The Central Bank of Nigeria (CBN) Governor, Mr. Godwin Emefiele on Monday announced some new policy measures to tackle the impact of coronavirus on businesses and the country’s economy.
Mr Godwin Emefiele, during a media briefing in Abuja reveal that from March 1, the apex bank CBN, had granted a one-year moratorium on all of its intervention funds
The CBN governor said the one-year moratorium was granted to reduce the burden of loan repayment by businesses. This means that any intervention loan currently under moratorium has been granted additional one-year period.
The CBN had through the Deposit Money Banks provided a total of N3tn to the SME sector of the economy.
The loans are given through the Commercial Credit Guarantee Scheme (CCGS), the Anchor Borrowers Programme, among other intervention.
Emefiele also said the bank had agreed to reduce the interest rate on all of its intervention funds from nine per cent (9%) to five per cent (5%) for a one-year period, effective March 1 this year.
The apex bank governor also said the CBN would create another N50bn credit facility to boost the economy.
The fund, according to the governor, will be disbursed through the NIRSAL Microfinance Bank for households and SMEs that had been particularly hard hit by Covid-19.
The credit would also be extended to hoteliers, airlines, service providers, and health care merchants, among others.
This means that any intervention loan currently under moratorium has been granted additional one-year period.
Accordingly, the governor said participating financial institutions have been directed to provide new amortisation schedules for all beneficiaries.
To meet potential increase in demand for healthcare services and products, Emefiele said the CBN had opened for its intervention facilities loans to pharmaceutical companies intending to expand their drug manufacturing plants in Nigeria.
