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Yoruba Progressive Rolls Out New Batch of Multimillion Naira Interest-Free Loans to traders

Yoruba Progressive (YP) has expanded its successful interest-free microcredit scheme, disbursing a fresh round of loans worth at least N5,000,000.00 to small-scale traders across Southwest Nigeria. The program, which specifically targets women and youth entrepreneurs, continues to strengthen its mission of liberating local traders from predatory lending practices.

The initiative, which has already benefited nearly 100 traders since its inception in 2019, was recently expanded to include beneficiaries in Aiyetoro and Ijebu, Ogun State. The latest disbursement focused on five deserving women from the Alajapa Traders Association in Aiyetoro.

Speaking exclusively to Apples Bite Magazine about the inspiration behind the program, YP co-founder Alhaja Fatimoh Muhammed shared her personal connection to the cause. โ€œGrowing up as the daughter of a petty trader, I witnessed firsthand the devastating impact of loan sharks on small businesses,โ€ she revealed. โ€œMy mother, like many traders of her time, had no choice but to resort to these predatory lenders. The interest rates were so excessive that these hardworking womenโ€™s entire profits would go toward loan repayments.โ€

โ€œEven more disturbing,โ€ Alhaja Fatimoh continued, โ€œwas seeing children of defaulters being detained in toilets and bathrooms as collateral. These childhood experiences drove me to establish this micro-scheme, aiming to rescue as many traders as possible from such exploitative practices.โ€

The organization, registered with Nigeriaโ€™s Corporate Affairs Commission as a non-profit, has secured partnerships with several institutions including Wamufat Farms and Go Architects. Operating as the Nigerian representative face of Egbe Omo Yoruba, Southern California Chapter (OY), the initiative focuses on three core areas: youth empowerment, womenโ€™s engagement in governance and leadership, and rural development.

A unique aspect of the program is its self-management structure, where beneficiary associations set their own financing terms. The foundation, which operates both in the USA and Nigeria, projects available funding between โ‚ฆ10 million and โ‚ฆ50 million for various projects.

The program draws inspiration from Yoruba Koya, the Pan-Yoruba self-determination group, and embodies the Yoruba principle of โ€œAgbajo Owo ni a fi ngbe eru de oriโ€ (collective effort leads to success).

Through its strategic partnerships with organizations like Wamufat Farms, led by Alhaja Fatimoh, and GO Architects, under Otunba Sotilewa Osifeso, the initiative represents a significant step toward sustainable economic development in Yorubaland, particularly focusing on traditionally underserved segments of the population.

The schemeโ€™s zero-interest policy and community-based management approach mark a departure from conventional microfinance models, potentially setting a new standard for grassroots economic empowerment in Nigeria.