The Central Bank of Nigeria (CBN) has set guidelines towards the availability of its N100 billion COVID-19 intervention loan for players in the health sector. This is a part of its policy measure initiated to help small business, households, and stakeholders through the pandemic.
Here are the guidelines and implications for businesses in the health sector are:
How to apply for the loan
A corporate entity is expected to submit its application to a Participating Financial Institutions (PFI) of its choice with a bankable business plan.
Once received, the application will be appraised and will undergo due diligence. Upon approval, the application will be submitted to the Central Bank of Nigeria with relevant documents attached.
CBN will thereafter process and disburse funds to the PFI for onward release to the project/beneficiary.
The deadline for the availability of the scheme is until 31 December 2020.
What are the objectives of the Scheme?
By this scheme, CBN intends to:
i. Conserve foreign exchange by reducing health tourism in order to conserve foreign exchange;
ii. Infrastructure development by providing long-term low-cost finance;
iii. improve access to affordable credit by indigenous pharmaceutical companies in order to expand their operations, and
iv. support the provision of shared services through one-stop healthcare solutions to enhance competition and reduce the cost of healthcare delivery in the country.
Who are the Stakeholders under the Scheme?
The CBN, Participating Financial Institutions (PFIs) and the borrowers/ beneficiaries are the major stakeholders under the Scheme.
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