AMEN urges FG to create special window for micro entrepreneurs

The Association of Micro Enterprise of Nigeria (AMEN) has urged the Federal Government to create a special window for micro businesses in its new Development Bank of Nigeria.

According to them, the window will provide a platform where micro businesses can easily access government funds made available to operators of small businesses in the country.

“We want the government to create a special class for micro businesses in the new development bank so that we can easily access funds needed to grow our businesses,” said Prince Saviour Iche, national president, AMEN, during a press briefing in Lagos recently.

“We do not benefit from most of the funds provided for small business because we are subjected to the same requirements with small and medium businesses. We want our own class so that we can access these funds easily,” Iche said.

He also urged the government to ensure that the proposed DBN have branches in all 774 local governments areas in the country to ensure effective and efficient delivery of services to micro businesses which is at the grassroots level.

Micro business owners struggle to access finance to expand business as they are usually faced with problems of collaterals, high interest rates, extra bank charges, inability to evaluate financial proposals and limited financial knowledge, among others, experts say.

Depsoit money banks prefer to lend to medium and large enterprises owing to credibility and identity issues.

“Before, most micro entrepreneurs gets loan from micro finance banks. But now, the micro finance banks do not finance micro businesses like before. This leaves us with only government funding,” he said.

The national president stated that finance remains the biggest challenge confronting micro operators in the country, adding that with adequate finance micro businesses can boost the country’s economic growth.

He called on the government to address foreign exchnage issues to curb rising prices of raw materials. Iche noted that production cost for businesses operators is on the increase with consumer not willing to pay more for the services.

Josephine Okojie