TheCable

Nnamdi Okonkwo, managing director of Fidelity Bank, says the bank has disbursed N2.5 billion to 500 small and medium enterprises (SMEs).

At a press conference in Lagos on Wednesday, Okonkwo said the money was part of the loan from the Central Bank of Nigeria (CBN).

“SME banking is in our DNA, giving people money does not solve the problem,” he said.

“Empowering the youth discourages crimes and enhances GDP growth. ERGP is not only when government shares money to people, it is also supporting youth growth aspirations and it is in the best interest of the economy

“Fidelity has supported over 500 SMEs, we’ve disbursed N2.5 billion of loans and we have gotten repayment of about N1.8 billion.

“The notable thing is that we have not recorded any non-performing loans there and this speaks to the quality of advisory services that our people have been able to give.”

The apex bank had made a single digit interest loan available to interested entrepreneurs in the agricultural, manufacturing, renewable energy sector and artisans with the possibility of tendering educational qualification certificates as collateral.

He announced that the bank would be partnering with the Africa’s Young Entrepreneurs (A.Y.E) to increase the opportunities available to SMEs in the country.

Speaking at the event, Summy Smart, A.Y.E president, said entrepreneurship is the solution to Africa’s problem and that some African start-ups have “miscarriages” because they can not access the finance needed.

He also said banks were a part of the problem with the various charges deducted from accounts belonging to entrepreneurs.