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FG seals $3.5 billion deal with Afreximbank for textile industry, CNG Vehicles, others

The federal government has announced a $3.5 billion agreement with Afreximbank to enhance the textile industry and promote the use of Compressed Natural Gas (CNG) vehicles, among other initiatives.

The Minister of Industry, Trade and Investment, Doris Uzoka-Anite, made this disclosure in a statement on X on Tuesday.

Uzoka-Anite said the deal was signed with the international financial institution during 31st Afreximbank Annual Meeting in Nassau, The Bahamas.

She stated that the agreement will help realize President Bola Ahmed Tinubu’s vision for a diversified and prosperous Nigerian economy.

“I am pleased to report that a groundbreaking $3.5 billion MOU agreement between the @TradeInvestNG and @afreximbank was signed at the 31st Afreximbank Annual Meeting in Nassau.

This landmark agreement is a major step towards fulfilling President Bola Ahmed Tinubu’s vision for a diversified and prosperous Nigerian economy,” She said.

What the deal covers

Uzoka-Anite said the landmark agreement covers the following aspects of the economy:

  • $3 Billion Industrialization Financing Facility: Accelerating Nigeria’s journey to becoming a fully industrialized nation.
  • State-Wide Investment Vehicles/Projects: Attracting more investments to our states, fostering regional development.
  • Global Country Guarantee: Boosting investor confidence in Nigeria by providing guarantees for investments.
  • Revamping the Textile and Apparel Industry: In partnership with Arise Integrated Industrial Platforms, aiming to create up to $3.3 billion in project capital expenditure and generate jobs for our youth.
  • Developing the CNG Value-Chain: Enhancing our automotive and transport sectors with a focus on sustainability.

Backstory

In earlier statement, the Minister said the federal government is seeking to attract $3.5 billion in investments to enhance Nigeria’s textile, cotton, and apparel sector in Nigeria in one year.

She said this investment is part of the ministry’s initiative to rejuvenate the long-dormant textile industry.

She also noted that Nigeria’s textile sector encompasses the complete clothing value chain in the country.

According to the minister, investment in the textile industry will generate employment for both skilled and unskilled labour across Nigeria.

More Insights

Speaking further, Uzoka-Anite highlighted that the collaboration with Afreximbank is poised to transform Nigeria’s industrial landscape, create jobs, and drive sustainable economic growth.

She emphasized that the deal signifies a pathway toward a brighter and more prosperous Nigeria.

Uzoka-Anite said the potential of the collaboration with Afreximbank points to its capacity to reshape the industrial landscape by fostering innovation and expanding employment opportunities in the country.

“This collaboration with Afreximbank is set to transform our industrial landscape, create jobs, and drive sustainable economic growth.

“Together, we are paving the way for a brighter and more prosperous Nigeria,” she added.


Source: TheTimes.com.ng.

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