The Real Sector Support Facility- Differentiated Cash Reserve Requirement (RSSF-DCRR) of the Central Bank of Nigeria (CBN) was introduced to stimulate and sustain growth in key sectors of the economy. The objectives of the real sector development initiatives include reviving moribund sectors of the economy, empowering the youth population, exploring the untapped potential in various economic landscapes, and enhancing foreign exchange inflow.
In recognition that of the importance of access to finance, being is a key limiting factor to for innovation and development of the global economy in Nigeria, the CBN’s key development finance interventions are targeted at priority sectors/segments which include:
- Agriculture
- Manufacturing
- Infrastructure
- HealthCare
- Youth and Entrepreneurship Development
- Export
- Micro, Small and Medium Enterprises (MSME’s)
These interventions have significantly contributed to the overall growth of the Nigerian economy. The CBN has financed about 18,439 and 16,479 projects, in Ekiti and Osun states, respectively. Some projects that benefited from the Bank’s interventions in the two states are highlighted below:
EKITI STATE
Real Sector Support Facility-Differenciated Cash Reserve Requirment (RSSF-DCRR)
The Real Sector Support Facility (RSSF) was set up with the objective of fast tracking the development of critical sectors of the economy e.g. manufacturing, agriculture value chain and the service sub-sectors of the Nigerian economy. It is aimed at increasing output, generating employment, diversifying the revenue base, increasing foreign exchange earnings and providing inputs for the industrial sector on a sustainable basis. Under this intervention programme, priority is accorded to projects with high local content, import substitution, foreign exchange earnings and potential for job creation.
Name: Promasidor Nigeria Limited
Intervention: RSSF-DCRR
Sector: Agriculture
There are 18,439 beneficiaries of CBN interventions in Ekiti State and one of the beneficiaries of the RSSF-DCRR is Promasidor Nigeria Limited. Promasidor Nigeria is the leading provider of high-quality food products across various regions in Africa.
The company accessed the loan to partly finance the establishment and expansion of one of its subsidiaries, the Ikun Dairy Farm. Located at Etan Road, Ikun Amure in Ekiti State, the farm has a large expanse of land, and they are currently cultivating 180 hectares of maize and 15 hectares of soybeans farm. One remarkable fact about the Ikun Dairy farm is that they cultivate the Rhodes grass used in feeding the cows. Rhodes grass is cultivated on 20 hectares of the farm.
They have 264 milking cows and 43 calves on the farm with an average milk production of 850 liters per day.
The project is currently undergoing expansion with a new bedding for the calves being constructed.
The Agri-Business Small And Medium Enterprises Investment Scheme (AgSMEIS)
Agribusiness Small and Medium Enterprises Investment Scheme (AgSMEIS) was established to support the Federal Government’s efforts at promoting agricultural business /small and medium enterprises (SMEs) as a vehicle for sustainable economic development and employment generation
Name: Apanisile Tope
Intervention: AgSMEIS
Sector: SME
Apanisile Temitope is one of the beneficiaries of the Agribusiness Small and Medium Enterprise Investment Scheme (AgSMEIS) in Ekiti State. She is a fashion designer and native of Ikere Ekiti who heard of the CBN intervention from a friend.
The information about the CBN loan came at a challenging time in her life when it was difficult to feed and send her children to school. The loan changed her life and business as she was able to renovate her shop, sell tailoring materials and take care of her family.
Targeted Credit Facility (TCF)
In response to the COVID-19 pandemic, the Central Bank of Nigeria granted loans to households and small businesses to cushion the effects of the pandemic across the country. The Targeted Credit Facility (TCF) supports households and small businesses affected by the COVID-19 pandemic.
Name: Prince Adeyemi Kolawole
Intervention: Targeted Credit Facility
Sector: SME
Location: Ekiti State
One of the beneficiaries of the Targeted Credit Facility (TCF) in Ekiti State is Prince Adeyemi Kolawole, a businessman and the CEO of Smart Price Ventures.
He read about the TCF from ‘Nairaland’, an online blog and initially thought it was a scam or that he was required to know someone in the system. However, he was amazed when he applied, and it was approved without having to know anyone within the system. Due to the impact of the COVID-19 pandemic, his business had suffered a setback like many others was down like it was around the world. With the CBN loan, he was able to employ more workers and get more goods in his warehouses.
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