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28 Companies Benefit N23.2bn Under CBN’s 100 for 100 PPP Scheme

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Godwin Emefiele - Investors King

Twenty-eight Nigerian firms have become beneficiaries of N23.2 billion loan provided under the Central Bank of Nigeria (CBN)’s 100 for 100 Policy on Production and Productivity (PPP).

The N23.2 billion fund was released after each company presented articulate project proposals for screening.

The CBN Governor, Godwin Emefiele noted that the projects comprising of those within the manufacturing sector, agricultural and health sector, are set to create over 20,000 direct and indirect jobs across all sectors of the economy as well as generate close to $125.8 billion foreign exchange.

“It is important to note that 5 of the projects are greenfield projects trying to explore the huge opportunities in key sectors of our economy,” he said.

Emefiele stated that under the new 100 for 100 PPP scheme, the private companies in critical sectors seeking to engage in greenfield projects or in expanding their existing facilities were ably qualified to apply for the N5 billion under the scheme.

They will also have access to cheaper forms of credit at single-digit rates, as well as foreign exchange to procure plants and machinery every 100 days, he said.

Investors King in November 2021 had reported that CBN capped the 100 for 100 policy loan on Production and Productivity (100 for 100 PPP) at N5 billion.

The governor revealed that for the first cycle of the initiative, about 243 applications valued at N321.06 billion,  were submitted on the initiative’s portal. The applications spread over key sectors such as agriculture, energy, healthcare, manufacturing, and services sectors.

After much engagement,” he added, “79 applications were received from banks, valued at N121.87 billion, for projects in six sectors, namely agriculture, energy, healthcare, manufacturing, mining, and services sectors.”

The apex bank Governor disclosed that each request was carefully screened and scrutinised against set-out selection criteria, which is categorised into production efficiency and scalability; local content capacity; job creation and human capital development; operating sector relevance; and potential contribution to economic growth.

He noted that the CBN is ready to support those “seeking to invest in new greenfield or existing brownfield projects.” He said the apex bank will provide all the needed support, “both in Naira and dollars specifically for the importation of plants and equipment to actualise these investments.”

The governor clarified that the foreign exchange support will be for only importation of spares, plants and equipment needed to increase the production capacities of these firms.

“Let me emphasise that our mission through this initiative is to ensure that priority is accorded to companies who display verifiable progress in our imports substitution and job creation drive.”

The CBN boss announced that the apex bank would be unveiling a new FX bidding regime that is market-driven, which also support companies that prioritize the initiative’s local production and job creation drive.

He also listed other intervention programmes of CBN and the funds released under them. Under the first Programme, the “N1 trillion Real Sector Facility, the Bank has released a total of N1.40 trillion to 331 real sector projects in agriculture, manufacturing, mining, and services sectors.”

In the second scheme, the Real Sector Support Facility (RSSF), Emefiele said the CBN disbursed N166.21 billion to 25 projects.

“In the agricultural sector, the Bank’s Anchor Borrowers’ Programme (ABP) has disbursed N927.94 billion to over 4.5 million smallholder farmers for the cultivation of 21 commodities across the country. 

“Also, the Bank has financed 666 large-scale agricultural projects with the potential of creating an estimated 70,070 direct and indirect jobs under its Commercial Agriculture Credit Scheme (CACS),” he added.

Emefiele in his speech appealed to all prospective investors to take advantage of the great opportunities provided for investment in the real sector under the 100 PPP initiative. He advised investors to approach their banks to submit applications to access funding under the initiative.

The next cycle for the submission of “the 100 PPP starts from Feb 1 to April 30,” he added.

Remarking that the initiative will help eradicate poverty ensure wealth creation and provide job opportunities, the Secretary to the Government of the Federation (SGF), Mr Boss Mustapha, represented by the Permanent Secretary Ecological Office, Dr Habiba Lawal commended the scheme.

A beneficiary, Mr Adedolapo Adeyemi of Harvest Feed and Agro Processing Limited said the new CBN scheme has helped his company expand its production. “We are going to buy a machine that will boost production by 60% and create 300 jobs,” Adeyemi said.

On his part, the President Manufacturers Association of Nigeria (MAN), Mr Mansur Ahmed praised the CBN for the initiative, stating that it was in line with President Muhammadu Buhari’s mantra of “producing what we eat and eating what we produce“.

 

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Insurance

Heirs Insurance Group Unveils Revolutionary Website for Seamless Insurance Experience

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Heirs Life Assurance- Investors King

Heirs Insurance Group has launched a website designed to revolutionize the insurance experience for its customers.

