KASEDA has disbursed over N1 billion in interest-free loans to about 1,500 Micro, Small and Medium Enterprises (MSMEs) in Katsina State, a move aimed at expanding businesses, boosting economic activity and creating employment opportunities across the state.
The Director-General of KASEDA, Dr. Babangida Rumah, disclosed this while speaking to journalists on the sidelines of the agency’s pre-budget defence organised by the Katsina State Ministry of Budget and Economic Planning. He explained that the funding initiative is being implemented in collaboration with the Bank of Industry (BOI) and reflects the state government’s commitment to supporting entrepreneurs and strengthening the local economy.
More Beneficiaries Already Shortlisted for Next Disbursement
Rumah revealed that a fresh group of applicants had already been selected and would soon receive the next round of loan disbursements. He encouraged petty traders and owners of small businesses to register with KASEDA and apply, noting that adequate funds are available for qualified applicants.
The rolling disbursement is intended to deepen access to finance for small businesses, many of which rely on informal credit sources and often lack sufficient capital to expand. By offering loans without interest, KASEDA aims to ease the financial burden on entrepreneurs and allow them to invest more in their businesses.
Agency Expands Support Beyond Loans with Starter Packs
Beyond financial assistance, Rumah said the agency had distributed starter packs to members of the Nigeria Automobile Technicians Association (NATA) to improve their vocational skills and help them expand their businesses. He added that the intervention was designed to increase the beneficiaries’ capacity to generate employment while strengthening the state’s small business ecosystem.
The starter pack distribution is part of KASEDA’s broader strategy to support informal sector associations and improve the operational capacity of technicians and artisans, enabling them to deliver better services and increase their income potential.
Commissioner Calls for Mentorship Programme to Sustain Gains
Speaking earlier, the Katsina State Commissioner for Budget and Economic Planning, Malik Anas, urged KASEDA to complement its entrepreneurship training programmes with structured mentorship for young beneficiaries. He said mentoring would equip emerging entrepreneurs with the knowledge and business management skills needed to build sustainable enterprises.
Anas stressed that mentorship is vital to ensuring the government’s investments deliver lasting economic benefits. He noted that young entrepreneurs often face challenges such as poor financial management and limited business planning skills, making structured guidance necessary for their long-term success.
KASEDA DG Praises State Government’s MSME Focus
Rumah praised the Katsina State Government for prioritising investments in MSMEs, describing the sector as a major contributor to economic development, wealth creation and job opportunities. He reaffirmed the agency’s commitment to ensuring that the loan disbursement process remains accessible to qualified applicants across the state.
The KASEDA chief spoke as the agency prepares for the next round of disbursement to the already shortlisted applicants. With the continued collaboration of the Bank of Industry, KASEDA is positioning itself as a key driver of small business growth in Katsina State.
Such state-led MSME financing programmes are increasingly being used by sub-national governments in Nigeria to channel affordable credit to small businesses. They are regarded as important tools for reducing unemployment and stimulating grassroots economic activity.
