The Ministry of Industry, Trade and Investment has initiated the disbursement of the Presidential Conditional Grant Scheme to successful applicants, following an extensive selection process, as announced by Minister Doris Aniete via the ministry’s official X (formerly Twitter) account on Tuesday.
The government, through the Bank of Industry, had previously pledged to distribute N200bn in three categories of funding to support manufacturers and businesses across the country.
Minister Aniete reported that some beneficiaries have already received their grants, marking the start of a phased disbursement plan. By Friday, April 19, 2024, a significant number of verified applicants will also receive their grants. However, not all applicants will receive their grants on this initial date, as disbursements will continue in subsequent phases.
This announcement comes over eight months after President Bola Tinubu announced the grant for manufacturers and small businesses and two weeks after applicants were instructed to submit their National Identification Numbers to proceed with the grant application.
The President had expressed his commitment to strengthening the manufacturing sector, increasing its capacity, and creating well-paying jobs. The program aims to fund 75 enterprises with high growth potential between July 2023 and March 2024, providing each enterprise with N1bn in credit at a 9% annual interest rate and a maximum repayment term of 60 months for long-term loans and 12 months for working capital.
Despite the President’s announcement, the program has faced criticism due to multiple delays and a complex registration process. Femi Egbesola, President of the Association of Small Business Owners, expressed disappointment over the slow pace of data collation by supervising agencies, claiming that genuine businesses were being intentionally discouraged from accessing the loans.
Egbesola urged the ministry to maintain open communication with stakeholders, expressing frustration over the lack of updates regarding the disbursement status and expected commencement date.
Minister Aniete requested patience from stakeholders, emphasizing the ongoing disbursement process and assuring all verified applicants that they will eventually receive their grants in subsequent phases.
