BoI, Ebonyi in N4bn deal to drive industrialisation
by ODINAKA ANUDU
July 24, 2017 | 12:19 am| | | Start Conversation
In order to drive industrial development and fast-track job and wealth creation, the Bank of Industry (BoI) and the Ebonyi State government have signed a N4billion memorandum of understanding (MoU) to boost agriculture and encourage establishment of new industries in the state.
The N4 billion fund is targeted at setting up at least one industry in each of its 150 communities which the fund is meant for.
Speaking at the event held in Abakiliki recently, Governor Dave Umahi of Ebonyi state commended BoI for supporting the state’s economic growth initiative with 50 per cent of the fund, stressing that the bank was indeed not out to make money but to bolster development.
“Free money is not productive when it is not worked for and the way to go about empowerment is what we have done today with the BoI, which has made tremendous impact in recent times. If this is enacted across the 36 states of Nigeria it will lead to job creation on a massive scale,” Umahi said.
He said the N2billion would be dedicated to the agric sector while the other N2billion would go to the industrial sector.
He said beneficiaries of short-term loans would be charged five per cent, while long-term beneficiaries would pay back 6.25 per cent.
Earlier in his remarks, Kayode Pitan, managing director of BoI, noted that the bank had been involved in supporting entrepreneurs in the growth of large and small scale industries in the state before now in excess of N2billion.
“With this, we will now be able to help more people to get employed as well as enhance the growth of the solid minerals sector as the governor has also requested,” he said.
Pitan said that the development finance institution was ready to finance more projects beyond the scope of the MoU.
“We are partners with the state and are happy that this MoU has further strengthened that partnership,” he said.
Some of the projects financed by BoI include Ebony Agro Industries, Crystal Chemical Nigeria Limited, Hapelroadstone Nigeria Limited as well as Maxdove Foam and Chemical Industries Limited.
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