One thing that leaders and politicians in Nigeria have consistently failed woefully at is fulfilling their promises to the people. They deliberately say many things with their sugar-coated mouth while seeking votes but renege on those things when they get to power. This has been responsible for the distrust between the government and the people and the reason for the perennial leadership failure in the country.
However, one person who has deviated from this political shenanigan and giving the hope that politicians can be trusted to live up to their promises, is no other than the cerebral #DoingGood Senator, Chairman, Senate Committee on Industries and the Senator representing Lagos East Senatorial District, Distinguished Senator Mukhail Adetokunbo Abiru, FCA, who has continued to blaze the trail in good representation and compassion for the people.
Since he was elected in 2020, he has virtually lived up to every promise he made to his constituents in Lagos East Senatorial District and is showing no sign of slowing down considering his latest gesture.
Just November last year, he organised a one-day seminar for various operators of Micro, Small and Medium Enterprises (MSMEs) at the FunPlex Event Centre,CMD Road, Ikosi-Ketu, Lagos, to train them on how they can further succeed in their businesses. At that event, he promised to avail them with loans to support them.
In his usual element, Senator Abiru, on Thursday, September 15, 2022, reassembled the MSMEs business men and women at the same venue to launch a N300Million Constituency Intervention Revolving Loan at 6% for their businesses.
The highly concessional 6 % (All-in) single digit interest rate per annum, is payable between 3 and 18 months and the limit per beneficiary is pegged at N100,000 – N1,000,000.
While Senator Abiru is the facilitator of the loan, the trio of the Bank of Industry (BOI), the Lagos State Employment Trust Fund (LSETF) and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) contributed a whopping sum of N100million each to provide the N300million fund size for the loan.
The requirements to be fulfilled by interested entrepreneurs are provision of recent tax clearance certificate, LASRRA ID, bank account details, BVN, NIN, evidence of training with a recognized enterprise development centre, and ATM card (valid for the next 12 months)
It was indeed a dream come true for the beneficiaries who had been shortlisted for the high concessional loan as they were elated and thanked Senator Abiru for providing the much needed support for their respective businesses. Some of them were present at the event to witness the formal launching of the laudable initiative.
Also, there was a deluge of commendations for the performing Senator at the event by dignitaries, notably the governor of Lagos State, Mr Babajide Olusola Sanwo-Olu, top executives of finance agencies in Nigeria and leaders of the party, for fulfilling the promise he made to the people.
The Governor, who was ably represented by his Deputy Chief of Staff, Mr. Gboyega Soyonwo, in his brief remarks, particularly praised Senator Abiru for persistently keeping faith with the people through effective representation.
“I commend my dear brother, distinguished Senator Mikhail Adetokunbo Abiru for keeping faith with his constituents, the good people of Lagos East Senatorial District and the entire people of Lagos State through effective representation at the red chamber and the various empowerment programmes he has initiated including the one being unveiled here today. This is an example of the dividends of democracy our people desire and we will not relent in ensuring that the welfare and wellbeing of our people remain our one and only priority”.
Meanwhile, in his address, Senator Abiru, while stating his reason for supporting MSMEs in the district, said that MSMEs played a pivotal role in economic development, adding that they contribute hugely to the national Gross Domestic Product (GDP).
“Micro, Small and Medium Enterprises (MSMEs) play an important role in the economic development process. This reality is acknowledged globally. They play crucial roles in job creation, income redistribution, mobilization of small savings, technology adaptation, economic inclusion and many more. In Nigeria, the MSMEs account for about 50% of our Gross Domestic Product and over 80% of employment and have footprints across all sectors of our economy. Therefore, they offer good channels for the realization of development objectives of job creation, economic inclusion and poverty reduction.
“Access to finance has been identified by various studies as one of the biggest challenges faced by small businesses in the Nigerian economy. Many MSMEs, out of desperation, take loans from informal financial markets and finance companies at outrageous interest rates, sometimes as high as between 50% – 120% per annum. MSMEs are also subjected to a lot of complex requirements such as loan collaterals, strenuous documentations, and bureaucratic processes which impede access to credit by these small businesses.
