By Dipo Olowookere
A loan product to enable schools to meet their short-term financial requirements has been introduced by Stanbic IBTC Bank Plc.
A statement from the company, which is a subsidiary of Stanbic IBTC Holdings Plc, explained that the new product is for private primary, secondary and tertiary institutions.
The lender emphasised that credit facility is available to privately owned schools for the establishment, expansion or upgrade of primary and specialised facilities. It can also be used for short term working capital requirements.
“The school loan product is designed to support institutions which have been in operation for at least five years. We understand the current financial situation of the country, especially the effect of the pandemic, which has disrupted plans and processes.
“Stanbic IBTC will continue to provide solutions aimed at mitigating the effect of the pandemic on both individuals and organisations,” the Executive Director, Personal and Business Banking, Stanbic IBTC Bank Plc, Mr Remy Osuagwu, said.
After several months of physical and economic disruption due to the COVID-19 pandemic, schools are gearing up for proper resumption to contribute meaningfully towards national development continually. One of the apparent effects of the pandemic on the educational sector is the inadequacy of funds.
But Mr Osuagwu stressed that the school loan product is not restricted to the pandemic period as institutions can always apply for it.
He explained that the tenor of the loan ranges from 90 days to 48 months, and the minimum applicable loan is N1 million.
Adedapo Adesanya