By Hope Moses-Ashike, Business Day Online

Every emerging market requires the invaluable contribution of micro, small and medium enterprises (MSMEs) towards its economic growth and development.

Studies have shown that small and medium enterprises (SMEs) contribute significantly to the quantum of gross domestic product (GDP) in most emerged and emerging markets.

Countries where SMEs contribute largely to GDP include Singapore, India, South Africa, Malaysia, Hong Kong, and even Kenya.

Determined to enhance customer’s value, GTI Microfinance Bank has engaged its customers on assets acquisition to fast track their production activities for greater output.

In view of this, board committee on product development of the GTI Microfinance Bank Limited has approved the introduction of a micro lease product for its clients.

The product, tagged ‘GTI Micro Lease’ is a facility for all classes of customers, corporate bodies and members of associations, societies and cooperatives, and it is aimed at facilitating the acquisition of assets such as working tools, vehicles and household appliances.

Adewale Abimbola, managing director/CEO of the bank, said it was the bank’s commitment to growing the businesses of its customers.

Abimbola said this in Lagos while handing over the keys of a Toyota Hiace bus financed under the scheme to Frank Kumi, a consumable product distributor, saying “the GTI Micro Lease is a product aimed at making life easier for our customers at very convenient repayment terms and competitive interest rates.”

He encouraged customers and non-customers alike to take advantage of the product to grow their businesses at a time financial services such as the micro lease were regarded as the exclusive of the blue chips.

In response, the beneficiary – Frank Kumi thanked the bank’s management for the opportunity and promised to abide by the terms of the facility.

In line with the Central Bank of Nigeria’s policy for microfinance banks, GTI is committed to ensuring that it reaches and affect positively the lives of individuals at the grassroots.

Francis Adeoye, head, marketing/business development, said “the bank offers wide range of products designed to improve the lives and businesses of its customers. Our products and services are unique and cut across current account, savings account, loans, L. P. O. financing and business advisory services.”

However, to facilitate its operations in the next regime, the bank is embarking on some initiatives such as the introduction of a more robust web-based information technology system to improve its service delivery, introduction of electronic banking channels such as Point of Service (PoS), ATM, mobile money, SMS, and e-mail alerts at affordable rates.

Other measures include the introduction of credit bureau system to check customer banking status across the industry and the establishment of additional five branches in 2012, to extend coverage.

The bank operates a unit microfinance bank, which is expected to operate on N20 million capital base, but currently operates on a N50 million capital base.

Being fully paid up and wishing to control the largest share of the market, the bank has filed an application to the Central Bank of Nigeria for enhancement to N150 million in order to obtain a state licence.