From Okey Sampson, Umuahia
Abia State Governor, Dr. Alex Otti has launched a N1b interest-free revolving loan to empower 10,000 Nano and Small Scale Business owners across the 184 Wards in the 17 Local Government of Abia State.
Speaking at the launch, Otti said the Abia State Cooperative Support Scheme represents the practical commitment of the State Government to support the army of nano, micro and small-scale entrepreneurs to build new levels of success on the strength of the leverage provided them by public-sector driven initiatives.
The Governor said it was something of joy to note that 70 percent of the beneficiaries in the first batch of the scheme were women and young people who have shown great industry by doing so much with very little resources.
“Through this Scheme, the State Government will, between today and the next few days, reach a minimum of 50 different entrepreneurs in every ward in the State, offering them the financial support they need to grow their businesses, earn money to support their families, and contribute even more to the economic growth of the communities where they live.
“The Abia State Cooperative Support Scheme has been set up to simultaneously address the financial difficulties owners of small-scale businesses in the rural and urban communities often face; and also send a clear message to everyone that the only way to draw the attention, and support of the Government is by engaging in productive ventures.”
He said the beneficiaries selected for this batch are petty traders, farmers, and artisans who have over the years toiled on their own without the kind of structured support that their peers from other parts of the world take for granted.
“Our model is geared towards improving production, creating jobs and reducing poverty to the barest minimum. It is akin to the aged difference between giving someone fish and teaching him how to fish.
“Our target, beyond the present number of beneficiaries, is to reach about 100, 000 businesses directly over the next 36 months because we are optimistic that today’s beneficiaries will put in honest effort to repay the loans in time so that others can benefit.”
Speaking on how the loan could go round, the Governor said, “We shall not just disburse the funds and walk away. Appropriate mechanism for monitoring the application of the funds, and the impact in the communities through periodic reviews and assessment has been set up.
“The Government is proposing to build a unique data-driven economic development model around this initiative so every feedback we get from the stakeholders shall be very helpful.”
Otti assured that immediately Government begins to see a measurable rise in business consciousness amongst the people at the grassroots, it shall go into partnership with international development institutions and agencies to increase the pool of funds available for borrowing so that at the end of the exercise, about one million people would benefit from the scheme.