The Central Bank of Nigeria (CBN) on Monday, announced intervention loans to pharmaceutical companies planning to expand or open drug manufacturing plants in Nigeria .
CBN Govenor Godwin Emefiele said the apex bank will grant one-year moratorium on all principal repayments on all CBN intervention facilities .
The apex bank said the intervention facilities to hospitals and healthcare practitioners who plan to build health facilities or expand existing facilities to first class centres .
The CBN also restated commitment to support household, businesses, other stakeholders to cushion economic impact of corona virus .
According to a statement, the apex bank directed participating financial institutions to provide new amortization schedule for all beneficiaries of CBN intervention facilities .
Emefiele also announced reduction of interest rates on all applicable CBN intervention facilities from 9% to 5% per annum with effect from March 1, 2020 .
“CBN creates targeted credit facility through NIRSAL Microfinance Bank for households and small and medium-sized enterprises (SMEs) hit by COVID19.
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“CBN grants Deposit Money Banks (DMBs) leave to consider temporary and time-limited restructuring of tenor and loan terms for businesses in oil and gas, agriculture, manufacturing and households affected by outbreak of COVID-19 .
The Governor pledged that CBN support for industry funding levels to maintain capacity of DMBs to direct credit to individuals .
“The CBN stands ready to provide liquidity backstops as and when required in view of its role as Banker to the Federal Government and lender of last resort” .
The apex regulatory bank said it would issue further updates on Bank’s response to economic impact of corona virus.
