Osun State government in southwest Nigeria has begun the disbursement of over N3 billion ward-level loan scheme in the state.
Governor Ademola Adeleke while flagging off the scheme on Wednesday, in Osogbo, said the target was to grow small businesses to raise the Gross Domestic Product (GDP) of the state.
Adeleke said the loans would be disbursed to registered cooperative societies in the state, whose members, men and women, must be traders or artisans.
He explained that the scheme, as launched, would come in three instalments of N1,145 400,000.00 each.
He further explained that 332 cooperatives in the 332 wards in Osun State would be paid the sum of the loan, with 46 beneficiaries being picked from each ward, making a total of 15,272 people benefitting in each phase.
He said: “I am to reconfirm to our people again that this government is committed to boosting the local economy, relieving the pains of the people and deepening the state GDP.
“The funding for the programme is to be provided in three instalments of N1,145 400,000.00 for each phase.
“This will make a total of N3,436,200,000 for the planned three phases.
“In summary, Phase One will have 15,272 beneficiaries. A similar number of beneficiaries will benefit from both phase two and three, making a total of 45,816.”
The governor who noted that eligibility for the loan included membership of a trade association as well as an attestation letter, charged beneficiaries to make good use of the loan.
“I must however add that each beneficiary must belong to a trade association with a letter of character attestation to be provided by each beneficiary from his or her trade association before disbursement.
“I charge beneficiaries to ensure the sustainability of the loan scheme by making the system through a revolving scheme. We must try as much as possible not to default. The fund must go into productive businesses to achieve the goal of wiping out poverty from the land”, he reiterated.
Profitable ventures
The Commissioner for Cooperatives and Empowerment, Bayo Ogungbangbe, who spoke earlier expressed delight at the resolve of Governor Adeleke to go ahead with the scheme.
He urged beneficiaries not to default but to channel the loan into profitable ventures to keep the fire of the scheme burning.
He said: “I am delighted and grateful to God for this epoch-making event that we are witnessing today. It is a testament to the resolve of this administration to fulfill its promises of making life better for our people
“Today is not a day of long speeches, it is a day of practical delivery of dividends of democracy, a day to savour and reflect in the minds of our people.”
The launch of the Osun Special Ward-Level Cooperative Loan programme saw the first set of beneficiaries being handed cheques under the various loan categories outlined.
Emmanuel Ukoh
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