Adeleke launches N3.4bn revolving cooperative loan scheme

Gov. Ademola Adeleke of Osun on Wednesday launched the “State Special Ward Level Cooperative Loan Programme”, with the aim of providing N3.436 billion revolving loan to cooperative societies in the state.

Adeleke, while launching the programme in Osogbo, said the loan would be provided in three phases of N1.145 billion per phase, with a total target of 45,816 beneficiaries.

“As a government that fulfils electoral promises, our gathering here is to ensure loans of various categories are disbursed to registered cooperative societies to grow their business and expand the state economy.

“I am to reconfirm to our people again that this government is committed to boosting the local economy, relieving the pains of the people and deepening the state GDP.

“We are operationalising 332 cooperatives in each of the 332 wards in Osun State and our target is to have 46 beneficiaries per ward, making a total of 15,272 beneficiaries.” he said

He said the funding for the programme would be provided in three instalments of N1,145 400,000 for each phase.

“This will make a total of N3, 436, 200,000 for the planned three phases for a total number of 45,816 beneficiaries,” the governor said.

He said the loan is meant for both men and women traders and artisans, and that the phases two and three of the programme would each have the same number of beneficiaries.

Adeleke said the condition to access the loan is that each beneficiary must belong to a trade association with a letter of character attestation to be provided by each beneficiary from his or her trade association before disbursement.

He charged beneficiaries to ensure the sustainability of the loan scheme by making the system a revolving scheme and trying as much as possible not to default in repayment.

He urged them to put the fund into productive business to achieve the goal of wiping out poverty from the state.

In his address of welcome, Mr Bayo Ogungbangbe, Commissioner for Cooperative and Empowerment, said the cooperative loan disbursement will take place in the nine Federal Constituencies in the state.

Ogungbangbe explained that the first phase of disbursement will start from Osogbo, Iwo and Ilesa Federal Constituencies.