Thursday, 27 October 2016

CBN Approve Benue Microfinance Bank

The Benue Government has said plans were underway to create 2000 jobs for the unemployed through the establishment of a microfinance bank in the state.

Speaking to the News Agency of Nigeria (NAN) on Wednesday in Makurdi, the Managing Director, Benue Investment and Property Company (BIPC), Mr Jack Mulya, said the initiative was to boost job creation and reduce poverty in the state.

Mulya said necessary approvals for the banks’ take off had been given by the Central bank, assuring that its business activities would commence before the end of the year.

He said the bank, which would have an initial capital base of N150 million, would have branches in all three Senatorial districts of the state with one at the headquarters of the investment company.

“We intend to have initial staff strength of 200 people in the short run and 2000 in the long-run.”

He said a feasibility study had already been conducted on the suitability of the areas for the bank’s branches.

Mulya assured that the bank would be run professionally with the mindset of turning it into a commercial bank to replace the former Lobi Bank, owned by the state, but liquidated by Nigeria Deposit Insurance Company in 1999.

He said the bank would provide several benefits to the people including the provision of micro credit facilities which had been inaccessible to them.

NAN reports that apart from Gboko and Makurdi Local Government Councils with microfinance banks, the remaining 21 local governments, including commercial towns like Katsina-Ala, are yet to have microfinance institutions.

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