The Central Bank of Nigeria is promoting a new strategic initiative aimed at developing the entrepreneurial expertise for the purpose of reducing unemployment among the citizenry of Nigeria by establishing Entrepreneurship Development Centres in the Six (6) Geo-Political Zones of Nigeria. The South East Entrepreneurship Development Center (SEEDC) is one of six and is headquartered in Umuahia, Abia State, serving the five South East States. The Central Bank is collaborating with Abia State, which is providing enabling infrastructural and training facilities to support the smooth and effective operation and delivery of requisite services to trainees. The State Government is also providing counterpart funding and start-up capital for SEEDC graduates. While the Central Bank is financing the operations of SEEDC, it has engaged an Implementing Agency, the International Center for Development Affairs (ICDA), which is responsible for day-to-day management of SEEDC.
The Bank is also collaborating on this initiative to complement the activities of other Federal Government Agencies, notably the Federal Ministry of Industry, Trade and Investment (FMITI), National Poverty Eradication Programme (NAPEP), Bank of Industry (BOI), National Directorate of Employment (NDE), and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) for successful implementation of the SEEDCs. The membership of the SEEDC Governing Council shall consist of Cooperating Agencies, a representative of the Bank, with the Bank providing the Chairmanship and the Secretariat. The Bank has requested, and the Implementing Agency has agreed to provide consultancy, training and advisory services on the project with support from the Cooperating Agencies for the successful implementation of the SEEDC Project. The Bank’s financing commitment shall be for a period of 3 years, subject to satisfactory progress of entrepreneurship development, mentoring and linkage with financial services for a minimum of 2,000 trainees per annum.
The Implementing Agency shall provide consultancy, hands-on training and financial advisory services on the basis of assess-design-implement project for a period of three (3) years in collaboration with the State Government and the support of the Cooperating Agencies for the successful implementation of the SEEDC project. The Implementing Agency shall work in line with the model developed for the implementation of the SEEDC Project, and in particular, shall ensure strict adherence to the standards, plans, templates, curricula, delivery methods and schedules as may from time to time be defined by the Bank. The Implementing Agency shall be required to interact regularly with other Implementing Agencies performing similar tasks as the Implementing Agency to ensure uniformity, quality of delivery and spread of coverage of the SEEDC.
The Implementing Agency’s staff are not staff of the Bank and shall not hold themselves out as such to members of the public. The Implementing Agency shall not use the Bank’s name or reproduce its logo in any form or medium or that of the Cooperating Agencies or State Government on the services so delivered by the Consultant without the Bank’s or State Government or Cooperating Agencies’ prior written consent. The Bank shall provide an
operational manual to guide the day-to-day operations of the SEEDC and such operational manual may be reviewed and updated from time to time.
- Developing the entrepreneurship spirit amongst Nigerians and providing insight into the tools, techniques and framework for functional areas of business enterprise including planning, production, marketing, personnel and finance.
- Developing skills of trainees to successfully start, manage, diversify and expand business enterprises.
- Linking trainees to financial institutions and other sources for capital.
- Generating employment opportunities for Nigerians in pursuance of the provisions of relevant Government policies.
- Raising a new class of entrepreneurs who can serve as catalyst for the industrialisation of Nigeria.
Technical Advisory Committee
The SEEDC has a Technical Advisory Committee (TAC), which is responsible for the operations of the SEEDC. The TAC consists of:
- Representative from Abia State (not below the rank of Director) as Chairman;
- Program Director of the SEEDC;
- Head of Development Finance Office (DFO) Central Bank of Nigeria, Umuahia
- Representative from Anambra State
- Representative from Ebonyi State
- Representative from Enugu State
- Representative from Imo State
- SEEDC Technical Expert/Adviser
- ICDA Deputy Chief of Project
Tasks of the Technical Advisory Committee
- Provides focused direction and transparent governance;
- Provides advisory services to the Management of the SEEDC;
- Meets on quarterly basis or when the need arises;
- Ensures that the Management of the SEEDC complies with the operation manual;
- The Committee shall have recourse to the Council
The Central Bank of Nigeria
- The Bank is providing funding for the SEEDC for cost of operation; cost of consultancy; personnel, training and instructional materials; vehicles and equipment; and outreach centres.
- Provide ICDA all relevant information and tools required for the successful implementation of the SEEDC project.
- Appoint a Technical Expert to monitor quality and evaluate ICDA’s performance and report to the Governing Council;
- Ensure the monitoring and evaluation of the SEEDC targets on quarterly basis;
- Ensure compliance with the decisions of the Governing Council as approved by the Bank;
- Constitute, provide the chairman and the Secretariat of the Governing Council;
- Provide funds for the activities of the Governing Council;
- Supervise ICDA in accordance with the Project Implementation Plan and coordinate the activities of the Cooperating Agencies;
- Operate a Sustainability Account for income generated from the fees paid in by the Implementing Agency
- The Bank’s Internal Audit Department shall carry out (bi-annual) audit exercises of the SEEDC as approved by the Bank.
- Collaborate with and intensify efforts on linkages with other financial institutions to provide financial services for the trainees;
- Fully and actively involve the Cooperating Agencies as specified in this agreement;
- To use the SEEDCs as training grounds for the operations of the Nigerian Incentive-based Risk Sharing System for Agricultural Lending (NIRSAL).
The Council is to be chaired by the Bank and shall comprise the following:
- Federal Ministry of Industry, Trade and Investment (FMITI)
- National Poverty Eradication Programme (NAPEP).
