Business

Stanbic IBTC Offers Pragmatic Loan Solutions To SMEs

Published

3 years ago

December 20, 2021

AJAGBE ADEYEMI TESLIM

SPONSORED BY: H&H

Stanbic IBTC Holdings PLC, a member of Standard Bank Group, is now offering pragmatic loan solutions to Small and Medium Enterprises (SMEs) in Nigeria.

The introduction of this loan offer essentially complements the bouquet of product offerings by Stanbic IBTC, as it aims to be the leading end-to-end financial solutions provider in Nigeria.

The creation of this credit solution is geared towards encouraging SME growth in an ever-evolving economy. SMEs are the backbone of most economies, particularly in developing countries. These enterprises account for many businesses in nations as they are significant contributors to job creation and economic development.

In Nigeria, SMEs contribute over 48 per cent to the national gross domestic product (GDP) and account for about 96 per cent of businesses, which in turn creates about 84 per cent of employment in the 36 states and the Federal Capital Territory (FCT).

Despite the substantial contribution of SMEs to the Nigerian economy, challenges still abound that hinder the growth and development of the sector. These challenges include limited access to capital and financing, inadequate public infrastructure, and recently, the COVID -19 pandemic. The pandemic caused several distortions to the economic framework of the country, causing several startup businesses and SMEs to fold up.

Furthermore, the Nigerian business terrain is very challenging. According to a World Bank report, Nigeria ranked 131 out of 189 countries in the 2020 Ease of Doing Business index. In addition, access to finance is a key constraint to SME growth.

These challenges have driven Stanbic IBTC to introduce the SME short term loan facility. The SME loan is aimed at augmenting working capital to finance various business projects and bridge urgent cash flow needs.

This initiative enables SMEs to take loans with ease and convenience. It also offers benefits which include repayment flexibility and limited documentation with no collateral. The ease of accessibility to funds is worthy of mention, as this solves one of the key issues facing small and medium scale businesses in Nigeria which is access to adequate funding. The temporary overdraft provides financial credits to both new and existing customers within 24 hours, with a maximum loan repayment duration of 90 days.

The loan solution offers speedy, robust funds to prospective customers, including entrepreneurs, who are seeking urgent funds or temporary overdrafts to cater to their commercial needs.

Stanbic IBTC is positioning itself to support SMEs to enable aspiring and emerging entrepreneurs in Nigeria sustain their businesses while also facilitating the development of an enabling business environment and thriving ecosystem.

The organisation has continued to encourage economic integration by providing incentives for SMEs, which will hopefully foster a better business environment in Nigeria.

Speaking on the essence of the product to SMEs, Ayodele Ojosipe, Head, Enterprise Banking, Stanbic IBTC Bank PLC stated that the product was created for SMEs that require financial assistance for commercial transactions as well as their day-to-day business transactions. He said, “One major issue for SMEs is access to funds that aid the growth of their business and because at Stanbic IBTC, we understand how important funds are to the success of any business, we came up with this offering to ease the aftermath of the pandemic”.

With the SME temporary overdraft, SMEs will not be pressured to remit the loan immediately, as the repayment plan is flexible and is based on the cash flow of the enterprise. This creates some form of stability for the enterprises, which will, in time, bolster the financial sector and improve the Nigerian economy in general.

Another remarkable feature of the SME short term loan is its convenience. Regular loans usually require cumbersome documentation, including loan purpose papers and collateral. However, obtaining this loan requires minimal documentation; making it easy for SMEs to access funds for necessary costs and other business activities.

The SME loan solution further reaffirms Stanbic IBTC’s desire to harness the strong entrepreneurial culture of Nigerians by providing quality financial services to its customers.

This approach by Stanbic IBTC is a breath of fresh air for small and medium scale enterprises, whose business dynamics are an important driver of productivity and growth in any economic system.

Business

BUA Industries secures US$200 million Facility from Afrexim Bank to support Expansion Plans

Published

3 days ago

November 12, 2024

august24admin

BUA Industries secures US$200 million Facility from Afrexim Bank to support Expansion Plans

AJAGBE ADEYEMI TESLIM

SPONSORED BY: H&H

African Export-Import Bank (Afreximbank) has approved a US$200 million Corporate Finance Facility in favour of BUA Industries Limited to support its expansion plans.

BUA is a Nigerian conglomerate with diversified business interest spanning across, sugar and cement manufacturing, flour milling, oil milling, port logistics, real estate development, oil and gas, and shipping. The first tranche of $150 million was disbursed on October 16, 2024.

Speaking on the transaction, Abdul Samad Rabiu, CFR, CON, Chairman of BUA, said that the $200 million corporate finance facility from Afrexim Bank, marks a crucial step in BUA’s commitment to industrialising Nigeria’s manufacturing, infrastructure and energy sector for local use and export. “With Afreximbank’s support, BUA can increase investments to strengthen industrial capacity and meet regional demand. Our goal is sustainable growth that boosts Nigeria’s self-sufficiency and Africa’s global trade presence, creating jobs and building economic resilience,” he said

Commenting on the transaction, Mrs. Kanayo Awani, Executive Vice President, Intra Africa Trade and Export Development, Afreximbank, said that the facility would provide critical financial support to a leading Nigerian conglomerate as it pursues its expansion plans, thereby boosting its industrial base and Nigeria’s export manufacturing capacity.

