The Central Bank of Nigeria (CBN) has signed a multi-billion naira Medium Enterprise Development Fund with the 36 state governments.

The CBN governor, Mr. Godwin Emefiele, who announced a loan of N220 billion for development of Small and Medium Enterprises across the country at a meeting with the state governors, said the fund will ensure wealth creation and poverty reduction in the country.

Emefiele also said sixty percent of the funds will be disbursed to women at a single digit interest rate

However, the modalities for disbursing the loan did not go down well with the state governors who were present at the meeting

The governors, which include the governors of Akwa Ibom, Ogun and Oyo states, called for an upward review of the loan scheme and the removal of bureaucracy in accessing the loan.

Statistics as at 2010 reveals that funding gap of S.M.E’s stands at nine point six trillion naira