In a move to empower members of its host communities, the Nigeria LNG Limited (NLNG) has launched a N1 billion Micro, Small, and Medium Enterprises (MSME) fund in partnership with the Bank of Industry (BOI).
The initiative, announced by the General Manager (External Relations and Sustainable Development,), Dr. Sophia Horsfall during her keynote address at the unveiling of the partnership programme in Port Harcourt on Wednesday, aims to provide financial support and capacity building for local vendors and businesses in all of its 110 host communities.
The scheme, accordingly to Horsfall, offers loans at a reduced interest rate of 9% and is designed to foster economic growth and sustainability in the region.
This effort she said, aligns with NLNG’s broader commitment to community development through education, economic empowerment, infrastructure, and healthcare initiatives.
Earlier in his welcome address, the General Manger, Community Relations/Sustainable Development, Engr Charles Epele shared the progress of the scheme noting that it was being rebranded to be more attractive and accessible for applicants and their host communities.
He said, “It gives me great pleasure to stand before you to share our progress and the journey of revamping the Microfinance Scheme, and revamping the microcredit scheme and the Vendor Finance Scheme.
The vendor finance scheme was initially a whooping $1.4 billion but it was not very successful so, we have rebranded it and we are coming up with something that is much more attractive and accessible.
Speaking at the event, the Executive Director of Bank of Industry (BOI), Shekaru Umar emphasized the transformative potential of the one-billion-naira partnership, aimed at supporting over 110 communities in the region.
“The beauty of microloans is their ability to replicate themselves,” he asserted, promising that the initial fund could grow to ten billion naira as BOI demonstrates its commitment to effective fund management.
He highlighted the bank’s existing collaborations with 34 states, stating that the initiative would not only foster local business growth but also ensure that funds are utilized efficiently to prevent wastage.
Umar also announced the development of a user-friendly app designed to facilitate loan repayments, allowing beneficiaries to manage their finances conveniently from home.
“You can repay the loan while enjoying your local food,” he quipped, underscoring the initiative’s focus on accessibility for all.
The event celebrated the partnership’s potential to uplift local entrepreneurs, and Umar reassured attendees of BOI’s dedication to delivering results.
“We will unfailingly make you proud,” he concluded, reinforcing the bank’s commitment to sustainable economic development through strategic financial support.
The developer of the Fund Partners App (FPA), explained said it was developed through a collaboration between LNG and the Bank of Industry, aimed at enhancing accessibility and efficiency for registered businesses seeking financing.
Designed to streamline the loan application process, the app allows users to apply from home and track their applications in real time, significantly reducing the turnaround time to just 14 days.
With competitive interest rates and various financing options, the FPA caters specifically to accredited vendors and contractors, fostering a supportive environment for small and medium enterprises.
In addition to improving accessibility, the FPA promotes transparency and accountability within the partnership.
LNG has access to a dedicated dashboard that enables them to monitor all loan applications and generate impact reports, ensuring they have a clear understanding of the program’s outcomes.
This initiative not only strengthens the relationship between LNG and the Bank of Industry but also sets the stage for future collaborations with other industries, expanding financing opportunities within the supply chain.
