Edo begins disbursement of N1bn interest-free loan

The Edo State governor, Monday Okpebholo, has commenced the distribution of the N1 billion interest-free loan scheme to traders and farmers in the state. Addressing traders at the government house in Benin over the weekend, Governor Okpebholo said the N1 billion loan was in fulfillment of his campaign promise of providing soft loans for traders. […]

The Edo State governor, Monday Okpebholo, has commenced the distribution of the N1 billion interest-free loan scheme to traders and farmers in the state.

Addressing traders at the government house in Benin over the weekend, Governor Okpebholo said the N1 billion loan was in fulfillment of his campaign promise of providing soft loans for traders.

He said the essence of meeting with them was to ensure that the money reaches them, as past experience had shown that whenever the executive disburses loans, the funds do not reach the grassroots.

He said a total of 5,000 traders would benefit from the loan across the state, advising them to report to him if the money didn’t get them.

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On his part, the Commissioner for Finance, Emmanuel Ehidiamen Okoebor, stated that the loan would boost the economies of rural and semi-urban areas, create jobs, and reduce poverty in the state.

He said before now, traders would collect loans and pay 10 per cent on N200,000 given to them, noting “for this, there is no interest, you pay back what you borrowed.”

“Each of the 5,000 beneficiaries will receive N200,000, with a 12-month repayment period and a one-month moratorium, offering vital breathing room for businesses to stabilise.”

According to him, the loan is categorised as a micro loan, which allows beneficiaries to access between N200,000 and N500,000, empowering them to expand their businesses, invest in inventory, and ultimately uplift their livelihoods.

He said that with the N1 billion interest-free loan, Governor Okpebholo has laid a robust foundation for inclusive economic growth in the state.