By Emma Ujah, Abuja Bureau Chief
The African Development Bank (AfDB) has sealed a $50 million financing deal with Fidelity Bank Plc, for on-lending to Micro, Small and Medium Enterprises (MSMEs) in Nigeria.
The deal which was to invigorate the MSMEs sub-sector of the economy was sealed between the two parties, in Abuja, yesterday.
The facility would open a new vista of credit opportunities for women entrepreneurs, as no less than 30 per cent has been devoted to their businesses.
The AfDB Senior Country Representative in Nigeria, Mr. Ebrima Faal, who signed on behalf of his bank expressed confidence that the deal would significantly impact on MSMEs in the country.
According to him, “We are excited about this partnership. The lines of credit tended to be general support for SMEs. This one has strong emphasis on gender. It can be considered as a vanguard credit for us.
“Our main focus is to reach out to SMEs to give the much needed impact. We count on you to ensure that the requirement for loan disbursement is okay to enable it reach out to the target audience.”
In his remarks, the Deputy Managing Director (DMD) of Fidelity Bank, Mr. Mohammed Balarabe, assured that the $50 million line of credit would be made available to the target customers.
He added that the focus on women was very exciting, as that segment of the society would contribute more to the economy.
Mr. Balarabe described Fidelity bank as one of the leaders in MSMEs financing and assured that the new line of credit would only strengthen his bank in that regard.
He added that his bank works with MSMEs to make the businesses profitable.
The $50 million is for seven years, a two-year moratorium.