MSMEs get 1yr moratorium on SMEDAN loan repayment

The Director General of the Small and Medium Enterprises Development Agency of Nigeria, (SMEDAN), Dr Dikko Umaru Radda, yesterday extended the debt repayment moratorium for the One Local Government One Product (OLOP) beneficiaries from three months to one year.

A statement from the Corporate Affairs Unit of the agency quoted the Director General as saying that the latest gesture was extended to the beneficiaries in view of the criticality of MSMEs to sustainable growth of the nation’s economy.

He said: “After studying the current trends regarding the global pandemic as it has affected the country, management has agreed to further extend the moratorium to one year with effect from April this year.”

The DG, however, urged participating micro finance banks MFBs) to comply with the latest directive while also appealing to MSMEs to avail themselves of the CBN’s N50 billion COVID-19 intervention fund for the sub-sector and households.

According to the SMEDAn boss, since the apex bank has waived requirements for accessing the loan, MSMEs operators should explore the funding opportunities availed by the facility.