Launched in January 2022, the CBN programme is for a select 100 private sector companies with projects that have the potential to significantly boost domestic production and productivity, lower imports, boost non-oil exports, and generally enhance the capacity of the Nigerian economy to generate foreign exchange.
The CBN set the maximum credit amount a participant might get at N5 billion in accordance with the rules for how the project would be put into action.
“The initiative, which shall be bank-led, will be rolled over every 100 days (that is, quarterly) with a new set of companies selected for financing under the initiative,” it stated.
In collaboration with relevant stakeholders, the apex bank said the initiative would be implemented with a focus on micro- and macro-economic impacts, including the creation of sustainable jobs, the development of local content, production output, capacity utilisation and integration into global value chains.
“Loan amount shall be a maximum of N5bn per obligor. Any amount above N5bn shall require the special approval of CBN’s management,” it said.
The initiative’s main goal, according to the guidelines, is to reduce the country’s excessive reliance on imports by developing an ecosystem that supports and targets the proper initiatives that have the capacity to alter and catalyze the productive base of the economy.
The CBN highlighted the precise goals of the project, stating that they were created to stimulate local production and productivity growth, boost non-oil exports, and enhance the economy’s ability to earn foreign cash.
Key activities covered by the initiative, according to the statement, will include existing businesses and projects (brownfield) with the potential to instantly transform and catalyze the productive base of the economy. New projects (greenfield) with equal potential may also be taken into consideration under the initiative, pending approval from CBN management.
