To equip entrepreneurs with training and finance to produce ready goods for export especially with anticipated increase in industrial activity in the state, the Edo State Government has commenced talks with the Nigerian Export-Import (NEXIM) Bank on how she can access over N553 billion funding for local manufacturers and industries.
Edo State Governor, Godwin Obaseki, represented by the Commissioner for Wealth Creation, Cooperatives and Employment, Emmanuel Usoh, at a meeting organised for local manufacturers and officials of NEXIM Bank, said, “Edo State has the comparative advantage for exporting local goods which will create employment for youths.”
Obaseki said the state government is working to rev up industrial activity with the coming of the industrial park, modular refinery, inland container depot, Gelegele Seaport and the rice farm, all of which are geared to encourage exportation and earn foreign exchange.
He said, “The state government intends to achieve its promise to create 200,000 jobs in the first four years of this administration, with the funding windows offered by NEXIM Bank.”
Obaseki noted that a business bureau will be set up to coordinate the activities of local manufacturers, adding, “There is need for NEXIM Bank to situate a desk office in the state’s Ministry of Wealth Creation, Cooperatives and Employment to promote strong partnership.”
Executive Director, Business Development, NEXIM Bank, Stella Okotete, said, “Nigeria is only exporting 10 percent of Cocoa consumed globally with N13 billion spent monthly on cocoa. But, we spend over N13 billion on chocolate import.”
According to her, “With the diversification policy of President Muhammadu Buhari, the country is making effort to promote manufacturing activities in the non-oil sector of the economy. Since Edo State has a drive to diversify its economy, NEXIM Bank has the fund to assist the state government and to encourage local manufacturers to improve their goods to meet international export standards.”
Okotete said funding will no longer be a challenge for local manufacturers who intend to export their goods, noting, “Local manufacturers can access funds from NEXIM Bank to improve the quality of their goods. Local manufacturers need to grow their capacities and contribute to job creation.”
“The NEXIM export stimulation fund is N500 billion with a single digit interest rate, between 5 to 9 percent.
“To access the loan, local manufacturers are expected to have an off-taker agreement, an export contract, registration with Corporate Affairs Commission (CAC), three years financials, with an application fee of N50,000. The fund will be available to the local manufacturers within 32 working days.”
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