Reps task CBN on access to ₦250bn gas expansion fund

<p>Responding, the Programmes Manager, CBN, Clement Osawi, acknowledged that the bank had an intervention fund called Oil and Gas Stabilisation Fund.</p>, <span>House of Representatives members during plenary session. ThisDay</span>, <h2>The House of Representatives has urged the Central Bank of Nigeria (CBN) to remove bottlenecks preventing Nigerians from accessing the ₦250 billion gas expansion facility at the bank.</h2>, <p>Rep. Benson Babajimi, the Chairman of the ad hoc committee on petrol price hike said this on Wednesday, when CBN officials appeared before the committee.</p>, <p>Babajimi said that the removal of the bottlenecks would cushion the effect of the removal of petrol subsidy on Nigerians.</p>, <p>“My point is that you oversight the commercial banks, you have the right and powers to remove bottlenecks.</p>, <p>“The information we are giving to you is that you go back and see how you can make the process seamless,” he said.</p>, <p>Responding, the Programmes Manager, CBN, Clement Osawi, acknowledged that the bank had an intervention fund called Oil and Gas Stabilisation Fund.</p>, <p>He said that as a matter of procedure, most CBN interventions went through commercial banks to qualified beneficiaries.</p>, <p>Osawi said that the commercial banks had the responsibility to do the due diligence and feasibility studies on beneficiaries.</p>, <p>“From what you are saying, it is like a new venture where it is very difficult to assess the capacity of the person requesting for the funds.</p>, <p>“So the likelihood of them having access to large sums is very difficult; it is easier to give CBN funds to establishments with clear track records otherwise, CBN will be accused of just giving someone who is not doing anything with funds.</p>, <p>“For IPMAN to have mentioned it, they were informed that the facility exists; CBN can announce that there is a facility and ask commercial banks to send those qualified beneficiaries.</p>, <p>“You can stay for two years, they won’t send one; this is because having drafted