Lagos – The Nigerian Export-Import Bank (NEXIM) on Tuesday in Lagos said that moves were underway to begin the implementation N500 billion Export Stimulation Facility Funds.
Mr Bashir Wali, Managing Director of the bank made this known at a stakeholders engagement forum on the operating guidelines for the Export Stimulating Facilities (ESF) and the Export Discounting Financing Facilities (ERF).
Wali was represented by his technical adviser, Mr Hope Yongo.
NAN reports that the immediate past Managing director of the bank, Mr Roberts Orya, had in February 2016, declared that the Central Bank of Nigeria (CBN) had approved the funds for non-oil exporters under the ESF and ERF schemes
According to NEXIM bank, the funds are disbursed by the CBN, while NEXIM banks will act as disbursing agents to ensure the funds are disbursed to non-oil exporters through deposit money banks and commercial banks.
Wali said that the objectives of the ESF were to the access of exporters to concessionary finance to expand and diversify the non-oil export baskets.
He said that the facility would attract new investments and encourage re-investments in value-added non-oil export production and non-traditional exports.
“The funds will also go along way in creating more jobs within the non-oil export value-chain and support export-oriented companies to upscale competitiveness and expand their export operations and disbursed.
“It is also an avenue to broaden the scope of export financing instruments and increase the level of contribution on non-oil exports revenue for sustainable economic development.
“Under the ESF, only export-oriented enterprises are eligible and such company must be duly incorporated in Nigeria under the Companies and Allied Matters Act, (CAMA), with verifiable export take-off contracts.
“Such a company should also show satisfactory credit reports from at least two credit bureaus, in line with the provision of the CBN circular, dated BSD/DIR/GEN/CIR/04/014 dated April 2014.
“They must also produce their Eligible Bank Assets (EBA) purchased by the Asset Management Corporation of Nigeria (AMCON), and must be involved in goods wholly or partly processed or manufactured in Nigeria,” Wali said.
He also said that the companies must be into export of commodities, and services such transportation, warehousing, and quality assurance and infrastructure.
The NEXIM boss added that companies dealing in import of machinery, spare parts, and packaging materials, among others, were also eligible.
Also speaking at the event, the President of the Manufacturers; Association of Nigeria’s Export Promotion Group (MANEG), Chief Tunde Oyelola, said that the forum was organised to sensitise non-oil exporters on the arrangement and operating guidelines of the Export Stimulation Facility before its full implementation.
“With the decline in price of crude oil in the international market, diversification into non-oil exports remains the perfect alternative across the world, especially our great country, Nigeria.
“As part of our efforts to promote non-oil exports, the MANEG has written to CBN, Ministry of Finance & Budget, and Ministry of Trade and Invesment, suggesting that the NDCCs certificates should be allowed, in order to access credit at 9 per cent as declared by the apex bank.
“Furthermore, a window should be created through the CBN funds to accomodate members who have borrowed from their banks earlier so that they can benefit from the scheme.
“This will go a long way in advancing the economic diversification agenda of the government,” Oyelola said. (NAN)
