The Kwara State Government and the National Economic Reconstruction Fund (NERFUND) have approved the release of N500 million to assist Small Scale Enterprises (SMEs) in the state.

The state's Commissioner for Commerce and Cooperatives, Alhaji Saka Omimago, said this in an interview with newsmen in Ilorin.

According to him, governor Abdulfatah Ahmed has provided the sum of N250 million while NERFUND will provide the balance.

He explained that the fund would be disbursed in two phases of N250 million each through 10 micro finance banks already identified by government.

Onimago said the SME loan was to empower artisans, market women, youths and other professionals who may not have access to funds to improve their businesses.

The commissioner said that government officials, including the Senior Special Assistant to the Governor on SMEs, Alhaji Lukman Adams, had earlier on Tuesday met with chief executives of the selected micro finance banks.

He appealed to the banks to cooperate with government to ensure the success of the initiative so that the funds could be accessed by the beneficiaries.

Onimago, however, warned beneficiaries not to see the loan as largesse as the ministry would ensure total recovery of the loan.

Also speaking with newsmen, Mr. Oludare Adewale, the Managing Director of Apex Micro Finance Bank, Ilorin, gave an assurance that the selected micro finance banks would ensure the success of the initiative.