BoI has managed N1tn MSME funds — MD

The Managing Director, Bank of Industry, Ms. Evelyn Oputu, said on Thursday that the bank had so far managed more than N1tn development funds meant for Micro, Small and Medium Enterprises.

Oputu made this known in Abuja on Thursday, at the inauguration of a partnership and signing of project document on “Access to Renewable Energy’’ between the bank and the United Nations Development Programme.

The managing director said that the bank had also managed funds meant for other development initiatives at state and national levels.

She listed some of the funds currently being managed by the bank as the Federal Government’s N10bn rice intervention fund and the Business Development Fund for Women, the News Agency of Nigeria reported.

The UNDP, in collaboration with the BOI, also sealed a N694bn deal for a renewable energy project that will boost power supply in Nigeria.

The project, which will run from 2011 to 2014, is targeted at MSMEs as well as small, rural and urban settlements, and is expected to provide access to affordable and reliable renewable energy that is independent of the national grid.

Speaking during the signing ceremony in Abuja on Thursday, the UNDP Resident Representative in Nigeria, Mr. Daouda Toure, said that the project would help improve power supply in Nigeria.

He said, “The absence of reliable power and energy supply is a challenge for MSME operators in Nigeria. Most private sector institutions rely on backup generators with high economic and environmental cost.

“For the government of Nigeria to realise its long-term targets of increasing operational electricity generation capacity from 3,500megawatts to 190,000MW, it will require a substantive actual increase in public energy supply, hence new approaches are required. The project will focus on increasing the national capacity to invest in and utilise renewable energy resources to improve access to modern energy services for MSMEs and households.”

He added, “With a total budget of $4.48m, the UNDP will allocate $2m from its core resources while the unfunded portion will be sourced from strategic partners such as the World Bank. Access to renewable project will improve national capacity as well as provide more access to modern energy services for MSMEs and households, thus making them more competitive.

“All parties involved are expected to participate in the achievement of the project’s objectives by building capacity to incorporate renewable energy, either as a business or as service for business development.”