CBN identifies first 3,256 individuals and businesses to benefit from N50 billion credit facility

THE Central Bank of Nigeria (CBN) through NIRSAL Microfinance Bank has identified 3,256 individuals and businesses to benefit from the N50 billion Targeted Credit Facility (TCF).

TCF is a stimulus package to support households and Micro, Small and Medium Enterprises (MSMEs) affected by the COVID-19 pandemic which they can access at a maximum amount of N25 million each as earlier announced by the CBN.

Abubakar Kure, the Managing Director of NIRSAL MFB, who launched the disbursement on Thursday in Abuja, said 3,256 individuals and businesses would benefit from the first phase of the disbursement.

NIRSAL MFB, which is the sole coordinator of the process said it has received over 80,000 requests since on 14th April.

The NIRSAL MFB boss did not disclose the value of the credit allocated under the first tranche but said the bank was passionate about disbursing the fund only to individuals and businesses terribly affected by the pandemic.

NIRSAL MFB has said that the fund would afford beneficiaries the chance to continue productive activities when the economy gradually reopens after the lockdown.

Sectors covered in the guideline include agricultural value chain, health (pharmaceuticals and medical supplies), airline services, hospitality (accommodation and food services), trading, manufacturing/value addition and other income-generating endeavours as prescribed by the CBN.

The apex bank said the aim of the fund is to cushion the effect of the pandemic to provide cash flow owing to the lockdown and the restrictions in movement of people.

The Coronavirus Disease (COVID-19) pandemic has led to unprecedented disruptions to global supply chains, sharp drop in global crude oil prices, turmoil in global stock and financial markets, massive cancellation of sporting and entertainment event.

The lockdown of large swaths movements of persons in many countries, and intercontinental travel bans/restrictions across critical air routes across the world.

NIRSAL MFB said these outcomes have had severe consequences on households’ livelihoods and business activities, resulting in a drop in global demand, declined consumer confidence and slowdown in production.