FG to roll out interest-free loans for farmers, small businesses

The Federal Government has announced plans to begin disbursing interest-free loans to smallholder farmers and micro-businesses across Nigeria before the end of 2025.

National Programme Manager of the Government Enterprise and Empowerment Programme (GEEP), Hamza Ibrahim Baba, disclosed this on Friday in Kaduna during an engagement with traders’ associations and stakeholders in the informal business sector.

According to him, beneficiaries will access up to ₦100,000 under the FarmerMoni scheme to support poultry, aquaculture, livestock rearing, and crop production.

A six-month moratorium will be granted before repayment begins.

“The funds will enable farmers and small-scale business owners to acquire inputs such as fertilisers, livestock, veterinary drugs, and other critical tools,” Baba said.

He explained that the scheme, domiciled in the Ministry of Humanitarian Affairs and Poverty Alleviation, is one of the flagship initiatives under the National Social Investment Programme (NSIP).

It provides collateral-free, interest-free loans to micro-enterprises, petty traders, artisans, youth entrepreneurs, and farmers to drive financial inclusion and job creation.

Baba noted that GEEP runs three main schemes: TraderMoni (for youths in petty trades), MarketMoni (for women in small-scale businesses), and FarmerMoni (for rural farmers).

Loan amounts range from ₦5,000 to ₦100,000, depending on the scheme.

“These are not grants; they are loans, but interest-free.

“The goal is to empower Nigerians at the bottom of the pyramid to grow their businesses, integrate into the formal financial system, and create jobs,” he stated.

He urged traders’ associations and cooperatives to collaborate with GEEP Desk Officers and field enumerators in all 774 LGAs to ensure transparency and proper targeting.

“The success of this programme depends on reaching those who genuinely need support, not those looking to exploit the system,” he warned, adding that the Tinubu administration was committed to expanding GEEP, with the pilot farmer scheme laying the groundwork for a nationwide rollout in 2026.

Baba also acknowledged the contributions of previous governments since GEEP’s inception in 2016, while praising ongoing reforms to strengthen accountability.

In separate interviews, some beneficiaries expressed appreciation.

Hauwa Musa said the loan had helped her expand her business, while Mallam Umar Usman expressed hope of benefiting from the next phase of GEEP 3.0.

Market leaders and stakeholders also commended the initiative and pledged to work with officials to ensure fair and transparent distribution.