The Lagos State Government has rolled out some measures to cushion the effects of economic recession, noting that the scheme was designed “to engage at least 100,000 Micro, Small and Medium Enterprises (MSMEs) across the state.”
The state government disclosed that it would free part of the N25 billion Employment Trust Fund (ETF) the administration of Governor Akinwunmi Ambode initiated to create a new army of employers and tax payers.
The Executive Secretary of the fund, Mr. Akintunde Oyebode disclosed this at a news conference, saying the state government would deploy the fund to support 100,000 MSMEs and fight economic recession.
He addressed the conference alongside the Commissioner for Wealth Creation & Employment, Babatunde Durosinmi-Etti, Chairman of the House Committee on Wealth Creation & Employment, Hon. Sola Giwa and Permanent Secretary in the ministry, Mr. Abdul-Ahmed Mustapha among others.
He said the state has set a target to utilize the N25 billion Employment Trust Fund to provide financial support to over 100,000 MSMEs within the next three years.
He explained that the fund was in line with Ambode’s vision to create employment opportunities, open up fresh entrepreneurship vistas and fight economic recession crippling the country’s domestic economy.
He said the board set up to manage the funds had spent the last few months perfecting strategies and addressing grey areas ahead of the commencement of the disbursement of the funds later this year.
The executive secretary explained that the board embarked on several strategy sessions “to define the mission, vision, core values and strategic framework to guide the Fund’s activities.”
“After the completion of the research exercise, the Board working with its appointed consultants developed a strategic framework articulating its goals, the key interventions designed to enhance job creation, and the supporting infrastructure needed to deliver the set goals.
“This exercise has now been concluded and approved by the Lagos State Executive Council. The fund would provide loans to MSMEs at a single digit interest rates per annum, while training and capacity building and technical support would be provided to drive growth and job creation,” noted.
Also speaking at the conference, Durosinmi-Etti said the Ambode administration was committed to ensuring the fund impacts on the lives of Lagos residents, especially at this time of national crisis.”
The commissioner commended the board of the fund for setting up offices in 20 Local Governments in the State, noting that it would go a long way to ensuring that no area is marginalised.
“It is important that this process has taken considerable time, we need to make it work and also ensure that it is to the benefit of all Lagosians,” Durosinmi-Etti said.