The International Finance Corporation (IFC) has signed an accord with the Grooming Centre to sustain micro and small businesses in the country with a total of N650 million.
Specifically, the fund is intended at increasing access to finance for up to 780,000 micro-enterprises by 2018. The development is also projected to advance financial addition, promote job creation and growth in Nigeria.
IFC’s local currency loan would help the Grooming Centre offer improved financial services to economically active low income earners involved in small-scale trading and productive microenterprises.
Subsequently, the Grooming Centre would use the fund to reach entrepreneurs in more than half of the 36 states in the country, including those in isolated rural areas largely unattended by other lenders.
Dr. Godwin Nwabunka, the CEO of Grooming Centre said: “Grooming Centre’s mission is to empower the economically active low income earners by bringing an array of tailor-made microfinance services to their threshold, using globally-tested best perform methodologies. Our affiliation with IFC will help us buttress the microfinance market in Nigeria, broaden our coverage on a sustainable basis, and generate greater income for our members.”
The Grooming Centre grants access to finance for entrepreneurs at the lower level of Nigeria’s economic pyramid. It currently provides as low as N30, 000 loans to over 300,000 member clients. The organisation had built a N7 billion loan portfolio and employs over 1,200 people.
“In microfinance, IFC is a principal investor in Africa with a fast-growing, well-performing portfolio of equity, debt and advisory projects. IFC’s portfolio includes investments in 26 microfinance institutions in 12 countries in Africa,”