“This Constituency Intervention Revolving Loan for MSMEs will go a long way in bringing succor to our numerous small businesses in the Lagos East Senatorial District. To ensure the sustainability of the scheme, we have developed a risk management framework to make the scheme an enduring and revolving facility that will impact many more people beyond the first round of beneficiaries”.
While thanking BOI, LSTEF and SMEDAN for making the loan initiative a reality, he appealed to the beneficiaries to maximize the opportunity in growing their businesses and repay the loans to avail others the same opportunity.
“Already, we have over 1,000 applicants and my appeal to our constituents is to judiciously make use of this fund and ensure prompt and credible repayment of the amount borrowed so that others can benefit”.
Senator Abiru, who is a former Commissioner of Finance in Lagos State, equally used the occasion to highlight some of his achievements in the last twenty months that he has been in the saddle as the representative of the people of Lagos East Senatorial District, in the upper chamber of the national assembly.
In the same vein, several other dignitaries, in their separate remarks, also emphasised the need for the beneficiaries to repay the loan in good time.
The Chairman of the occasion, Mr. Olawale Edun, who is also a former Commissioner of Finance in Lagos State, an international finance expert and the Chairman, Chapel Hill Denham Group, acknowledged that Senator Abiru has brought great value into governance as an accomplished professional.
“If you want to do anything that will be sustainable, do it the way the Senator has done it – bringing major institutions who will train and assist people and empower them to do their business. It is almost free money considering the 6% interest rate per annum. Take this money, use it well so that another person can benefit”.
The Managing Director, Bank of Industries, Mr. Olukayode Pitan, in his remarks, charged MSMEs to reposition their businesses in line with post pandemic realities.
“The pandemic taught us many life-changing business lessons. We now know that new business owners’ top priority isn’t only finance but credible business intelligence and knowledge to guide their creation, survival and success strategies. The pandemic required resilient entrepreneurs to adapt their businesses to new economic realities, from making and branding their products to reaching customers”.
Olawale Fasanya, Director General, Small and Medium Enterprises Development of Nigeria (SMEDAN), said he was also a beneficiary of the good deed of Senator Abiru.
“I am not sure the people of Lagos East know the kind of Senator they have. In my 19 years of working at the SMEDAN, I have not seen this kind of Senator. He is very passionate about the wellbeing of his constituents. I will appeal to the beneficiaries to make good use of this loan and repay within the stipulated period for others to also enjoy the opportunity “.
The Executive Secretary, Lagos State Employment Trust Fund (LSETF), Tejumola Abisoye, who was represented by Omolara Adewunmi, Director, Programmes, LSETF said the agency was pleased to partner with the office of the Senator in implementing the laudable initiative. She said 6% Interest per annum which was subsidized by the Senator is the lowest MSMEs can get anywhere.
“No financial institution can give you that. Even at LSETF we do 9%”, Adewunmi disclosed.
The Chief Executive Officer, The Centre for the Promotion of Private Enterprise (CPPE), Dr. Muda Yusuf commended Senator Abiru for promoting economic wellbeing of his constituents.
He said, “This remarkable initiative by distinguished Senator Tokunbo Abiru resonates perfectly with our core mandate as a civil society organization, which is the promotion of private enterprise.
“We believe that to salvage this economy and ensure social stability, we must promote the growth of private enterprises, especially the small businesses. And we must do this in a manner that is impactful and sustainable. In the light of this, it is the belief of the CPPE that this initiative deserves all the necessary support”.
Also, while speaking briefly on behalf of the traditional rulers at the event, Oba Folarin Ogunsanwo, the Alara of Ilaro, described Senator Abiru as a humble and well behaved representative who has been persistent in his love and respect for the Obas and entire people of Lagos East Senatorial District and urged that he should be massively returned in 2023 to continue to continue doing good for the masses.
The event was rounded off with a vote of thank by Dr. Saheed Ibikunle and official presentation of the dummy cheque for the #300million loan to the admiration of the cheering gathering.