The Central Bank of Nigeria (CBN) has disbursed a total of N23.20 billion to 28 companies whose projects were selected for funding in the maiden batch of its newly introduced “100 for 100 Policy for Production and Productivity Initiative (PPP).
CBN Governor, Mr. Godwin Emefiele, who disclosed this yesterday in Abuja, also said the Apex Bank would soon introduce a new Foreign Exchange (FX) bidding regime.
Emefiele spoke at the formal launch of the 100 for 100 PPP scheme. He explained that the primary objective of the CBN in introducing the initiative was to ensure that priority was accorded to companies that displayed verifiable progress in the bank’s import substitution and job creation drive.
Emefiele said the funds disbursed to beneficiaries of the 100 for 100 Policy, which he stressed were loans, followed due screening of the applications received. He said the projects, valued at N23.20 billion, comprised 14 in the manufacturing sector, 12 in the agricultural sector, and two in the healthcare sector.
He assured all current and prospective operators in the industrial sector that the CBN was ready to continue to provide the needed support, financial and otherwise, to fast-track the development of the sector.
Emefiele said the central bank would continue to provide all the needed support for the importation of plants and equipment to actualise investments in new greenfield or existing brownfield projects.
He said for this first cycle of the 100 for 100 policy, which ended yesterday, 243 applications valued at N321.06 billion, spread over key sectors, including agriculture, energy, healthcare, manufacturing, and services sectors, were submitted on the portal.
Emefiele said after much engagement, 79 applications valued at N121.87 billion, were received from banks for projects in six sectors, namely agriculture, energy, healthcare, manufacturing, mining, and services sectors. He said the requests were carefully screened and scrutinised against a set-out selection criteria, and were categorised into production efficiency and scalability; local content capacity; job creation and human capital development; operating sector relevance; and potential contribution to economic growth.
Stakeholders, including Deposit Money Banks (DMBS), Manufacturers Association of Nigeria (MAN) and the beneficiary companies, all commended the apex bank and expressed confidence in the ability of its initiatives to boost domestic production as well as diversify the economy.
Secretary to the Government of the Federation, Mr. Boss Mustapha, while commending Emefiele, described the policy initiative as well thought out, adding that it would significantly impact the economy if well implemented.
