TraderMoni and MarketMoni and are both part of a programme initiated by the Federal Government of Nigeria called the Government Enterprise and Empowerment Programme (GEEP), being implemented by the Bank of Industry (BOI).
GEEP has Two pillars. The first one is called MarketMoni and the second is called TraderMoni.
What Is MarketMoni?
MarketMoni is a scheme for soft loans given to small traders ranging from N10,000 – N100,000. You as the applicant will decide the amount you need whether N10,000, N20,000, N50,000, or N100,000. The repayment period is MarketMoni is 6 months and there is a 5% administration fee.
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No interest is charged. There is even a two weeks grace period to pay back. Once you finish paying, you can apply for a higher value or the same value. That is basically left to you!
Requirements To Apply For MarketMoni
Before you can be eligible to apply for Marketmoni, you must have satisfied the following requirements:
- You must belong to a registered and accredited market Association or Cooperative which must be registered with BOI.
- Your market Association or Co-operative must nominate you for a loan and stand as your guarantor.
- You must have BVN.
- You must have a business location.
To access MarketMoni, you must belong to a market association or a cooperative. This is because the money will be disbursed through your Cooperative. Also, you can borrow up to N100,000 as many times as you can pay back.
What Is TraderMoni?
TraderMoni on the other hand is a mobile phone-driven initiative. Unlike MarketMoni, you don’t need to belong to a cooperative to access it. While MarketMoni targets micro traders that are a bit structured, TraderMoni is targeted at ultra-micro enterprises.
With TraderMoni, you can access N10,000 and pay back N10,250 to qualify for N15,000. Once you pay back N15,375 you will qualify for an N20,000 loan, when you pay back N21,000 you will get N50,000. The repayment period is also 6 months with zero interest charged.
How To Register For TraderMoni
To register for TraderMoni, all you need is a mobile phone. Once your details are captured by agents and sent to the BoI system for validation, you’ll get a cash notification in your mobile wallet account within 48hrs.
How to Apply TraderMoni Loan Online
- Click on www.tradermoni.com.ng/resources/
- Fill in your details correctly in the form and submit.
- Follow the directions given and collect your loan below on how to get your TraderMoni cash
How to Apply TraderMoni Loan Offline
- Visit the nearest agent in any of the 36 states across Nigeria
- TraderMoni agent will capture your details
- If you qualify, the Federal Government will send you a text message with a code you will dial to get the funds.
Once received, you can either transfer the money to your bank account or withdraw it from any mobile money agent around.
So in a nutshell, while MarketMoni gives out from N10K – N100K, with a requirement of belonging to a registered cooperative, TraderMoni gives us loans from between N10K – N50k without that requirement. The repayment period remains the same (6 months ) and you can return several times.
Why Start With Low Amounts?
The people targeted for these loans are at the Micro Level. In 2013, NBS and SMEDAN did a survey and they found out that the total number of MSMEs in Nigeria stood at 37,067,416, Micro – 36,994,578, Small – 68,168, and Medium – 4,670. 68.35% of this number (i.e. 23.3m MSMEs) initial start-up capital was predominantly less than N50,000. This was the justification and it was based on data not politics or BUYING vote like some mischievous and disgruntled elements have posited You may ask, why not N1m or N10m or N50m?
Why TraderMoni and MarketMoni Were Initiated?
There are already other intervention funds like the CBN MSMEDF which gives from N500,000 to N50m to SMEs. To access this fund, you need a business plan, you need to be registered with CAC and you need collateral.
How many market women, artisans and traders do you know who can prepare a business plan, register their business with CAC and have sufficient collateral to attract the CBN’s N220 Billion SME loan? Aside from this, the BOI also has a similar loan targeted at SMEs as well.
So what has been happening is that the big SMEs with the strength to do so have been able to access the other intervention funds targeted at SMEs, but those at the micro level have been unable to do so mainly because of structural reasons.