SMEIS:Small and Medium Industries Equity Investment Scheme is a volantry initiatives of the bankers committee whose membership inclyudes all managing directors and chief executive officers (MD/CEO's) of banks in Nigeria,which requires all licensed banks in Nigeria to set aside 10% of their profit before tax (PBT)for equity investment in and promotion of small and medium enterprises(SME's).
SMEIS is intended to stimulate economic growth and development,develop local technology and generate employment.As at May 2003,the paticipating banks for equity investment under this scheme have set aside about #18.3bn for alternative approach to financing SME's.
The goal of this scheme is to reduce SME's borowing and consequent relieve them from interest and other bank charges that are not favourable to their capital structure.It also espouses the provision of finacial,advisory,technical and managerial support to SME's by banks.
I hope to discuss operational modalities of SMEIS in my next posting.
Patronize it!it is your opportunity to grap.
Salam
Buzuzu I agree entirely with your analysis. I will add this to it.
Nigerian people are greedy and that extends to the banking system, govt and the law enforcement.
We usually do not implement law meant to make our lives comfortable.
Take for instance what Muhammad Bulama( Bank of the North MD) did. He, alone, siphoned .6billion Naira from the bank that was meant to be disbursed as loans to farmers. What this indicates is this, even with the hyper inflated salaries this CEO's earn, they tend to creep into that 10% kitty left for the middle class.
It is this kind of wickedness that has to stop for us to realise our dreams.
Bissalam
Amin,
Assalamu alaikum,
It is obvious the level of greddiness in our leaders and elders alike,how ever we have every opportunity to go against such once we set up our minds not to immulate them and show them clearly that it is detrimental to our future which they seems to care less about.
The issue of Bulama is entire different from this context.It was indeed unfortunate,however so many MD's have crashed so many banks ,i hope they too will be brought to book.
SMIEIS is Islamic in otientation as such we should utilize it to the fullest and see it as a means propagating Islamic ethics.
Please, until you discuss the operational modalities of SMEIS in your next posting before one can really comment. Avail us.
Is it really an opportunity to grap?
Ok dan mutan zazzau!
Soon as the CBN ratify it shall i post.