With a focus on simplicity, accessibility, and personalized service, the new website aims to streamline the process of obtaining insurance coverage and empower customers to make informed decisions about their insurance needs.

The website boasts a range of innovative features that make navigating insurance options easier than ever before.

From simple and intuitive navigation menus to personalized insurance recommendations, the website is designed to guide customers through every step of the insurance process quickly and efficiently.

According to Ifesinachi Okpagu, the Chief Marketing Officer of Heirs Insurance Group, the new website embodies the company’s commitment to delivering exceptional customer service.

“Today’s customers want simplicity, and this new website delivers on that request,” Okpagu said. “We are empowering customers to take control of their lives, their businesses, assets, and their most cherished people.”

One of the key features of the website is its personalized insurance experience, which takes customers through a short journey to help them identify the best insurance plan for their needs.

Whether customers are looking for coverage for their home, car, business, or loved ones, the website provides tailored recommendations to ensure they find the right insurance solution quickly and easily.

With its user-friendly interface and innovative features, the new website from Heirs Insurance Group sets a new standard for the insurance industry, making it easier than ever for customers to protect what matters most to them.

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Banking Sector

Safaricom, Access Holdings Forge Partnership to Revolutionize Remittance Corridor in Africa

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Access bank

Safaricom, the leading telecommunications company in Kenya, has entered into a strategic partnership with Access Holdings, spearheaded by Aigboje Aig-Imoukhuede.

The collaboration aims to revolutionize the remittance corridor between East and West Africa, marking a significant step towards enhancing financial inclusion and empowering millions of individuals across the continent.

The partnership comes on the heels of Access Holdings’ recent acquisition of the National Bank of Kenya Limited, signaling the company’s ambitious expansion into the East African market.

Leveraging Safaricom’s extensive network and expertise in mobile money through M-Pesa, which currently dominates the mobile money market in Kenya, the alliance seeks to create seamless and efficient channels for remittance transactions.

Aigboje Aig-Imoukhuede, the driving force behind Access Holdings, expressed enthusiasm about the collaboration, highlighting its potential to transcend traditional boundaries and foster greater economic connectivity between East and West Africa.

He highlighted the fusion of collective expertise and resources between the two entities, underlining their shared commitment to driving financial inclusion and empowerment across the continent.

The partnership holds promise for addressing the challenges faced by millions of Africans in accessing affordable and reliable remittance services.

By connecting more than 60 million customers and 5 million businesses across eight countries, the collaboration aims to facilitate over $1 billion in daily transaction value, significantly boosting the flow of remittances within and outside Africa.

With the first phase of the collaboration focusing on key markets such as Nigeria, Kenya, Ghana, and Tanzania, stakeholders anticipate a transformative impact on the remittance landscape, paving the way for greater intracontinental trade and economic integration in line with the objectives of initiatives like the African Continental Free Trade Area (AfCFTA).

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Banking Sector

EFCC Urged to Repatriate Recoveries to NDIC for Depositors’ Relief

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The Nigeria Deposit Insurance Corporation (NDIC) has made a fervent plea to the Economic and Financial Crimes Commission (EFCC) to expedite the repatriation of recovered funds to its coffers to facilitate the timely reimbursement of depositors affected by bank failures.

During a recent meeting between the Managing Director of NDIC, Bello Hassan, and the Executive Chairman of the EFCC, Ola Olukoyede, at the NDIC headquarters in Abuja, Hassan stressed the importance of enhanced collaboration between the two agencies in recovering depositors’ funds lost due to bank failures.

Hassan emphasized that the return of recoveries made by the EFCC on behalf of the NDIC would significantly contribute to the prompt reimbursement of affected depositors.

He commended the EFCC for its unwavering efforts in combating corruption and financial crimes, highlighting its crucial role as a key member of the Taskforce on Implementation of the Failed Banks Act chaired by the NDIC.

The NDIC boss also highlighted the existing partnership between the two organizations, which led to the establishment of the NDIC Help Desk at the EFCC in 2022.

He disclosed that several high-profile cases referred to the EFCC were currently under investigation.

In response, Olukoyede reiterated the EFCC’s commitment to collaborating closely with the NDIC to combat financial crimes and safeguard the integrity of the Nigerian banking sector.

He pledged to intensify efforts to repatriate recovered funds promptly, acknowledging the interconnectedness between criminal activities and bank failures.

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