Nigerian Allocates N51 Billion To Garment Industry

By February 17, 2017 Investment News

The Government of Nigeria has allocated N51 billion ($162.034 million) in this year’s budget for development of the country’s garment and textile industry. The budget allocation is part of the Nigerian government’s efforts to promote the garment and textile sector to create jobs, diversify its economy, and to increase the use of ‘Made in Nigeria’ clothing.
“The ministry has allotted over N51bn in the 2017 budget just to promote our garment industry, because we know it is an area where we have to get it right. And so, out of the six special economic zones, three will be for textiles,” minister of state for industry, trade and investment, Aisha Abubakar said at the opening session of a workshop organised by the Bank of Industry (BoI) for garment operators in Abuja.

The minister said that the government understands the importance of the garment sector in creating jobs and reducing poverty. She added that the government was working hard to support the industry through massive investment in infrastructure, which would help bring down the price of cotton, according to Nigerian media reports.

Waheed Olagunju, acting managing director of BoI, said the bank has set up a N1 billion ($3.177 million) fund for the textile sector. Loans are given out from this fund at nine per cent interest rate ad payable between three to five years, with a moratorium period of six to 12 months. (RKS)

Read more: Fiber2Fashion