- Bank of Industry (BOI)
- Small and Medium Enterprises Development Agency of Nigeria (SMEDAN)
- Nigerian Association of Small and Medium Enterprises (NASME)
- National Directorate of Employment (NDE); and
- Central Bank of Nigeria (CBN)
- ICDA on invitation may from time to time attend the meetings of the Governing Council, to advise the Council on specific issues relating to the SEEDC Project.
- The Bank shall provide a Secretariat for the Governing Council.
- The Governing Council shall be responsible to the Management of the Bank.
- All decisions of the Governing Council shall be passed as resolutions which shall be subject to approval by the Management of the Bank.
The Governing Council shall be responsible for:
- Policy issues and oversight functions relating to the operations of the SEEDC
- Consideration and approval of recommendations and reports from the Technical Expert
- Receiving and reviewing the statement of income and expenditure of the SEEDC project.
- Receiving and reviewing the audit reports of the SEEDC project.
- Shall hold meetings at least four (4) times per annum
- Interface with the Chief Executives of Cooperating Agencies to facilitate their assigned role within the context of the SEEDC.
The Implementing Agency
- Develop and implement the curriculum for hands-on training for prospective entrepreneurs, especially secondary school leavers, graduates of tertiary institutions and the existing entrepreneurs;
- Provide entrepreneurship development training for 6,000 prospective entrepreneurs, especially, Secondary School leavers and graduates of tertiary institutions and existing entrepreneurs during the life span (3 years) of the SEEDC Project;
- Give quality training of not less than three (3) months to the trainees;
- Provide mentoring for trainees and link them with financial service providers and other institutions for the provision of financial services provided the SEEDC Assets shall not be used as collateral for such loans as may be granted to the beneficiaries;
- Oversee recruitment, remuneration, progression and exit of staff of the SEEDC;
- Manage the SEEDC in line with the agreed project time lines and Implementation schedule;
- Prepare and submit quarterly reports on the progress, issues and challenges facing the project;
- Shall ensure all funds, assets and other resources of the project are used directly for the project and not diverted for any other purpose or to person not directly related to the project;
- Shall open a dedicated account for the financial transactions for the Entrepreneurship Development Centre operations
- Ensure that enrolment fee of N5000.00 (five thousand naira) paid by each participant is remitted to the Bank quarterly;
- Seek and obtain the approval of the Management of the Bank before engaging the SEEDC in any activities outside this Agreement;
- Obtain the Governing Council and/or the Bank’s approval before the engagement and determination of appointment of the Program director of the SEEDC who must be a qualified and competent person to run the day to day activities of the SEEDC;
- Appoint an External Auditor subject to the approval of the Governing Council/Bank;
- Prepare and submit a statement of income and expenditure of the SEEDC Project to the Governing Council on quarterly basis;
- Prepare and submit audit reports of the SEEDC to the Governing Council bi-annually;
- Link the beneficiaries with MFBs, other financial service providers and government agencies for the purpose of obtaining loans and financial advisory services as the case may be;
- Collaborate with other Implementing Agencies to develop and implement a uniform implementation work plan acceptable to the Bank to ensure that the quality of the project is maintained;
- Adopt initiatives that will support the achievement of the strategic and overall objectives of the SEEDC subject to the approval of the Governing Council;
- Collaborate with all stakeholders to promote trainees’ acceptance and buy-in to project objectives and outcome through an acceptable standardized learning, monitoring and evaluation framework.
- Maintain all Banks’ assets in its custody and adhere to the bank’s procurement, replacement and disposal policies.
- Maintain a Register of all project assets procured with the funds provided by the Bank.
- Adhere to the Project Implementation Plan as may from time to time be revised by consent of the parties.
- Comply with the rules and procedures in the operational manual for the SEEDC.
- Subject to the approval of the Governing Council/Bank, establish Outreach Centres in locations that will provide maximum impact and access to beneficiaries in the zone.
- Ensure that all states in the zone participate in the SEEDC programme.
- Use their resources to support the implementation of the SEEDC to ensure efficiency and minimise costs.
- The Bank of Industry (BOI), NERFUND and other Development Finance Institutions shall lend practical experience and mentoring to the trainees in the area of business planning, strategy and packaging of financial assistance.
- The Federal Ministry of Industry, Trade and Investment (FMITI) and SMEDAN shall avail the Implementing Agencies the use of their Industrial Development Centres (IDCs).
- The National Directorate of Employment (NDE) shall, where necessary, avail the SEEDC Project the use of its resource persons in appropriate areas of entrepreneurship training development and mentoring.
- NAPEP shall extend wholesale loans to financial institutions, cooperative societies and self-help groups for on-lending to trained members and also to lend directly to trained micro entrepreneurs.
- The FMITI, State Governments and BOI shall collaborate in the establishment of industrial parks for the benefit of the SEEDC Project.
- Carry out any other ancillary services as may be considered appropriate for achieving the goals of the SEEDC Project.
Abia State Government
- Provide appropriately equipped offices and training halls, Incubation Centres and facilities necessary for and incidental to smooth delivery of the objectives of the SEEDC;
- Provide adequate financial resource for start- up businesses of the SEEDC graduates;
- Establish Industrial Parks with full complement of infrastructure;
- Provide counter-part funding and develop strategy for sustainable operations of the SEEDC after the exit of the Bank;
- Develop and implement a robust awareness programme for the benefit of prospective entrepreneurs in the Zone.
- States Government shall not interfere with the day-to day operations of the SEEDC.
- The State Government shall use its best efforts to encourage other states in the zone to sponsor and provide financial resources for their prospective entrepreneurs.