Executive Secretary of Nigerian Content Development and Monitoring Board (NCDMB), Simbi Wabote has revealed that a new governance framework for the fund which had been finalised and the updated Memorandum of Understanding (MoU) with Bank of Industry (BoI) will be signed before the end July for real take off.
Explaining issues during a visit to the new managing director of BoI, Mr. Olukayode Pitan, in Lagos, he also disclosed that his agency has announced fresh plans to increase the Nigerian Content Intervention Fund (NCIF) to $200 million from the initial $100 million.
According to him, some of the key features of the NCIF include seamless loans disbursement directly by BoI at single digit interest rate and repaid within five years.
He noted that the only contributors to the Nigerian Content Development Fund (NCDF), with bankable proposals in the oil and gas industry would have access to the NCIF facility when it becomes operational.
Business Hilights recalls that gather the NCIF replaced the original model where the NCDF provided partial guarantees and 50 per cent interest rebate to service companies who obtained facilities from commercial banks for asset acquisition and projects execution.
Before now and under the NCDF model, industry stakeholders experienced difficulty accessing funds, a development that necessitated a change of strategy by the board.