The Federal Government is preparing to begin the disbursement of interest-free loans to smallholder farmers and small-scale business owners across Nigeria before the end of 2025. This announcement was made by the National Programme Manager of the Government Enterprise and Empowerment Programme (GEEP), Hamza Ibrahim Baba.

Speaking on Friday in Kaduna during a stakeholder engagement with representatives of traders’ associations and the informal business sector, Baba explained that the initiative aims to boost the livelihoods of grassroots entrepreneurs and farmers.

According to him, the loans—up to ₦100,000 per individual—fall under the FarmerMoni scheme of GEEP. This scheme is designed to support small-scale farmers engaged in poultry farming, aquaculture, livestock rearing, and crop cultivation.

“This initial phase will extend support to farmers and small business operators nationwide, including those in Kaduna State,” he said. “Beneficiaries will receive a six-month grace period before repayment begins to allow for production cycles. The funding will enable them to acquire necessary inputs like fertilisers, livestock, veterinary supplies, and essential tools.”

He noted that the programme is housed under the Federal Ministry of Humanitarian Affairs and Poverty Alleviation and forms part of the broader National Social Investment Programme.

Baba further explained that GEEP offers collateral-free, interest-free loans aimed at micro-enterprises, petty traders, artisans, young entrepreneurs, and farmers to expand their operations and promote financial inclusion.

GEEP comprises three main components:

TraderMoni, which targets young petty traders between ages 18 and 45;

MarketMoni, designed for women involved in small-scale trade; and

FarmerMoni, dedicated to supporting rural farmers.

“These are loans, not grants,” he clarified. “Though interest-free, they are meant to be repaid. The objective is to uplift Nigerians at the base of the economic pyramid, integrate them into the formal financial system, and ultimately enable job creation.”

He stated that the loan amounts range from ₦5,000 to ₦100,000 depending on the specific scheme. GEEP incorporates monitoring and evaluation systems to ensure accountability and sustainability.

Baba encouraged traders’ associations and cooperatives across the country to collaborate with GEEP Desk Officers and field enumerators in all 774 local government areas to ensure that deserving individuals are selected.

“The success of this programme relies heavily on transparency and accurate targeting,” he said. “We are determined to support those who genuinely need it, not opportunists.”

He also emphasized the Tinubu administration’s commitment to scaling up the GEEP initiatives, noting that this pilot phase for farmers will serve as the foundation for a wider implementation in 2026.

Baba acknowledged the foundational efforts of past administrations and ministers in shaping GEEP since its inception in 2016 and praised the ongoing reforms intended to enhance transparency and effectiveness.

He also mentioned that GEEP operates in alignment with other components of the National Social Investment Programme, such as the National Home-Grown School Feeding Programme, Conditional Cash Transfer, and the Grant for Vulnerable Groups—all targeted at reducing poverty and improving quality of life across the country.

During the event, a beneficiary, Hauwa Musa, expressed gratitude to the Federal Government, noting that the loan had positively transformed her business and livelihood.

Another participant, Mallam Umar Usman, shared his optimism about the upcoming GEEP 3.0 phase, expressing hope of being selected in the next round of disbursements.

Market leaders and stakeholders in attendance commended the Federal Government for the interest-free loan initiative and pledged to support the fair and transparent distribution of the loans to ensure they reach those who truly need them.