Concerned by the poor fortunes of citizens as a result of the insurgency attacks, Borno State Governor, Kashim Shettima on Monday waved interests to be paid by citizens as he launched the disbursement of two billion naira accessed from the Central Bank of Nigeria, CBN, as loans noting that his Government was going to bear interests to be accumulated by the loans while citizens will only repay the exact amounts they access through the Borno State Renaissance Micro-Finance Bank established by Shettima in his first term. The micro finance bank which was licensed by the CBN, documents, processes and manages the entire loans and recoveries.
The launching took place in Maiduguri, the Borno State capital with 660 traders of the Maiduguri Monday Market benefiting in the first phase. Governor Shettima, his Deputy, Usman Mamman Durkwa and Emirs at the event, made symbolic presentation of letters, granting the loans to the beneficiaries.
The loans were meant to support citizens either into existing entrepreneurs or citizens trained at the Maiduguri based CBN entrepreneurship development center and ready to go into small and medium scale businesses to become self-employed. All citizens, particularly women and youths are the major targets of the loans which have a repayment period as a key condition to be monitored by the micro finance bank located in Maiduguri.
Shettima emphasized that the money was not a free grant but an interest free loan which is revolving in nature hence beneficiaries must take the issue of paying back within stipulated time very seriously.
Governor Shettima equally announced free rents for traders at the Maiduguri Monday Market for a period three months. The Borno State Government owns the market, allocated shops and collects monthly rent from traders. The rent is used to maintain services and infrastructure in the market and also to pay Government workers attached to the Monday Market company, which is responsible for the day to day affairs of the market. The Governor said he will approve external funds to run the market for the period of three months. He said the decision was to cushion the effects of poor trading faced by traders as a result of reoccurring insurgency attacks.
Earlier before the flag off of disbursements of the N2b loans, the Managing Director, Borno Renaissance Microfinance Bank, Mrs. Zainab Umar Kolo said that the sum of One hundred and twenty six million Naira was earmarked for the 660 beneficiaries who were screened for Monday’s exercise. She said, so far the sum of Two hundred and twenty five million Naira had been earlier disbursed by the bank with funds already in the custody of beneficiaries. She invited all other beneficiaries to assemble at the bank’s premises to access the loans disbursed through electronic transfers.
President, Borno State Chamber of Commerce, Mines and Industry, Alhaji Modu Rigiya said it was the first time any Government in Borno State facilitated loans for citizens with interests waved. He lauded Governor Shettima for what he described as his extreme compassion for the citizens of his State and the economy.
Other speakers also commended the CBN and the State Government for the loan with call on traders to comply with conditions attached to them.
