By Abdallah el-Kurebe
Sokoto state governor, Aminu Waziri Tambuwal has appealed to financial institutions to make downwards review of interest rates charged on small scale businesses in order to fast track their growth.
He made the call on Wednesday when he received the Managing Director of the United Bank for Africa (UBA) Plc, Mr Ken Uzoka at the Government House.
Tambuwal observed that the prevailing interest rates being charged by banks were hurting small businesses in the country and should be reviewed to enhance growth and economic stability.
He added that the high interest rates were denying many individuals and small-holder entities access to loans, thereby limiting their ability to expand.
“I want to urge banks in the country, and especially the Central Bank of Nigeria (CBN), to look into this problem because many small and medium scale enterprises have gone under due to lack of access to finance.
“The ones that have struggled to stay afloat find it hard to expand. So the banks should look inwards and introduce policies that will, at the end, provide a win-win situation for them and their customers.
“I am not saying you should give loans that are not sustainable, but within the operating environment, a common ground could be reached that will help to stimulate growth in the economy,” Tambuwal said.
While commending the bank for its corporate social engagements in the state, he stressed that the state government had long standing relationship with UBA Plc.
Responding, Uzoka said his organisation had impacted on the lives of many through its 3Es intervention bordering on education, environment and empowerment.
He pledged to always put the customers first while improving on its corporate social responsibility.
