Funding

Interest-free loans are crucial for the survival of small businesses and farmers

Zero-interest loan for SMEs, farmers critical for economic survival

In an effort to combat the recurrent economic crises that hinder our country’s progress, Dr Asif Olatubosun Azeez, the National President of Al-Hayat Relief Foundation, an Islamic Cooperative Society, is actively engaged in seeking viable solutions.

Farmers in Ogun

Dr. Asif Olatubosun Azeez, the National President of Al-Hayat Relief Foundation, an Islamic Cooperative Society, is calling on both federal and state governments to provide interest-free loans to farmers. This initiative aims to address the economic challenges facing the country and promote youth participation in agriculture.

In light of the current economic situation and the devaluation of the naira, Azeez, a senior lecturer at SikiruAdetona College of Education, Science and Technology, Omu-Ijebu, stressed the importance of zero-interest loans. He urged governments to promptly encourage farmers by granting them interest-free loans. Azeez believes that this initiative is vital for the nation to overcome its economic challenges and mitigate the rapid fall of the naira.

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He mentioned that the organization is focused on establishing a fund that will generate income, with the profits from the investment being utilized to support the underprivileged in the community.

In contrast, Azeez expressed the view that governments should engage in partnerships with Islamic organizations, specifically mentioning Al-Hayat Relief Foundation. He recommended directing a significant portion of interventions through this foundation to mitigate the consequences of the prevailing economic downturn and achieve the desired outcomes.

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Furthermore, he asserted that the devaluation of the naira was primarily attributed to the collapse of the structure supporting small and medium enterprises in the country. He emphasized the crucial requirement for a more favorable financial and enabling environment to facilitate their prosperity.

The Foundation’s President highlighted that one of the obstacles encountered by the organization is the need to access the northern region of the country in order to decrease the poverty rate by implementing zero-interest rates, which would greatly influence the nation’s Gross Domestic Product (GDP).

The specialist further emphasized that in order for Islamic banking to make a significant impact on the country’s economy, the Islamic Banking Department at the Central Bank of Nigeria (CBN) must be given the opportunity to expand similar to micro insurance.

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He highlighted the significance of governments backing SMEs fully to stimulate the nation’s GDP and decrease the reliance on foreign merchandise.

Additionally, Waidi Raimi, the General Manager of the Foundation, expressed that the organization, established to address the needs and concerns of Muslim individuals, has established branches in all the South-West states, including Kwara.

He stated that they were working on entering the northern area of Nigeria to combat poverty within the Muslim population.

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