Najeem Salaam, the gubernatorial candidate for the African Democratic Congress in Osun State, has promised to establish a N1 billion microfinance loan scheme targeted exclusively at women entrepreneurs if he wins the upcoming governorship election.
Campaign Promise Targets Women Business Owners
The ADC candidate announced the plan during a campaign rally in Osogbo on Saturday, drawing applause from hundreds of women who gathered at the Oluogun Football Field in the state capital. Salaam told supporters his administration would set aside the N1 billion fund within the first year of office to provide low-interest loans to female business owners across the state's 30 local government areas.
"We will create a fund specifically for our mothers and sisters who are already running businesses or want to start one," Salaam told the crowd. "This is not charity. This is investment in the women who feed this state."
The proposed scheme would be managed through a new Women Economic Development Agency, a body the candidate said would operate independently from the state treasury to prevent political interference.
Why Osun State Needs Focused Support for Women
Osun State, located in southwestern Nigeria, has a population of roughly 4.7 million people. Women make up a significant portion of the informal trading sector, operating market stalls, food vendors, and small-scale manufacturing enterprises across both urban and rural areas.
Despite their numbers, women entrepreneurs in Nigeria often struggle to access formal credit. Commercial banks typically require collateral that many women business owners cannot provide. The Central Bank of Nigeria reported in 2023 that women received only 18 percent of all SME loans approved that year, a figure advocacy groups say understates the gap on the ground.
Salaam's campaign argues that dedicated state-level funding could bridge this shortfall where federal programmes have fallen short. His proposal includes a simplified application process and a grace period of six months before repayment begins.
How the Loan Scheme Would Work
According to the ADC campaign document, eligible businesses would need to demonstrate at least six months of active operation. Loan amounts would range from N100,000 to N2 million depending on business type and stated need. Interest rates would be capped at 8 percent annually, well below the 20 to 30 percent charged by most commercial lenders in Nigeria.
The fund would prioritise sectors including agro-processing, textile and bead-making, and food vending — industries where women already dominate but where capital constraints limit growth.
Critics Question Feasibility of Campaign Pledge
The announcement has drawn scepticism from economists who study state-level fiscal capacity. Osun State's monthly internally generated revenue averages around N3.5 billion, making a N1 billion commitment in a single year a significant undertaking. Some analysts have questioned whether the ADC candidate's team has accounted for disbursement logistics, default rates, and monitoring costs.
A senior official in the state Ministry of Finance, speaking on condition of anonymity because the official was not authorised to comment publicly, said any new fund would require legislative approval and a clear revenue stream. "Campaign promises are easy to make. Funding them is another matter entirely," the official told reporters.
Salaam's camp has dismissed such concerns, pointing to the candidate's record as a businessman who founded a logistics company in Ibadan. The ADC argues that private-sector management practices would keep the fund solvent and productive.
Women Respond to the Promise
At the Osogbo rally, reaction among women was largely positive. Adunni Bello, who runs a fried dough stall near Oaja Market and employs three other women, said formal credit had never been within reach for her. "I have tried three times to get a loan from the bank. Every time they ask for documents I don't have," she said. "If this is real, it will change many lives here."
Others were cautious. Funke Adeyemi, a seamstress operating from her home in Ilesa, said she wanted to see the fine print before believing any timeline. "Politicians have promised us things before and forgotten us the next day," she said.
Where This Fits in the Race for Osun's Governorship
The ADC candidate enters a crowded field. The two leading contenders according to recent polling are the incumbent from the All Progressives Congress and the main opposition candidate from the Peoples Democratic Party. Salaam is positioning himself as an alternative for voters frustrated with both major parties.
Women voters make up a substantial block in Osun State. Any candidate who can credibly claim to address their economic concerns could shift the arithmetic in a tight race. The governorship election is scheduled for July 2026, giving Salaam and his team roughly eight months to build awareness around the proposal.
ADC's campaign communications have leaned heavily on economic themes, arguing that Osun's current leadership has prioritised political alliances over practical development outcomes.
What Comes Next
Salaam is expected to release a full policy document in the coming weeks detailing how the N1 billion fund would be capitalised, whether through new state allocation, partnerships with Nigerian development finance institutions, or both. A public town hall focused specifically on women and economic development is planned for February in Ilesa.
Voters and political watchers say they will be watching for three things: whether the proposal wins support from business groups, how the major parties respond with their own women's economic programmes, and whether Salaam can point to a credible funding source before the election campaign peaks in May.
Some analysts have questioned whether the ADC candidate's team has accounted for disbursement logistics, default rates, and monitoring costs. Salaam's camp has dismissed such concerns, pointing to the candidate's record as a businessman who founded a logistics company in Ibadan.
