Central Bank of Nigeria (CBN) has introduced an intervention fund of N50 billion to revive the cotton, textile and garment sector of the country. The fund will be given to beneficiaries of the bank to facilitate takeover of existing debts and provide working capital and long term loans to Nigerian textile and garment manufacturing companies. The intervention fund will be provided to 40 beneficiaries belonging to the entire textile value chain, stated acting managing director of Bank of Industry (BOI) Waheed Olagunju at a textile forum held in the Nigerian city of Abuja. CBN already released an amount of N13.37 billion that has been paid to a few beneficiaries, according to Nigerian media reports. “As part of its efforts to promote the development of the textile and garment sector, the CBN recently put in place a N50 billion special intervention facility to facilitate takeover of the existing debt as well as provide additional long term loan and working capital facility to existing companies in the cotton, textile and garment sectors,” said Olagunju. He also added that the BOI and the Federal ministry of industry, trade and investment is working together to find solutions for issues like smuggling, counterfeiting and patronage of locally made goods. Additionally, BOI has approved loans amounting to N60 billion for 70 projects under the cotton value chain.
