The Delta State Government has launched a ₦1 billion revolving loan fund for Micro, Small and Medium Enterprises (MSMEs) and signed a Memorandum of Understanding (MoU) with the Bank of Industry (BoI) for its management.
The MoU was signed on Tuesday at Government House, Asaba. Governor Sheriff Oborevwori described the initiative as a major milestone in his administration’s effort to promote inclusive growth, job creation, and sustainable economic development under the MORE Agenda.
According to the governor, the loan fund, approved by the State Executive Council in 2025, was designed to tackle the persistent challenge of limited access to affordable finance faced by MSMEs, which he described as “the backbone of the economy.”
He explained that the programme would provide traders, artisans, agro-processors, and small-scale manufacturers access to capital at single-digit interest rates. This, he said, would help them expand their operations, create jobs, and contribute more meaningfully to the state’s economy.
Governor Oborevwori emphasized that the ₦1 billion fund is strictly a revolving loan and warned that repayment must be made promptly to allow other entrepreneurs benefit from the initiative. “This responsibility is non-negotiable and must be handled with diligence and integrity,” he stated.
He noted that the Bank of Industry was chosen to manage the fund because of its proven record in development finance, credit appraisal, and business support. The partnership, he added, extends beyond funding to include training and capacity building for beneficiaries.
While acknowledging the importance of grants, Oborevwori cautioned that over-reliance on them could weaken accountability. He said the loan model would encourage financial discipline and long-term business sustainability. He also clarified that the initiative would complement existing empowerment programmes, not replace them.
The governor revealed that the official launch, initially scheduled for December, was moved to January to allow for greater impact, as many entrepreneurs focus on business planning at the start of the year.
Looking ahead, he said the fund could be expanded significantly if managed effectively. “If properly handled, we can scale it up to ₦10 billion or even more,” he hinted.
BoI Managing Director, Dr. Olasupo Olusi, described the partnership as a strategic step toward deepening enterprise activities and driving sustainable economic growth in Delta State.
Olusi added that the revolving loan fund aligns with the Bank’s mission of turning government policies into practical financing solutions and strengthening collaboration with state governments. He commended the Delta State Government for its commitment to empowering MSMEs and supporting a resilient private sector.
