Coronavirus: CBN injects N1.1trn into economy

The Central Bank of Nigeria (CBN) says it will increase economic interventions activities by N1.1 trillion owing to the continued impact of the coronavirus on global supply chains.

This is contained in a statement signed by Godwin Emefiele, the CBN governor, in Abuja on Wednesday.

Emefiele explained that the bank would increase its intervention in boosting local manufacturing for import substitution by another N1 trillion across all critical sectors of the economy.

He said the management of the CBN would meet with the bankers committee on Saturday to work out the modalities.

The apex bank had, on Monday, announced six palliatives to cushion the effect of the coronavirus disease outbreak on the economy.

In addition to the N50 billion soft loans to small businesses already announced, the CBN governor said the intervention programme will be increased by another N100 billion.

He said the fund would be used to support health facilities to ensure laboratories, researchers and innovators work with global scientists to patent and or produce vaccines and test kits in Nigeria to prepare for any major crises ahead.

To this end, he directed all deposit money banks in the country to increase their support to the pharmaceutical and healthcare industry.

He said an implementation committee would be set up to action the private sector’s contribution of N1.5 trillion for infrastructure funding to link farming communities to markets.

Banks and other regulated entities in the banking sector were also advised to “trigger their business continuity plans” to ensure that their staff and families are protected.

The CBN boss enjoined banks to adhere strictly to the directives, advice, and notices from the ministry of health, National Centre for Disease Control and other relevant government agencies on national response measures to COVID-19.

He urged the institutions to ensure their operations remained largely undisrupted.