Site icon Nairametrics

COVID-19 interventions cost 3.5% of Nigeria’s GDP – CBN

SCOOP: CBN supplies mutilated N50 notes to banks, contributing to sustained cash scarcity

The implemented initiative of the Central bank of Nigeria to mitigate COVID-19’s economic impact accounted for about 3.5% of Nigeria’s Gross Domestic Product.

Godwin Emefiele, the CBN Governor stated this during his presentation at the 30th annual conference of financial reporters.

Emefiele was represented at the event by the apex bank’s spokesperson, Mr. Osita Nwanisobi, according to PUNCH.

Read: How to access the N50 billion CBN Covid-19 intervention fund for SMEs

What the CBN Governor said

Speaking on behalf of Emefiele, Nwanisobi said, “Given the above consequences of the COVID-19 pandemic on key economic variables, the CBN took a number of measures to mitigate the long-term effects on the growth prospects of the economy.

“First, policy measures were introduced to restore stability in the economy by supporting households that have been severely affected by the pandemic.

“Also, targeted interventions were introduced to support critical sectors, such as agriculture, manufacturing, energy, and health.

Read: How to know if your NIRSAL COVID-19 loan is approved

“Cumulatively, the bank’s intervention efforts represented about 3.5% of the GDP.”

He explained that the policy measures included a cumulative reduction of the monetary policy rate from 13.5% to 11.5% between May and September 2021 in order to spur lending to the economy and support the current recovery of output growth; Reduction of the interest rate on CBN intervention loans from nine to 5%; and a one-year extension of the moratorium on principal repayments for CBN intervention facilities.

Read: Why NIRSAL/CBN may not approve your COVID-19 loan

What you should know

A few weeks ago, the CBN revealed that it had disbursed N400 billion and received over 8 million applications from Nigerians for its Covid-19 Targeted Credit Facility (TCF) to help households and businesses that have been negatively impacted by the coronavirus pandemic.

Read: Covid-19: Timeline of every pronouncement made by Nigeria to support the economy

The Coronavirus Disease (COVID-19) in Nigeria continues to record increases as the latest statistics provided by the Nigeria Centre for Disease Control reveals that as of 23rd of September, 203,514 cases have been confirmed, 191,950 cases have been discharged and 2,668 deaths have been recorded in 36 states and the Federal Capital Territory.

A total of 2.99 million tests have been carried out as of 23rd September 2021.

Exit mobile version