Daily Trust - the online edition

Plans have reached advance stage in establishing eleven micro finance banks in Gombe State.

This is in line with the Federal government policy of improving small and medium scale enterprises in collaboration with cooperative societies.

Revealing the workability of the conceived plan by the state government during the occasion of loan disbursement by the State Cooperative Federation, the Commissioner for coope-rative and community development, captain Akula Bula (rtd), represented by the permanent secretary of the Ministry, Mr. Raymond Masam said, in each of the local government area a coalition of cooperative societies would be expected to pool their resource together toward raising the stipulated capital base.

According to him, the required capital base for establishing micro-finance bank was N20 million, out of which the cooperative associations were expected to make a counter fund contribution of 25% of the targeted capital base while the remaining balance would be squired up by the federal government.

Responding, the State Chairman of the Cooperative Federation (mother body of cooperative societies in the state), Mallam Suleman Muhammad stated that the wisdom behind the loan disbursement to the affiliate cooperative societies was to find a way of fast tracking business activities in the state as well as to improve upon funds meant for lending for enhancing individual members’ socio-economic well-being.

The five affiliates qualified for the loan upon a payment of 25% of the amount of the required, the beneficiaries were to benefit from two months moratorium upon which the loan was to be service within the period of ten months.

Shedding light on how the cooperative federation generates fund, the chairman said, the society was into other businesses that involved transportation, shares and bonds and other entrepreneur activities.

Those benefited from the scheme include, Albishir multi-purpose cooperative, Sa’a multi- cooperative society and Gombe sample multi-cooperative society, each was to enjoy the sum of N600, 000 respectively.

Others are Bajoga , Magaba and Lakotrum cooperative multi-purpose societies to access N600, 000 whereas Nasara multi-purpose to enjoy N 400, 000.

Speaking on behalf of the beneficiaries, the Chairman of Sa’a multi-purpose, Abubakar Usman said, the loan would be used judiciously and repayment would be prompt, so as to enable others in the queue to benefit, too.