”

He said a second stream of states was waiting for approval for disbursement.

“For the payroll segment, we will let the public know when we want to commence disbursement. Every state has about 6,600 new business names to be registered for free, but the Federal Government is paying N6, 000 per business to the Corporate Affairs Commission.

The Chairman, National Union of Tailors, Bariga Chapter, Balogun Olatunde, commended the government for supporting small businesses and urged the government to do more.

He said most of the tailors under his jurisdiction were looking for loans to expand their businesses.

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msme clinic

MSME Clinic To be Flagged Off by VP Osinbajo And Pantami

by with No Comment BusinessNews

Nigerian Vice President Yemi Osinbajo and the Nigerian Minister of Communications and Digital Economy (MCDE) Dr Isa Ali Ibrahim Pantami are set to flag off the National Macro, Small and Medium Enterprises MSME Clinic in Gombe.

READ ALSO: Promoting MSMEs – Osinbajo Patronize Shoemaker

The MCDE announced this yesterday via their official social media platforms.

The clinic will kick off in Gombe, today the 30th of March 2021. The Ministry said the clinic is “aimed at supporting the ease of doing business in Nigeria.

“The Honourable Minister of Communications and Digital Economy, @DrIsaPantami will accompany the Vice President, His Excellency, Prof Yemi Osinbajo, as the Federal Government delegation flags off the National MSME Clinic in Gombe State on Tuesday, 30th March 2021.”

“The clinic is aimed at supporting the ease of doing business in Nigeria by providing shared facilities with access to broadband connectivity, automation of processes, a one-stop-shop, among others.

“This is in line with the National Digital Economy Policy and Strategy for a Digital Nigeria launched and unveiled by His Excellency, President Muhammadu Buhari.”

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