The Central Bank of Nigeria (CBN), has attributed the significant increase in Nigeria’s non-oil exports to its various interventions in key sectors of the economy.
The CBN also said that its policies were designed to fast track economic growth which has led to a reduction in annual Imports Bill recorded in the country.
The CBN Deputy Governor, Corporate Services, Edward Adamu stated this at the ongoing 28th Seminar for Finance journalists in Owerri tagged, “Galvanizing Development of Finance and Monetary Policy Growth”.
Represented by the Director, Corporate Communications Department, Mr Isaac Okorafor Adamu said the bank has put mechanisms in place to promote non-oil exports.
“Our Development Finance interventions have helped to bolster agricultural production by removing obstacles faced by smallholder farmers.
“We have also improved access to markets for farmers by facilitating greater partnership with agro-processors and industrial firms in the sourcing of raw materials.
“So far, the programme has supported more than 1.5 million farmers across all the 36 States of the country in cultivating 16 different commodities on over 1.4 million hectares of farmland.
“It has also supported the creation of over 2.5 million jobs across the agricultural value chain ” he said.
The deputy governor also urged the media to play a critical role in conveying a deeper understanding of the bank’s commitment to economic growth and development.
Making reference to some of the bank’s intervention, he said it was the CBN’s intervention in the rice value chain in Kebbi and other rice-producing states across the country that increased local production from 2.5 million tonnes in 2015 to 5.8 million tonnes in 2017.
Adamu also said that the bank was also supporting cotton intervention with the inauguration of the input distribution to 150,000 cotton farmers, cultivating 150,000 hectares in 23 states of the federation.
Though we adopted unconventional or heterodox monetary policies, they were, however, well thought through and have been yielding significant gains for the Nigerian economy. Noticeably, the GDP recovery in the third quarter of 2017, which has been sustained for 9 successive quarters after 5 consecutive quarters of negative growth.
On monetary policies, Adamu said “The unconventional monetary policy initiatives have been premised on ensuring credit delivery to critical sectors of the economy. This has informed the directive to Deposit Money Banks to maintain a minimum Loan to Deposit Ratio (LDR) of 65% by the end of December 2019. The Bank is also creating the necessary eco-system to inculcate a better credit culture among Nigerians,”
He further stated that improved access to markets for farmers has facilitated better partnership with agro-processors and industrial firms in the sourcing of raw materials, as the programme has so far supported more than 1.5m farmers across all the 36 States of Nigeria, in cultivating 16 different commodities over 1.4 million hectares of farmland.
He added the apex bank’s intervention also supported the creation of over 2.5m jobs across the agricultural value chain.
According to the CBN deputy governor, additional intervention into cassava is on the way as the commodity has many different uses along the value chain with a potential of providing over 2 million jobs.