COVID-19: CBN to Pump N1trn into Economy

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By Obinna Chima

The Central Bank of Nigeria (CBN) on Wednesday announced the injection of an additional N1 trillion across all critical sectors into the economy.

The fund is to boost local manufacturing and import substitution and is in line with the its efforts to cushion the impact of the COVID-19 on the Nigerian economy.

The CBN Governor, Mr. Godwin Emefiele, disclosed this in Abuja.

He explained: “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 Research & Department (R&D).

“In addition to the N50 billion soft loans to small businesses already announced, the CBN will increase its intervention by another N100 billion in loan this year to support the health authorities to ensure laboratories, researchers and innovators work with global scientists to patent and or produce vaccines and test kits-in Nigeria to prepare for any major crises ahead.

“The details of how these facilities can be accessed will be released soon. 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 N1 trillion across all critical sectors of the economy.

“The management of the CBN will meet with the Bankers Committee this Saturday at 10.00am to work out the modalities.

“Thirdly, an Implementation Committee that will action the private sector contribution of N1.5 trillion Infrastructure funding that will link farming communities to markets as agreed at the Going for Growth Roundtable last week will be set-up next week.”

….More details later