By Modupe Gbadeyanka
A funding package of about N5 billion meant to support the education sector has been launched by the Lagos State government in collaboration with First Bank of Nigeria Limited.
The loan is to assist schools in the state to mitigate the negative impact of the coronavirus disease (COVID-19), which forced many schools to be shut for about six months.
Business Post gathered that the loan would be given to low-cost private schools and vocational education centres across the state through the Lagos State Employment Trust Fund (LSETF).
It was stated that the loan scheme will be provided to two categories of applicants, which are Micro-Enterprise (ME) and Small and Medium Enterprise (SME). Those in ME category will receive a sum of not more than N500,000, while those in SME will get N5 million.
Applicants will be expected to submit their applications via the LSETF portal for screening, while details of the successful applicants will be passed on to First Bank for appraisal and disbursement.
Governor of the state, Mr Babajide Sanwo, expressed optimism that, “With access to low-cost funding for privately owned schools and vocational training centres in the state, we are confident that this programme will help accelerate sustainable and painless return to world-class learning and skills acquisition of our young population.”
According to him, “As a responsible Government, we are obligated to provide an intervention that would enable learners in these schools’ study in line with the new normal.”
He further said the credit facility would help the targeted beneficiaries accelerate recovery and give them an opportunity of a painless return to regular life.
“It is no longer debatable that education is one of the sectors that are severely impacted by the COVID-19 pandemic, with schools and vocational learning-centres shut since March when we took the tough decisions meant to disrupt the spread of the virus.
“Given the incidence of the closure of schools in response to the pandemic, it would not be out of context to note that the challenges presently faced by these schools would increase significantly,” he submitted.
Mr Sanwo-Olu emphasised that the beneficiaries will have access to single-digit loan facilities to fund the provision of the amenities and services needed to aid learning.
“It is thus heart-warming to have First Bank of Nigeria electing to be our exemplary partner for this intervention. With their support, players in the education sector would be getting the financial support they need to boost learning at a single-digit interest rate.
“I also commend the board of LSETF and the management for this significant accomplishment. They have helped the Lagos State government build an institution that has engendered public trust and elevated the hope of small businesses and young people, irrespective of challenges faced,” he said.
Speaking on how to access the loan, the Chairperson of the LSETF board of trustees, Mrs Bola Adesola, said schools with a minimum of 100 students and have been in operation for, at least, a year, are the ones qualified for the loan facility.
The CEO of First Bank, Mr Adesola Adeduntan, while speaking, explained that the N5 billion loan will be given to “about 2,000 low-cost private schools in Lagos.”
Adedapo Adesanya 
Dipo Olowookere