Since he came on board as the governor of Kwara State, Alhaji Abdulfatah Ahmed has made poverty alleviation a key part of his initiatives aimed at catalysing the economic growth of the state, writes Biola Azeez.

A school of thought is of the view that government has no business in business, particularly when issues of effective socio-economic development of a society are in contention. The proponents of this view say that government only needs to create, sustain and ensure a congenial atmosphere and the infrastructure necessary to encourage the private sector to develop the economy. This means, then, that it is really the business of the private sector to grow the economy.

The argument is further brought forward with the fact that private sector organisations such as small and medium enterprises (SMEs) are believed to be major contributors to the development of the world’s most advanced economies.The SMEs, which include those in trading, artisans, poultry business and the rest, are believed to stimulate economic activities, create jobs and contribute to the growth of the society, particularly in the developing countries.

Acting on the above premise, the present administration in Kwara state has said it is determined to accelerate the capacity of SMEs to become major players in the economy of the state. Speaking at the flag-off ceremony of the state’s micro-credit intervention loan scheme for market men and women, artisans and SMEs, including the presentation of N250 million cheques in the first phase of the N500 million loan scheme, Governor Abdulfatah Ahmed said the occasion was highly symbolic, as it demonstrated his administration’s efforts to create shared prosperity through the empowerment and development of Small and Medium Scale Enterprises (SMEs).

"It also underlines our determination to strengthen the capacity of the private sector to drive economic development of our dear state.Towards this end, we are building the capacity of cooperative societies to serve as the platform for the development of the SMEs sector", he averred.

The governor, who said that the beneficiaries of the scheme were selected following rigorous analyses of applications and conduct of due diligence on cooperatives, added that his administration has set aside a sum of N500 Million to be disbursed as loans to SMEs through registered cooperative societies. "To this end, 10 microfinance banks have been identified for the administration of the loan scheme for easy and effective management as well as the quick recovery of loans," he said.

Consequently, those into SMEs were advised to join or form cooperative societies to qualify them to benefit from the revolving loan scheme. Ahmed also said that the programme was a unique opportunity for qualified small businesses and their promoters to economically empower themselves and others, urging the beneficiaries of the fund to ensure its effective use for productive ventures.

"You should utilise the loan for business activities that can create prosperity through youth job creation and entrepreneurship, as well as improvement in the welfare of the people of Kwara State.

"Similarly, you should adhere strictly to the agreed repayment schedule for the benefit of other applicants and the sustenance of the scheme".

Also speaking, the state Commissioner for Commerce and Cooperatives, Alhaji Sakariyah Onimago, said the loan scheme was an important instrument in the mobilisation of human resources at the grass-roots level, serving as a spring board for economic growth and development.He said the programme testified to the commitment of the present administration's commitment to encouraging entrepreneurship development, poverty alleviation and wealth creation for the state.

The commissioner said that cooperative organisations all over the world had played significant roles in the socio economic development of countries and states in wealth creation and ensuring significant turn around in the living standards of the citizenry. He also described the revolving loan as a unique and enviable measure at delivering the dividends of democracy.

Alhaji Onimago, who said the 10 micro finance banks were selected to manage the disbursement of funds to beneficiaries in order to ensure integrity, transparency and accountability, added that the microfinance banks would also ensure proper allocation of account numbers, monitor loan performance of potential beneficiaries, as well as provide monthly and quarterly reports. He, therefore, advised the beneficiaries of the scheme and cooperative societies to make good and adequate use of the loans to ensure the growth of their businesses and wealth creation through medium scale enterprises, urging them to reciprocate the good gesture of the state government by repaying promptly.

In separate interviews with some of the beneficiaries, they expressed gratitude to the state government, saying that the programme was capable of alleviating poverty in the land. Madam Amope Abdulazim of Okelele in Ilorin, who said she was planning to use the revolving loan to set up fish farming, expressed optimism that her days of economic dependence were over.

While many were quick to express fear over repayment of any government revolving loan by beneficiaries, particularly in a democratic setting, they lauded the determination of the state government to improve the socioeconomic lives of the people.