FG Vows Support for NEXIM Bank to Raise Non-oil Export Revenues to 30%
James Emejo in Abuja
The Minister of Finance, Budget and National Planning, Mrs. Zainab Ahmed, has said the federal government would provide the necessary support to NEXIM Bank to help improve non-oil export revenues to at least 30 per cent in five years.
She said, “This, I believe, is possible and government will be willing and ready to give you the desired support to achieve this target. The threat of a mono-product economy is real, and the recent episode of the COVID-19 pandemic has further is underscored the need for Nigeria to widen its export basket and deepen its export market.”
The minister congratulated the entire board, management and staff of NEXIM for the re-appointment of the Managing Director/Chief Executive, Mr. Abba Bello, the Executive Director, Corporate Services, Dr. Bala Bello and the Executive Director, Business Development, Hon. Stella Okotete, by President Muhammadu for their second and final term of five years which commenced on April 21, 2022.
She pointed out that their reappointment, no doubt was a testimony to the high level of professionalism and commitment with which you managed the affairs of the bank in the last five years.
Ahmed noted that prior to their appointment; the bank had been confronted with a myriad of challenges including high volume of non-performing loans, inadequate capitalisation, paucity of operational funds and loss of focus on core mandate which limited its performance.
However, she said, “It is, therefore, heartwarming to note that under your stewardship the bank has witnessed a complete turnaround in all areas of its operational and financial indices and is now on the path of growth.”
According to her, the bank under the new management now has a healthy balance sheet, which had grown from about N63 billion in April 2017 to the current level of N250 billion.
The non-oil export development bank had also recovered from a loss position of N8 billion in 2016 to sustained profitability, reaching N4.1 billion in 2021, while over N12 billion has been recovered in non-performing loans.
Ahmed said, “I wish to specifically commend your efforts towards the realization of policy objectives of government in the areas of economic diversification and creation of jobs for our citizens by attracting concessional funds into the export sector through strategic partnership as exemplified by the following initiatives collaboration with the Central Bank of Nigeria to manage the N500 billion Non-Oil Export Stimulation Facility and the N50 billion Export Development Fund, which has now been enhanced to N150 billion owing to the excellent performance of the fund.”
She said the only way the executive management could reciprocate the confidence reposed in them by Buhari on their re-appointment was by redoubling its efforts to consolidate on the earlier performance and take NEXIM to even greater heights.