By Franklin Alli

NIGERIAN Association of Small Scale Industrialists (NASSI) and Nigerian Association of Small and Medium Enterprises NASME) have called for transparency in the disbursement of two million dollars (about N326 million) loan being granted to SMEs in the country by the Western Union Money Transfer and the   U.S. Agency for International Development (USAID).

It will be recalled that in the penultimate week, 70 SMEs drawn from NASSI, NASME including Manufacturers Association of Nigeria, and Nigerian Association of Chambers of Commerce Industry Mines as well as Nigerian Employers Consultative Association, were drilled for possible access to the fund during the Bank of Industry, Western Union, and USAID SMEs Live Banking Panel Forum   held in Lagos.

In a follow-up, Duro Kuteyi, National Vice President of NASSI, who disclosed that 25 of its members participated in the exercise, said “We are expecting them to disburse the fund in a transparent manner and there should be no hidden costs by the banks.”

Corroborating this view was Eke Ubiji, Executive Secretary, NASME, who disclosed that fifteen of their members participated in the exercise, commended the trio; he noted that it was a good development as 20 million SMEs in the country are unable to have access to credit facility by the commercial banks. He, however, demanded that the interest rate on the loan should be as good as the one being offered by the Bank of Industry which is between 8-10 percent.

Earlier, Babara Span, Vice Presidents, Global Public Affairs for Western Union, disclosed that the 70 SMEs were qualified for participation in the different competition by the Enterprise Development Centre of the Lagos Business School Pan African University, Tony Elumelu Foundation, Small Enterprise Assistance Fund (SEAF) and the African   Capacity Building Foundation (ACBF).

“Access to capital is one of the most difficult challenges faced by entrepreneurs doing business in  Africa; through this one-of-a-kind event, SMEs operating in Nigeria and across sub-Sahara Africa will get direct access to financial institutions and technical resource partners,” she said.

Ms. Evelyn Oputu, Managing Director, Bank of Industry, described the forum as the first of its kind in Africa and a unique opportunity for Nigerian SMEs as well as those in the Diaspora and Nigerian bankers. “I am pleased to also announce that more than 90 percent of beneficiaries of BOI’s more than N202 billion facilities are MSMES. The developmental impacts of these interventions include the creation of more than 1.3 million jobs,” said Oputu.