The United Kingdom’s development finance institution, British International Investment has donated a total of 50 million dollars to support Small and Medium Enterprises, SMEs and women entrepreneurs in Nigeria.
This is as the institution says that it is aware of the challenges many SME businesses in Nigeria face with accessing finance, adding that, lack of support cripples their effort despite contributing significantly to the Nigerian economy.
There are nearly 40 million MSMEs in Nigeria, accounting for 86 per cent of employment and contributing 50 per cent to the Gross Domestic Product.
According to the impact investor who made the commitment to Access Bank for businesses and disclosed that the facility was part of a $295m loan package arranged by the Dutch entrepreneurial development bank, FMO, the deal contributed to the United Nations’ Sustainable Development Goals 5 and 8, on Gender Equality, Decent Work and Economic Growth
In a statement, British Deputy High Commissioner, Jonny Baxter, while explaining some of the factors that propelled the British institution to execute the deal, cited the benefits of supporting and empowering smaller businesses and women entrepreneurs especially in underserved communities.
The Deputy High Commissioner added that, the BII’s extension of such support mechanism to Nigeria was a testament to its commitment to the Nigerian Government for a deeper economic cooperation which may eventually metamorphose into a boost in growth and development opportunities across both countries.
He said, “when smaller businesses and women entrepreneurs are economically empowered, their whole community benefits. That is why the UK is providing new support with Access Bank to help businesses in underserved communities access finance to scale up their operations, create jobs, and grow the economy. It also shows our commitment to the Nigerian Government to deepen our economic cooperation and boost growth and development opportunities across our countries.”
Similarly, the Head of Office and Coverage Director, Nigeria at British International Investment, Benson Adenuga while applauding the initiative, expressed hope that it would aid to hasten the recovery process of the Nigerian economy while empowering small business owners to do more in their respective fields.
Adenuga said, “As a counter-cyclical investor, we are proud to deepen our partnership with Access Bank to accelerate Nigeria’s recovery and empower businesses playing a pivotal role in the creation of jobs, innovation, and economic diversification. By supporting the ambitions of SMEs including women and youth-led businesses, we can ensure a more inclusive and sustainable future for Nigeria.”
On his part, the Managing Director/Chief Executive Officer of Access Bank, Roosevelt Ogbonna, reiterated the significance of the bank’s age-long partnership with the British institution and its resolve to impact the Nigerian economy through business development and other means.
Ogbonna said, “Today marks a significant milestone in our longstanding partnerships with FMO and BII. This monumental syndicate Tier II Facility agreement underscores the deep-rooted trust and synergy between our institutions.
“This facility not only enhances our capital reserves but also strengthens Africa’s trade capabilities and export potential. By putting these funds to use, we aim to catalyse growth across various sectors, stimulate business development, create jobs, and deepen financial inclusion, aligning with Access Bank’s mission to drive progress and development throughout the continent and beyond.”
