Nigeria's Small and Medium Enterprises (SMEs) in the oil and gas value chain have received a major boost as the Nigerian Content Development and Monitoring Board (NCDMB), in collaboration with the Nigerian Export-Import Bank (NEXIM), disbursed about $42 million to enhance local participation and capacity building in the sector.
Speaking at the NCDMB Stakeholders Sensitisation and Engagement Forum in Port Harcourt, the Head of Specialised Business at NEXIM Bank, Muhammed Awami, said the disbursement surpasses the original $30 million capital allocation under the Working Capital and Capacity Fund.
Awami explained that the fund aims to provide flexible and affordable financing for registered Nigerian oil service providers with viable contracts from International Oil Companies (IOCs) and National Oil Companies (NOCs).
"We have watered down collateral requirements without compromising due diligence," Awami noted, adding that mechanisms such as assignment of receivables and insurance-backed facilities have made the fund more accessible.
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He emphasised that beneficiaries are closely monitored to ensure proper fund utilisation and prompt repayment, which will sustain the revolving facility for more entrepreneurs.
Earlier, the Executive Secretary of NCDMB, Felix Ogbe, represented by Dr. Osa Uchendu, said the initiative reinforces the Board's commitment to empowering Nigerian-owned companies to take greater roles in the oil and gas industry through certification, compliance, and financing support.
Also speaking, the Group Head of Oil and Gas at the Bank of Industry (BoI), Gabriel Yemidale, highlighted that the Nigerian Content Intervention Fund (NCI Fund) has grown from ₦200 million in 2017 to ₦300 million in 2023, offering multiple financing options, including community and contract funding.
He added that the schemes are designed to strengthen local content, expand job creation, and enhance the competitiveness of indigenous SMEs in Nigeria's oil and gas ecosystem.
