The Minister of State for Petroleum Resources, Dr. Ibe Kachukwu has explained that the key target of the inauguration of $200m, about N620bn local content intervention fund, saying the Federal Government bought the idea to grow activities of local investors in the hitherto foreign-dominated sector.
He also noted that the initiative which had been in the works for some time now, was in pursuant of the Business Environment and Investment Drive Component of the #7BIGWINS.
Business Hilights gathered on Thursday, that the #7BIGWINS is a document of the ministry that focuses on the short and medium-term priorities targeted at growing the nation’s oil and gas industry between 2015 and 2019.
The NCIF sought to enhance access to the Nigerian Content Development Fund through financing products that could meet the diverse funding needs of the Nigerian oil and gas service providers.
Analysts say the business environment/investment drive component of the NCIF would ensure that there was a marked shift towards improved governance and transparency, a renewed approach to solving the Niger Delta militancy issues, deregulation of the downstream sector as well as policy, fiscal and regulatory reforms in the sector.
Besides, the initiative will further encourage an influx of potential investors into a portfolio of high-value projects of about $100bn with healthy and diversified returns,” it said.