The Central Bank of Nigeria (CBN) has disclosed that it disbursed an cumulative N76.9 billion Micro, Small and Medium Enterprises Development Funds (MSMEs), between 2013 and 2017.
According to CBN, the breakdown comprises of N53.1 billion (69.01per cent) through state governments, N12.6 billion (16.38per cent) through commercial banks and N10.2 billion (13.24per cent) through microfinance banks.
Others were NGO-MFIs, N0.5 billion (0.65per cent), cooperatives, N0.4 billion (0.55per cent); and development finance institutions (DFIs), N10.0 million (0.01per cent); and Grants, N0.1 billion (0.17per cent).
Extract from CBN 2017 annual report disclosed further that the sum of N7.5 billion was repaid in 2017, representing an increase of 53.3 per cent over the N4.8 billion in 2016.
“Cumulative repayment under the intervention stood at N13.4 billion, at end-December 2017,” the 2017 report of CBN disclosed on Thursday.
However, in 2017, a total of N4.3 billion was disbursed under the wholesale funding and grant components of the MSMEDF.
“This represented a decline of 81.3 per cent, below the N23.0 billion disbursed in 2016, due to reduction in the number of approvals, following intensified efforts on recovery.
“The sum of N4.2 billion (98.0per cent) was wholesale funding through PFIs to finance MSMEs, while N0.1 billion (two per cent) was disbursed as grant to facilitate the registration of microfinance banks on credit bureaux and their integration into the credit reporting system.
“Analysis of the wholesale funding by PFIs indicated that financial cooperatives accessed N62.0 million (1.5per cent); commercial banks, N0.37 billion (8.8per cent); microfinance banks, N1.6 billion (38.5per cent); non-bank microfinance institutions or Non-Governmental Organisation-Microfinance Institutions (NGO-MFIs), N7.5 million (0.2per cent); and state governments, N2.1 billion (51.0per cent),” the report by CBN disclosed.