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Job creation: Ondo Govt partners micro finance banks to empower residents

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Ondo State Government has partnered with micro finance banks to create job  for its residents through loan facilities.

Prince Robert Omogbeminiyi, the Chairman of Ondo State Micro Credit Agency ( OSMA), said this during a meeting with National Association of Micro Finance Banks( NAMB) on Monday in Akure.

Omogbeminiyi, who is also a Senior Special Assistant ( SSA) to the state governor on Micro Credit,Small and Medium Enterprises, said that the agency could not do it alone, hence the need for the collaboration.

He added that OSMA allowed flowing resources  to the state residents which was vital to job creation.

According to him, the best way to create job is to give financial empowerment to artisans, youths and people that are enterprising so that 90 per cent of loan will meet its targets.

The OSMA chairman said that involvement of micro finance banks would make any disbursed loans secured and beneficiaries of laons could have access to professional advice on their businesses.

“Henceforth, before we give loan, such applicant must convince us his business targets and in collaboration with micro finance banks, there will be monitoring and evaluation team on regular basis.

” If you pay within one year, you are entitled to increase of 100 per cent,” he said.

Earlier, Mr Joshua Folayemi,the General Manger of OSMA, noted that the agency’s statutory function was to assist those with good business initiatives but lacked wherewithal to executive their plans.

Folayemi added that the agency’s loan disbursement interest rate was single digit.

He, however, said that the major challenge facing the agency was issue of recovering outstanding loans and subsequent ones, hence need to collaborate with MFBs because they had grassroots stand.

In his words, Mr Rogers Nwoke, the President of NAMB, said he was impressed that the state government was partnering with MFBs to discuss most effective ways to deliver micro credit  to people.

Nwoke added that empowerment was for economic growth, job creation, youth engagement, which he said a serious government would focus on.

According to him, micro finance banks remain strong with improved operations, capable of registering people of Banks Verification Numbers ( BVN) as at today.

” We think that this collaboration will succeed of taking government to grassroots and reduce poverty significantly .

“It will eliminate bottlenecks because when government agency and private sector come together, things move faster,” he stated.

“But if handled as private sector institutions,there is effectiveness because the institutions are in business for sustainability and profit and this will facilitate process more than when it is being done by government alone,” he stated.

The president, therefore,reposed his confidence in the agency’s chairman, saying he is versed in banking industry, vibrant and issue-compliant.

Mr Mascot Ohizemokhai, Chairman of National Association of Micro Finance Banks, Ondo State chapter, said that the collaboration would fathom ways forward for micro credit effectiveness.

Ohizemokhai added that it would further empower people of the state so that there would be economic development and emancipation.

He applauded present executive members of OSMA,describing them as evidence of professionalism, vibrancy and total departure from past erring.

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