“We are delighted at this partnership, which promises to deliver significant impact through job creation, import substitution, and export diversification – thereby boosting Nigeria’s Gross Domestic Product (GDP).”

Over the past decade, BUA has solidified its reputation as one of Africa’s fastest-growing and reputable companies with business interests spanning critical sectors of the African economy. With its headquarters in Lagos, Nigeria, BUA has expanded its business operations in the past few years to take advantage of the African Continental Free Trade Area through exports.

.About BUA Group

Established in 1988, BUA Group is one of Africa’s largest diversified groups operating out of Nigeria with its key interests in foods, mining, manufacturing and infrastructure. Its vision is to unlock opportunities that will drive sustainable development whilst providing value to all stakeholders and the African continent. The Group’s investments span the following sectors: Cement, Sugar, Flour, Pasta, Steel, Rice, Real Estate, Energy, Logistics, Ports and Terminals with a core focus on building local manufacturing capacity to generate employment, and provide high quality products and develop the African continent. www.buagroup.com

Business

Zenith Bank Says It Now Has best IT infrastructure After Successful Upgrade, Commends Customers

Published

1 week ago

November 6, 2024

august24admin

Zenith Bank Says It Now Has best IT infrastructure After Successful Upgrade, Commends Customers

AJAGBE ADEYEMI TESLIM

SPONSORED BY: H&H

Zenith Bank Plc has announced that it now boasts the best technology infrastructure in the banking industry, positioning itself to provide an exceptional customer experience and superior service delivery moving forward.

This upgrade follows a recent comprehensive technology enhancement.

The bank expressed its heartfelt gratitude to customers for their support and patience throughout the upgrade process, while also extending apologies for any inconveniences experienced during this time.

This announcement was made in a social media post on Wednesday, signed by Dame Dr. Adaora Umeoji, OON, the Group Managing Director/CEO.

In her message, the GMD/CEO emphasized the bank’s commitment to delivering an unparalleled service experience, stating, “We undertook this upgrade to ensure we can offer our customers the best possible service.”

Umeoji pledged that Zenith Bank will continue to innovate, ensuring that customer needs are met swiftly, safely, and conveniently.

The post read in part: “On behalf of the Board, Management, and Staff of Zenith Bank PLC, I would like to thank you for your patience and support during our IT infrastructure migration to a new and more robust operating system.

“We are truly grateful for the trust and confidence you have placed in us. The primary reason for undertaking this extensive endeavor was to better position Zenith Bank PLC for improved service delivery to all our valued customers and to create memorable banking experiences at all our touchpoints.

“While I regret the inconveniences and challenges you faced during and immediately after our migration, I am pleased to inform you that Zenith Bank PLC now has the best technology infrastructure in the industry. We are committed to ensuring you experience superior service delivery going forward.

“Rest assured, you remain our top priority, and Zenith Bank will continue to innovate and offer value-added products and services to meet all your banking needs quickly, safely, and conveniently.”

Business

Polaris Bank Clinches “Best Mobile App” Award at Digital Jurist Awards 2024

Published

1 week ago

November 5, 2024

august24admin

Polaris Bank Clinches “Best Mobile App” Award at Digital Jurist Awards 2024

AJAGBE ADEYEMI TESLIM

SPONSORED BY: H&H

Polaris Bank’s commitment to digital innovation and excellence has once again been recognized, as the Bank was awarded the prestigious “Best Mobile App” award for its renowned digital banking platform, VULTe, at the Digital Jurist Awards held October 31 at Eko Hotel in Victoria Island, Lagos.

This honor comes less than a week after Polaris Bank was named Nigeria’s Digital Bank of the Year for the fourth consecutive year, further solidifying its status as a leader in Nigeria’s digital banking landscape.

At the event, attended by representatives from all nominated companies, Polaris Bank’s VULTe app stood out among its peers, winning the hearts of users and the recognition of industry experts.

The Digital Jurist Awards Committee had nominated Polaris Bank in three categories: Best Website, Best Web Portal, and Best Mobile App.

The Bank’s innovative approach and customer-centric digital solutions have made it a formidable contender in each category, with VULTe’s win affirming the Bank’s continued drive to redefine digital banking in Nigeria.

Commenting on the the award, Polaris Bank’s Managing Director/CEO, Kayode Lawal expressed gratitude for the recognition and reiterated the Bank’s commitment to providing seamless, reliable, and secure digital solutions.

“This award continuously shows our dedication to delivering the best digital experiences to our customers. We will continue to push the boundaries of innovation to ensure that our platforms remain intuitive, accessible, and impactful,” he said.

Polaris Bank’s VULTe app has gained widespread acclaim for its user-friendly design, robust security features, and diverse functionalities, enabling customers to manage their banking needs from the comfort of their devices.

Winning the “Best Mobile App” award is yet another milestone in the Bank’s digital journey, reinforcing its position as a digital pioneer in Nigeria’s banking sector.

The Bank extends its gratitude to the Digital Jurist Awards Committee and its loyal customers for their continued trust and support.

Polaris Bank is committed to advancing digital banking in Nigeria, creating convenient, modern, and secure solutions that cater to the evolving needs of its customers.

Polaris Bank was adjudged Nigeria’s Digital Bank of the Year in 2024,2023, 2022 and 2021 and MSME Bank of the Year 2022, 2023 and 2024 in Business Day’s Banks and Other Financial Institutions (BAFI) Awards.