With the approval of N1 billion seed capital for investment in tourism, Lagos State is set to drive a new growth in hospitality business. Governor Babajide Sanwo-Olu announced the approval of the loan on Wednesday at the 6th Lagos Corporate Assembly held at the Banquet Hall in the State House, Alausa.
The Governor said the investment was required to bolster the hospitality sector by providing key operators in tourism business with soft loans to boost their capacity in driving growth. The initiative, Sanwo-Olu observed, is necessary to position tourism business as a new frontier for job creation and economic prosperity in the post-Coronavirus era.
The seed capital will be domiciled in the Lagos State Employment Trust Fund (LSETF), the Governor said, adding that the funds will be made available specifically to Micro, Small and Medium Enterprises (MSMEs) operators in the sector.
The Governor said the State would also be collaborating with the Central Bank of Nigeria (CBN) to further create access for funds to support the hospitality business.
The event with the theme: “BOS Meets Business, was attended by the captains of industry, manufacturers, and members of Small and Medium Enterprises Development Agency of Nigeria (SMEDAN).
Besides, Sanwo-Olu disclosed that the State had started the first phase of the 6,000km optical fibre being laid across Lagos, with the aim of providing technological infrastructure to support MSMEs.
He said the State had continued to strengthen its Ease of Doing Business policies to drive private investment and economic growth. This, he said, is being made possible by the digitisation of business registration and asset acquisition processes, which, he said, removed administrative bottlenecks.
With Lagos’ Gross Domestic Product (GDP) valued at $130 billion and over three million Micro, Small and Medium Enterprises (MSMEs), which make the State the fourth wealthiest city in Africa, Sanwo-Olu said it was time for the State to strengthen its economy with right policies for accelerated growth and prosperity.
The Governor said there will be a review of the dusk-to-dawn curfew imposed in the State by the Federal Government in response to requests by businesses across the State, noting that the ongoing rehabilitation of major bridges and roads had impacted business activities in the State.
Sanwo-Olu told the business leaders and MSMEs operators to see his administration as a “real partner” in driving growth. He said the Government would continue to introduce more incentives to strengthen its partnership with the private sector to keep Lagos economy on the path of growth.
Commissioner for Commerce, Industry and Corporative, Dr. Lola Akande, noted that Lagos Government had taken steps since the last meeting with the Organised Private Sector to sustain the momentum of growth.
She said: “We recognise that creating an enabling business environment is the key to job creation, poverty eradication and growth of the State economy. Lagos State is positioned to support businesses and the industrial sector to maximise their potential for greater contribution to the State’s GDP.”
Source: http://encomium.ng/sanwo-olu-approves-n1billion-seed-capital-for-tourism-business/