CBN Gives N55.34 Billion Loan in May Under 100 For 100 Loan Scheme, Lists How to Benefit

• Nigeria's central bank said it has disbursed about N55.34 billion under the 100 for 100 loan scheme as of May 2022
• The CBN said the 100 for 100 scheme is an intervention meant to earn the country foreign exchange and boost productivity
• The bank said candidates wishing to benefit from the scheme must ensure that they meet the required criteria

Nigeria’s apex bank, the Central Bank of Nigeria (CBN) has paid out N55.34 billion under the 100 for 100 Policy on Production Productivity (PPP) scheme as of May 2022.

Data obtained from the CBN’s communique of the Monetary Policy Committee (MPC) held Monday, 23 May 2022 shows.

The scheme was launched on November 1, 2021, and will choose 100 private sector businesses with projects that have the ability to increase local productivity and Nigeria’s ability to earn the country's foreign exchange.

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Why CBN launched the policy

Nairametrics reports that the CBN’s initiative is a financial tool aimed at boosting the flow of funds and capital to companies that can initiate long-term economic growth, hasten structural transformation, promote diversity and raise productivity.

According to the CBN, it has given out about N55.34 billion under the 100 for 100 scheme to about 44 projects which comprise 24 in the manufacturing, agriculture, healthcare and the services sector.

The apex bank also tried to increase manufacturing via its intervention to support the sector's growth.

How to apply for the loan scheme

According to the CBN, to become eligible for the 100 for 100 loans, the candidates must be involved in businesses that import or export products in and out of Nigeria and earn foreign exchange for the country. They must be non-oil export products, the CBN said.

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After ensuring that the right boxes are ticked, candidates must submit their applications to their commercial banks alongside their needed documents comprising evidence of the company’s formation, like certification of incorporation, three years of audited financial reports, creditworthiness certification, including directors and promoters of the business.

Candidates should also submit a minimum of two credit reports of the company and directors, and a business plan involving the project that needs financing. They should provide a detailed status report on projects’ capability utilization, production output, product/efficiency level, employment level, and value creation, among others.

243 companies fight for CBN’s N23 billion 100 for 100 loan scheme

Legit.ng reported that about 243 companies applied for a loan scheme by the Central Bank of Nigeria (CBN).

In the end, the Central Bank of Nigeria (CBN) said about 28 companies whose projects pleased the bank’s conditions for ‘100 for 100 Policy for Production and Productivity.’

The apex bank said that this happened after 243 firms submitted applications with projects valued at N321.06bn for the 100 loan scheme.

Source: Legit.ng