Africa-Press – Malawi. Vice President Michael Usi has announced that the disbursement of a K534 million loan under the National Economic Empowerment Fund (Neef) programme will begin soon.
Usi shared this news during a meeting in Salima District with stakeholders, including chiefs, members of Parliament and Neef officials.
He said that this cash disbursement represents what he described as a significant step towards improving the nation’s economic status and encouraged people to apply for it to start businesses and foster self-reliance.
“The disbursement of these loans is a crucial strategy for promoting economic development, especially for those living below the poverty line. Citizens should take advantage of this opportunity as it is meant for them,” Usi said.
He also urged citizens to avoid politicising Neef loans, stressing that the government intends for all citizens to benefit from the programme.
Neef board director Thabbie Chilongo said the organisation is making notable progress, having employed over 4,000 people to facilitate loan processes.
“As Neef, we have increased the number of beneficiaries from 18,000 to 182,000, while loan disbursement has grown from less than K25 billion in 16 years to K132 billion in the past three years,” he explained.
Chilongo added that chiefs now have the opportunity to obtain loans, which he believes will aid in recovering loans from beneficiaries.
Macxity Makhuwira, manager of M&B Company and a Neef beneficiary, underscored the importance of the loan for their business.
“We secured K100 million to enhance our operations, which has allowed us to increase both our production capacity and employment rate,” Makhuwira said.
Neef offers 25 loan programmes and has recently introduced the ‘Vuukani Mmatope’ initiative, which requires no collateral.
The minimum loan for Vuukani Mmatope is K150,000, while the maximum is K1 million. The initiative is designed to assist the most disadvantaged people in the country.
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