CBN slows down on intervention programmes, focuses on recovery

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3 years ago

The Central Bank of Nigeria (CBN) has said it is slowing down on intervention schemes, as part of deliberate steps towards curtailing the inflationary trends.

The bank, which has injected a whooping N9.3trillion into the economy, added that it has recovered N3.7trillion from it.

Director of Development Finance, CBN, Dr Yusuf Yila, disclosed this to journalists on Wednesday in Abuja, noting that manufacturers got 31 per cent of the fund, which was the biggest chunk.

According to him, a total of N5. 3 trillion of the intervention funds was not yet due for repayment.

Mr Yila insisted that all beneficiaries of CBN intervention schemes must pay back their loans, as according to him, they were not grants.

“Some of the loans are under moratorium. We have moved from agriculture to manufacturing. So far, manufacturing, agriculture, health, exports and SMEs have benefitted from the intervention,” he said.

He further said that N1trillion had been disbursed under the Anchor Borrowers Programme while N400 billion had been recovered.

He warned debtors to repay, as the bank had collaborated with the Economic and Financial Crimes Commission (EFCC) to set up a desk with a view to recovering the loans.

“Any person who borrowed from us will pay back. We have recovered from states and we debit their FAAC. Every single loan taken from our development finance will be returned,” Yila emphasised.

According to him, the CBN will only focus on key sectors such as Energy and SMEs that contributes to economic growth.

He said the Agribusiness/ Small and Medium Enterprises Investment Scheme (AGSMEIS), an initiative of The Bankers’ Committee that aims to support the Federal Government’s efforts and policy measures for the promotion of agri-businesses and small and medium enterprises (SMEs) in statuary and would be revolving.

AGSMEIS is a vehicle for sustainable economic development and employment generation.

N135.58 billion was disbursed under the AGSMEIS while 37,646 agribusiness and artisanal projects were financed across the country. 107,932 direct and indirect jobs were created.

Besides other impacts, the initiative boosted the productive capacity of the domestic equipment fabrication industry across the country.

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