COVID-19: CBN Announces N1.1trn Intervention Fund
The Central Bank of Nigeria on Wednesday announced a N1.1tn intervention fund to support critical sectors of the economy.
The CBN Governor, Mr Godwin Emefiele said this in a statement made available to journalists.
The governor in the statement said the out of the N1.1 trillion, about N1trillion would be used to support the local manufacturing sector as well as boost import substitution.
He said the balance of N100 billion would be used to support the health authorities to ensure laboratories, researchers and innovators work with global scientists to patent and produce vaccines and test kits in Nigeria.
According to him these measures were imperative following the Coronavirus pandemic, adding that the N100bn would enable the country prepare for any major crises ahead.
He said given the continuing impact of the disease on global supply chains, the CBN will increase its intervention in boosting the economy.
He said, “First the CBN is directing all Deposit Money Banks to increase their support to the pharmaceutical and healthcare industries.
“In local drug manufacturing, in increased bed count in hospitals across Nigeria, in funding intensive care as well as in training, laboratory testing, equipment and R&D.
“In addition to the N50bn soft loans to small businesses already announced, the CBN will increase its intervention by another N100bn in loans this year to support health authorities.
“Secondly, given the continuing impact of the disease on global supply chains, the CBN will increase its intervention in boosting local manufacturing and import substitution by another N1tn across all critical sectors of the economy.”
He said the management of the CBN will meet with the Bankers Committee this Saturday at to work out the modalities for the intervention.
The N1.1 trillion intervention is coming about three days when the apex bank announced a N50 billion facility for Small and Medium Enterprises sector of the economy