COVID-19: CBN To Stimulate Economy With Another N1tr, Meets Bank Chiefs Saturday

•Health sector to get additional N100b loan Boost
The Central Bank of Nigeria (CBN), on Wednesday, made another effort to help steer the nation’s economic ship from slipping into another round of recession as the Coronavirus pandemic hits the global economy supply chains harder, raising its intervention by N1 trillion. harder,
The latest move, which is in addition to N100bn loan in 2020 to enable the health sector players, is coming two days after it unveiled a six-point palliative to ameliorate the continued impact of the coronavirus on the Nigerian, is aimed at boosting local manufacturing and import substitution across all critical sectors of the economy.
The N100bn loan is support for health authorities to ensure laboratories, researchers and innovators work with global scientists to patent and or produce vaccines and test kits In Nigeria to prepare for any major crises ahead
The CBN Governor, Godwin Emefiele, who announced this in Abuja on Wednesday, March 18, 2020, said the apex bank’s management will meet with the Bankers’ Committee, comprising chief executives of banks in the country, on Saturday, March 21, 2020, to work out the modalities.
Emefiele also told newsmen that an Implementation Committee to action the private sector contribution of N1.5tr Infrastructure funding that will link farming communities to markets as agreed at the recently concluded “Going for Growth” Roundtable last week will be set-up next week.
Given the plunge in the price of oil, which dropped to $25 per barrel on Wednesday with its attendant low accretion to oil revenue, the CBN Governor directed all Deposit Money Banks to increase their support to the pharmaceutical and healthcare industries to enhance local drug manufacturing, increased bed count in hospitals across Nigeria, in funding intensive care as well as in training, laboratory testing, equipment, and Research &Development.
In addition to the N50 billion soft loans to small businesses announced on Monday, March 16, 2020, Emefiele said the CBN would also increase its intervention by another N100 billion in loan in 2020, to support the health authorities to ensure laboratories, researchers and innovators work with global scientists to patent and or produce vaccines and test kits In Nigeria to prepare for any major crises ahead.
According to him, the CBN will release details of how the unveiled facilities would be accessed and released, adding that the CBN had also set-up the Financial Markets Situation Room to monitor global markets and advise the Bank on adequate response.
Meanwhile, Emefiele has advised all Deposit Money Banks and other regulated entities in the banking industry to trigger their business continuity plans to ensure that their staff and families are protected, and their operations remain largely undisrupted.
He further advised the banks to adhere strictly to the directives, advice, and notices from the Federal Ministry of Health, National Centre for Disease Control and other relevant government agencies on national response measures to COVID-19.
As a way of checking the possible spread of the virus, he urged the institutions to ensure regular and appropriate sanitization of their premises and make available in all their locations adequate sanitization materials and also to discourage large gatherings of staff and customers.
While pledging that the CBN will continue to monitor all developments on the COVID – 19 infections and design appropriate Monetary response to protect the people and economy of Nigeria, Emefiele urged that Nigerians take advantage of turning what appeared to be adversity in the pandemic into an opportunity.

Photo caption: President Muhammadu Buhari (sitting in the middle); vice President Yemi Osinbajo, third left; Emefiele, third right; Alhaji Aliko Dangote, second right and Jim Ovia, Chairman, Zenith Bank Plc, and others participants at a one-day roundtable forum tagged “GoingforGrowth2.0” held at the State House, Abuja on Wednesday, March 11, 2020.

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