Policy measures to achieve $4 billion in non-oil exports revenue in 2020 are currently being put in place by the Central Bank of Nigeria (CBN). The $4 billion target represents 100% growth when compared with $2 billion non-oil exports revenue achieved in 2019.
Vanguard reported that this plan was disclosed by the CBN Governor, Godwin Emefiele during his keynote address at the 2019 Annual Bankers Dinner of the Chartered Institute of Bankers of Nigeria (CIBN).
According to Emefiele, this plan of increasing growth to 100% from last year in non-oil exports is part of efforts aimed at protecting the Nigerian economy from global macroeconomic headwinds.
He said that the apex bank was focused on supporting greater economic growth, price and exchange rate stability through a series of policies which include measures to grow the nation’s non-oil exports to $4 billion in 2020.
Although Emefiele acknowledged the improvements in the economy in terms of growth in Gross Domestic Product (GDP), he said that the country is still vulnerable to global macroeconomic headwinds caused by trade tensions between the United States and China, and the continued uncertainties over Brexit.
Other challenges: Apart from the global headwinds, other challenges Emefiele hinted on was the problem of weak growth, with little impact on unemployment and the continued dependence on crude oil as major source of government revenue and foreign exchange.
Emefiele said, “We intend to address some of the barriers faced by non-oil exporters in producing goods for the export market. Working with the Nigerian Export-Import Bank, we will work to improve access to the N500 billion facility designed to support the growth of Nigeria’s non-oil exports. Part of our emphasis will be on increasing export of value-added goods relative to raw materials.
“Firms that have access to these facilities, would be able to obtain loans at single digits. This would enable them to expand their production lines and improve the quality of their products, so that they can compete effectively with their peers from other parts of the world.”