Exporters express worry over delay in disbursement of N500bn fund

cocoa exports

The Cocoa Exporters Association of Nigeria on Wednesday, called on the  Central Bank of Nigeria (CBN) and Nexim Bank to urgently do something  about the disbursement of the N500 billion Federal Government loan for  non- oil export.

The National Secretary of the association, Kayode Babade, made the  call in an interview with the newsmen in Akure.

According to him, the disbursement is imperative considering the  recent crash of crude oil price and the dwindling foreign exchange  flow in the country.

“It is on the desire to promote non-oil export that the CBN announced  on Feb. 2, 2016 that, it had released N500 billion export stimulation  fund to Nexim for onward lending to qualified exporters.

‘’This is through commercial banks at single digit interest rate,” he said.

Babade, however, said that barely a year after the release of the fund  the exporters were yet to see the fund readily available for  disbursement.

“We are at present trading at a commercial interest rate of between 24  and 27 per cent and it is retarding the growth of the export business.

“Borrowing at 27 per cent for export trade is retarding the growth of  export business in Nigeria and that we are competing with foreigners  who are borrowing at below 5 per cent in their country.”

Also speaking, the National President of the association, Pius  Ayodele, called on the authorities to start disbursing the fund in the  best interest of the nation’s economy.

According to him, the exporters have over the years contributed  greatly to the nation’s economy by generating foreign exchange  proceeds into the country.