From Nosa Akenzua, Asaba
The Managing Director, Development Bank of Nigeria (DBN) Mr Tony Okpanachi, said that the bank has in the past 18 months disbursed a total sum of N133 billion to Micro, Small and Medium Enterprises (MSME’s) in Nigeria.
The DBN boss disclosed this on Wednesday while addressing the ongoing Nigerian Export-Import (NEXIM) Bank, South -South Enlightenment and Engagement Forum in Asaba, Delta.
Our correspondent reports that the forum has as its theme, “Maximizing Export Potentials of the Region for Economic Growth”.
Okpanachi, represented by Mr Bona Okhaimo, Chief Operating Officer of the Bank, said no fewer than 100, 000 MSME’s in the country benefited from the N133 billion through Participating Financial Institutions (PFI).
He said that as a finance institution, it has the reach to access over 120 US dollars to drive investments in the country.
He said that the bank provides access to MSME’s that braced up to the ethics and standards on investment in all sectors of the economy including the non-oil sector.
He observed that the MSME’s were still men dominated while .calling for more women to venture into the sector.
According to managing director, the bank has disburses in the past 18 months a total of N133 billion to over 100,000 MSME’s operators though 27 participating financial institutions in the country.
“In the South South region alone, the bank has disbursed about N20 billon to 15, 000 MSME’s while in Delta State, it has disbursed N3.1 billion to 3,000 MSME’s.
“DBN in 2020 has help to build capacity by training 100 MSME’s in Lagos Business School”.
He encouraged the investors to take advantage of the financing infrastructure available in DBN to raise their investment and key into the export potentials in the country.
on his part, Mr Aliyu Abdulhameed, Managing Director, Nigeria Incentives-Based Risk Sharing System for Agricultural Lending (NIRSAL), said that the agency has since creation your years has disbursed N121 billion to finance projects without recording any loss.
He urged the MSME’s that produce the same commodity to form a Geo-cooperative for ease of financing by the agency.
He urged NEXIM Bank and other financial institutions to ensure they provide financing to all the various segments of the production value chain to encourage and promote MSME”s in the country.
He said that the major challenge with the MSME’s, particularly the agriculture sector was that participating farmers were scattered and not in clusters to make for easy financing.
He said that the agency has identified 19 agricultural commodities that farmers could engage in and form Geo- cooperative by acquiring enough hectares to enable the agency give them the needed support and financing.
According to Abdulhameed, NIRSAL created four years ago has as at 2019 has financed projects to the tune of N121 billion.
“A Geo-xooperative model will enable the farmers grow a single commodity, process the commodity and get a single buyer, this makes it easier to finance”.
“It is not just enough to have potential, we need to have the reality on ground, NEXIM Bank and Bank of Industry must ensure that availability of raw materials so that there will be processing and exportation.
“You cannot have a successful export except you have the production and if you finance the farmers and all the four actors along the value chain; Pre-upstream, Upstream, Mid stream and downstream, there will be success,” he said.
Also reports that the officials of the Bank of Agriculture (BOA), National Agency for Food and Drug Administration and Control (NAFDAC) among other agencies took their tune to educate the participants on investment standardization and export guidelines and regulations.