According to the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), nano businesses with one or two employees and an annual turnover of less than ₦3 million will be receiving the ₦50,000 Presidential Conditional Grant Scheme , popularly known as Trade Grants Scheme, from the Federal Government. Disbursement of the grants has officially begun and will be available to nano businesses across the country. In Abuja, Doris Uzoka-Anite, the Minister of Industry, Trade and Investment , revealed this information in a press release.
Uzoka-Anite has confirmed that a number of beneficiaries have been granted funding as part of the phased disbursement plan. The Minister has informed that a significant number of validated applicants will receive their grants on Friday, April 19 2024. It was emphasised that the distribution of grants will be ongoing, and not all applicants will receive their funds on the initial date. In the meantime, she reassured them that all approved candidates would receive their funds in the upcoming stages.
Some of the recipients have already received their grants.
The disbursement process for the programme has now begun, and they are excited to announce that several recipients have already received their grants. This marks the start of their phased approach to distributing funds. While it may take some time, they assured me that every verified applicant would receive their grants in the upcoming phases. Their patience is greatly appreciated as they work diligently and fairly to process all applications, she explained. The phased distribution strategy is intended to carefully evaluate each application and provide proper consideration.
In December of 2023, the Federal Government unveiled the Presidential Conditional Grant Scheme (PCGS) aimed at supporting small nano businesses under the larger Presidential Palliatives Programme. Small business owners in sectors including trading, food services, ICT, transportation, creative, and Artisans can benefit from financial grants through the Trade Grant Scheme. The scheme, set to begin on March 9, 2024, provides funding without the need for repayment. She emphasised the vast potential of the program to make a significant impact on communities across the country.
All local government areas will benefit from this initiative.
This initiative aims to reach a diverse audience by focusing on providing services to different groups, as 70% of their efforts are directed towards women and youth, 10% towards people with disabilities, and 5% towards senior citizens. The last 15% is dedicated to catering to other demographics. The Minister announced that each beneficiary will receive the grant directly deposited into their account. This initiative aims to support one million small businesses across the 774 local government areas and the six council areas in the Federal Capital Territory .
Government support plays a critical role in fostering the growth and success of nano businesses in Nigeria. One of the key importance of government support is in providing financial assistance and grants to help nano businesses overcome funding challenges. The high costs associated with research and development, product commercialization, and scaling up operations can be daunting for nano entrepreneurs. Government support in the form of funding can provide a much-needed boost to these businesses, enabling them to access the resources and expertise necessary to compete in the market.
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Their support can facilitate the development of Infrastructure such as research centres, testing facilities, and incubation spaces specifically tailored for nano businesses. These facilities are essential for conducting research, testing prototypes, and scaling up production in a controlled environment. By investing in infrastructure, the government can create a supportive ecosystem that enables nano businesses to thrive and innovate, ultimately driving Economic Growth and job creation in the nano industry. Government support can help in creating a conducive regulatory framework that encourages Innovation and entrepreneurship in the nano sector.