CBN extends single-digit interest rates on intervention facilities until 2023

The Central Bank of Nigeria (CBN) has announced its intention to extend the single digit interest rate of its various intervention facilities until March 1, 2023.

The development was revealed by the CBN Governor, Mr. Godwin Emefiele, at a press conference in Abuja, following a meeting of the Bankers’ Committee.

According to Emefiele, the apex bank would review the intervention programs, to ensure that they continue to achieve the desired goals.

“While interest rates on our various intervention facilities are expected to return to 9% effective March 1, 2022, we are announcing that rates will remain at 5% for another year.”

This is due to the promising trajectory we have established for economic growth and job creation.

“Indeed, the prime interest rate of 5% on our intervention facilities will now be extended until March 1, 2023,” Emefiele said.

Further, he noted that the CBN, in conjunction with database management systems and participating financial institutions, had extended over N3 trillion naira in intervention loans, which was critical to the the country’s economic recovery and job creation.

Meanwhile, one of the CBN’s interventions to spur economic recovery is the Anchor Borrower Program (ABP).

According to Emefiele, the bank had disbursed N948 billion to 4,478,381 smallholder farmers, who were cultivating 5.

2 million hectares of agricultural land across the country, under the PBA, and created about 12.

5 million direct and indirect jobs.

“Additionally, under its Targeted Credit Facility, intended to assist households and businesses that have suffered significant losses during the COVID-19 pandemic, the Bank has disbursed N368.

79 billion to 778,000 beneficiaries comprising 648,052 households and around 130,000 SMEs,” he said.

The CBN Governor added that the bank has also rolled out N1.

452 trillion to 337 projects in agriculture, manufacturing, services and mining under the Real Sector Support Facility.

“For the AGSMEIS program, which targets agribusiness SMEs, a total of N134.

63 billion was released for 37,571 SME projects, of which 67% were projects directly related to agriculture, 22.

5 percent in services, while the rest was in fashion, information technology and related subsectors.

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CBN extends single-digit interest rates on intervention facilities until 2023

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