#COVID19: We Have Disbursed N338.6bn Intervention Funds

N338.6billion coronavirus-related intervention funds have been disbursed by the Central Bank of Nigeria (CBN), to beneficiaries across various sectors.

Sanusi Aliyu Rafindadi, member, Monetary Policy Committee (MPC), made this known in a note released by the apex bank.

According to Rafindadi, reports of the implementation of the CBN’s COVID-19 intervention had shown significant progress in disbursements.

Over N152.9 billion (or 15.2 per cent) of the N1 trillion targeted support for the manufacturing sector has been disbursed. Of the N100 billion Healthcare funds, N26.278 billion (or 26.3 per cent) has been disbursed to fund 20 projects.

Additional 16 applications for N67.413 billion were under processing. Of the N50 billion Targeted Credit Facility for Households and Micro, Small and Medium Scale Enterprises(MSMEs), N49.195 billion has been disbursed to 91,736 beneficiaries, while N1.5 billion was disbursed to 169 beneficiaries under the Creative Industry Financing Initiative.

Under the Agri-Business/Small and Medium Enterprise Investment Scheme (AGSMEIS), N41.41billion has been disbursed to 11,613 beneficiaries.

He said successful and timely disbursement of the entire N3.5 trillion would go a long way in providing the needed low-cost liquidity to businesses and households as the economy gradually re- opens.

“Inflation is forecasted to continue on its upward trend throughout 2020 due to the rising exchange market pressure, higher food costs due to the supply chain disruptions, the continued closure of all land borders, insecurity in the food-producing areas, and higher transport costs,” he said.

Consequently, oil price, which was $43.80/b (OPEC Basket) as at July 17, is forecast to average US$41/b in 2020 and rise slightly to $50/b in 2021 (United States Energy Information Administration (EIA).

Global trade volumes, which has started to recover, is projected to decline by between 11.4 per cent (OECD’s forecast) and 20 per cent (UNCTAD’s forecast) in 2020.

He said: “Global exports and international travels are likewise expected to decline by 11.5 per cent in the possible event of a second-wave of the COVID-19 infection. Key implications of this development for the domestic economy includes lower fiscal revenue, current account balance and foreign exchange receipts, with a potentially adverse effect on public debt, exchange rate stability and external reserves accretion.”