Odita Sunday 
ASABA – In a major move to stimulate local economic growth, the Delta State Government has signed a Memorandum of Understanding (MoU) with the Bank of Industry (BoI) to manage a ₦1 billion revolving loan fund dedicated to Micro, Small, and Medium Enterprises (MSMEs).
Governor Sheriff Oborevwori, speaking during the signing ceremony at Government House, Asaba, described the initiative as a cornerstone of his administration’s “MORE Agenda,” focused on job creation and sustainable development.
The fund, which was approved by the State Executive Council in 2025, aims to solve the perennial challenge of high borrowing costs for small-scale entrepreneurs. Key highlights of the loan scheme include:
- Single-Digit Interest Rates: Providing affordable capital to traders, artisans, agro-processors, and small-scale manufacturers.
- Revolving Structure: The ₦1 billion is a revolving fund, meaning recovered loans will be redistributed to new eligible beneficiaries.
- Managed by Experts: The Bank of Industry was chosen for its proven track record in credit appraisal and business support services.
Governor Oborevwori emphasized that while the state continues to offer grants, this loan-based model is designed to instil financial discipline. “When you keep giving grants without structure, some beneficiaries may not value the funds. This model will help entrepreneurs appreciate the value of money, invest wisely, and grow sustainably,” the Governor explained.
He clarified that this initiative complements rather than replaces existing empowerment schemes, and noted that the timing—January—is strategic as business owners look to rebuild and expand for the new year.
The Governor expressed optimism that if the initial ₦1 billion is managed with integrity and demonstrates clear impact, the state is prepared to scale the fund significantly. “This is a starting point. We can scale it to ₦10 billion, ₦20 billion, or even ₦30 billion,” he declared.
The Managing Director of the Bank of Industry, Dr. Olasupo Olusi, lauded the partnership as a strategic step toward unlocking the state’s economic potential. He reaffirmed the BoI’s commitment to translating the state’s policy priorities into practical financing solutions that help businesses remain competitive and innovative.
The partnership is expected to build a more resilient private sector in Delta State, creating a ripple effect of employment and long-term prosperity.
About the Author
