Business
LCCI Seeks Affirmative Loan Interest For Entrepreneurs
The Director-General, Lagos Chamber of Commerce and Industries (LCCI), Muda Yusuf, has urged the Central Bank of Nigeria (CBN) to pursue an affirmative policy to encourage one digit interest rate on loans for entrepreneurs.
Yusuf told journalists recently that the CBN needed to formulate affirmative monetary policies that would lead to rapid growth of small businesses.
He said that high interest rate regimes by banks had been the bane of most business growth in the country.
“Nigeria’s environment is quite challenging to most businesses. In an ideal circumstance, banks are supposed to be collaborating with entrepreneurs.
He said “although, banks have their own problems that they are contending with but they should always consider the masses in their internal policies they implement’’.
He added that the CBN should look into the issue of collateral on loans, stressing that a periodic review of how banks ask for collateral was necessary.
He said “quick release of Certificate of Occupancy will ease access to loans for entrepreneurs since most banks are fond of asking for landed property as collateral.
Yusuf said “Getting credit facilities will boost and expand existing businesses and will create employment opportunities for our army of unemployed youths,“ he added.