Business
BoI Pledges Support For Credible SMEs
The Bank of Industry
(BOI) has pledged its support for Small and Medium Enterprises (SMEs) that are credible and genuine to do business with the bank.
The bank in a statement on Monday, quoted its Managing Director, Rasheed Olaoluwa, as charging the Banks Development Service Providers (BDSP) to identify only credible and genuine small and medium enterprises (SMEs) to access its fund across the country.
Olaoluwa said BOI is not a platform for sharing what he called the national cake rather implored the appointed BDSP to adopt a painstaking effort to select SMEs across the country that are worthy of the bank’s loans.
The statement said there are about 17 million SMEs in the country according to the National Bureau of Statistics (NBS), stressing that such SMEs are very important to the economy of the nation as they contribute over 50 per cent to the nation’s Gross Domestic Product (GDP).
The BOI boss said that despite the sector’s potential, it is perceived to be a very risky segment for banks to lend, stressing that in most cases SMEs do not get support because little actions have been taken to address problems hindering SMEs growth and development in the country.
He said BOI was ready to support genuine SMEs, stressing that the BDSPs would come in to help fitter and identify serious and genuine SMEs desirous of the banks assistance and support.
The bank said so far over N613 billion naira had been disbursed to support both large and small entrepreneurs across the country mostly in large businesses.
It said the bank has concluded plan under its new management team to increase focus to SMEs across the country noting that most of the bank’s developmental funds will be directed at growing the Small and Medium Enterprises (SMEs).
Philip Okparaji