The Central Bank of Nigeria on Tuesday released guidelines for its “Production and Productivity” initiative through “100 projects for every 100 days” project.
According to information obtained from the apex bank, the initiative was designed to support the Federal Government‘s drive towards boosting productivity and economic diversification.
It stated that a maximum loan of N5billion per obligor would be approved under the initiative, adding that any amount above N5 billion would require special approval of its management.
According to the CBN, the facility is a long-term loan for acquisition of plant and machinery, as well as working capital.
“The initiative will create the flow of finance and investments to enterprises with potential to kickstart sustainable economic growth trajectory, accelerate structural transformation, promote diversification, and improve productivity.
“It is a support to private sector companies with the aim of reducing certain imports, increasing non-oil exports and to improve the FX-generating capacity of the economy,” it stated.
The CBN said the broad objective of the initiative is to reverse the nation’s over-reliance on imports by creating an ecosystem that targets and supports projects with potentials to transform and catalyse the productive base of the economy.