Archive AFDB Approves $350m to Two Nigerian Banks

AFDB Approves $350m to Two Nigerian Banks


- Advertisment -

African Development Bank has approved $300 million and $50 million loans to First Bank of Nigeria and FSDH Merchant Bank Nigeria respectively to support import-export activity of local enterprises.

The AfDB disclosed this in its monthly newsletter signed by the Nigeria Country Field Office on Wednesday in Abuja.

The Bank stated that the two facilities were part of AfDB’s broader efforts to provide countercyclical support to the Nigerian economy at a time of falling commodity prices.

It said that the fall had caused shortages in foreign currency supply and led to unmet demand for trade finance instruments to support Nigeria’s ongoing economic transitions.

The bank said, “The facilities will support local enterprises involved in import-export activity.

“The loans will help to address critical market demand for trade finance and dollar liquidity by supporting vital economic sectors.

“Such sectors include agri-business, chemicals, construction and engineering, food processing, manufacturing and non-traditional exports.

“It will foster financial sector development, enhance regional integration, contributing to increased government revenue generation at a time when the Nigerian economy is facing fiscal pressures and foreign currency liquidity challenges.

“The loans will also enhance support to domestic enterprises whose businesses are being hamstrung by shortages in dollar funding.”

AfDB said that if fully utilised, counting rollovers, the interventions were expected to facilitate about 2.5 billion dollars of export-import related activity in intermediate and finished goods, raw materials and equipment.

The bank said this would lend support to economic growth and tax generation over a 3.5-year period.


Please enter your comment!
Please enter your name here

Latest news

JONAPWD-LAGOS Commends Sanwo-Olu For Restoring Disability Empowerment Fund

Kenneth Afor |  The Joint National Association of Persons Living With Dissabilities (JONAPWD ) in Lagos state has commanded Babajide...

Groups Call On Judicial Panels Of Inquiry To Dispense Justice On Victims, Survivors Of Police Brutality

Kenneth Afor | The Network on Police Reform in Nigeria (NOPRIN) and Centre for Law Enforcement Education (CLEEN Foundation) has...

COVID-19 Second Wave: FG Urged To Ban Flights From Britain, Others

By Ijeoma Ukazu | With some countries currently experiencing the spread of the new COVID-19 variant, the Health Writers’ Association...

“I am not distracted by calls for 2023 presidential race” — Yahaya Bello

Kogi state Governor Yahaya Bello has said calls for him to contest in the forthcoming 2023 presidential election is...

AfDB Provides $25m To Boost Low-Carbon Energy Generation

The African Development Bank’s Board of Directors on Monday, December 14, 2020 approved $15 million from the Sustainable Energy...

Civil Defence Receives COVID-19 Testing Equipment

The Commandant General, Nigeria Security and Civil Defence Corps, Abdulahi Gana Mohammadu on Friday in his office received Covid...

Must read

JONAPWD-LAGOS Commends Sanwo-Olu For Restoring Disability Empowerment Fund

Kenneth Afor |  The Joint National Association of Persons Living...
- Advertisement -

You might also likeRELATED
Recommended to you

%d bloggers like this: