Development Bank of Nigeria unveils interest-free loan for MSMEs
Development Bank of Nigeria (DBN) has unveiled non-interest loan framework for so as to encourage inclusion in its intervention programmes and empowering Micro, Small and Medium Enterprises (MSMEs) in the North.
SOLACEBASE reports that Development Bank of Nigeria (DBN) is a wholesale finance institution that obtains funding from local and international capital markets and on-lends through commercial banks and restructured development banks to Micro, Small and Medium Scale Enterprises (MSMEs).
It is established to alleviate financing constraints faced by Micro, Small and Medium Scale Enterprises (MSMEs) in Nigeria.
Dr Tony Okpanachi, Managing Director of DBN, made the disclosure while speaking at a stakeholders conference organised by SDF, Kano Concerned Citizens in collaboration with the bank on Thursday.
Okpanachi said the interest free loan window introduced by the bank can by access through Jaiz Bank PLC and TAJ Bank Ltd.
He restated the bank commitment toward empowering Micro, Small and Medium Enterprises (MSMEs) in the North.
The MD said that empowerment and capacity building of the MSMEs would address challenges confronting Micro, Small and Medium Enterprises (MSMEs) in Kano, Jigawa and Northern Nigeria as a whole.
“For a commercial center like Kano, it’s important to build ecosystems that will keep sustaining all businesses and families that depend on it.
“It is about the youthful population and what we can do is to keep them engaged, that’s why the theme”Rise of commercial activities from our youths fits perfectly with what we stand for at DBN, ” he explained.
The DBN boss explained that the bank hosted its second annual MSMEs summit in Kano in collaboration with the State Government and it helped them to further cement their key value proposition within the North.
According to him, they are back in Kano and hold the power to shape destinies, to alter trajectories, and to create brighter future for the young people of Kano and Jigawa states and the North as a whole.
“Our mission is not merely financial, but deeply rooted in the belief that sustainable development is the cornerstone of a prosperous society.
“Through the conversations today, we will reaffirm our commitment to catalyze change, to ignite hope, and to bridge the financial divide that has held back the potential of this region for far too long.
“We know that collaborations with laudable organisations such as SDF and Kano Concerned Citizens initiative will continue to nurture sustainable enterprises, bolster community development, and facilitate knowledge transfer that enables the growth of enterprises within the northern region,” he said.
Earlier, the Chairman of Kano Concerned Citizens initiative, Alhaji Shehu Dankadai, called for a town hall meeting at all levels so that people would key in and take advantage to get loans easily.
He called for an enlightenment of MSMEs in Kano and Jigawa states to enable them bridge the divide that held them for long.
Dankadai who said that issue of interest loans was prohibited in Islam, commended DBN for coming up with interest free loans through Islamic financial institutions.
Also speaking, the Director-General of Dangote Business School, Prof. Murtala Sagagi, said that MSMEs remained critical enablers of national socio-economic growth.
He also called for closure of identified financing gaps hindering MSMEs in North.
Sagagi advised that massive capacity building and funding of MSMEs is very important
He also urged DBN to interface and collaborate with state government, entrepreneurship development centers, business organisations, high institutions among others to build the capacity of MSMEs in Kano and Jigawa states.