Fidelity bank banner Bayelsa State banner
NERFUND to fold up over N17.5bn bad loans

By News Express on 06/10/2017

Share on facebook Yahoo mail icon Gmail icon Share on Google+

Views: 883


The Federal Government is reportedly making arrangements to shut down operations of the National Economic Reconstruction Fund (NERFUND), at the end of October, due to huge non-performing loans of about N17.5 billion.

A source at the Federal Ministry of Finance told the News Agency of Nigeria (NAN), in Abuja, yesterday, that a committee has already been formed to ensure smooth liquidation of the company.

The source also said the panel is expected to come up with recommendations concerning welfare of NERFUND workers and also, what to do with the office equipment.

The committee is equally expected to recommend an agency that would handle the numerous pending court cases initiated by NERFUND, to repatriate billions of naira it had earlier loaned out.

It said that the committee was expected to submit recommendations to the Minister of Finance on Thursday.

According to the source, about 1,143 projects in the Small and Medium Enterprises sector were financed with NERFUND loans, between 2010 and 2013.

The source said NERFUND currently has problems recovering the loans, adding that out of N17.5 billion, about N14.2 billion, representing 80 per cent was borrowed by a few people. He did not give names but added that the ratio of non-performing loans was high, because many of the loans were not collateralised.

Meanwhile, a member of NERFUND, who declined to be named because he was not authorised to speak, told NAN that all workers of the oraganisation have been officially informed about the wind-up.

“We have been given the choice to either resign or be sacked. The managing director, Dr. Ezekiel Oseni, told us management is working with the permanent secretary of the Federal Ministry of Finance. They have promised that, at the end of the day, we will not be jobless. They will place us somewhere else; so, we are expectant,” the source said.

In 2002, the federal government merged Nigeria Industrial Development Bank (NIDB) and Nigeria Bank of Commerce and Industry (NBCI) to form Bank of Industry (BOI) but excluded NERFUND from the fusion of all development finance institutions (DFIs).

In June 2016,  staff took to the streets, to protest alleged mismanagement of the agency’s funds, by its management.

Contacted over the issue, Deputy Director of Information in the Finance ministry, Mrs Patricia Deworitshe, said:“It is news to me. I don’t know if NERFUND is winding up.”

Similarly, efforts to obtain comments from Oseni were unsuccessful as calls made to his mobile telephone by a NAN correspondent were not answered, neither did he reply a text message sent to him over the issue. (NAN)

Source News Express

Posted 06/10/2017 05:33:42 AM

 

Share on facebook Yahoo mail icon Gmail icon Share on Google+


 

CLASSIFIED ADS

REVEALED: 3 natural ways to get stronger erections, last 25 minutes on bed, and increase manhood size without using drugs. Also, Natural Prostrate Enlargement Remedy.. Get In HERE...

 

You may also like...
NLC apologises for disrupted election, fixes March 12...

Group seeks devolution of powers to douse agitations...

FG, Police too big; we must trim them...

Normalcy returns to FESTAC Town (Lagos) after hoodlums’...

Imo State is bleeding under Rochas — APGA...

NLC wants N48,000 as new minimum wage

FG blames low power generation on vandals, warns...

Badoo: Lagos Police releases phone numbers of top...

Why we can’t enforce ban on knockout: Police...

Fidel Castro’s eldest son commits suicide

My husband sends me out naked at midnight,...

Rohr seals 2-year deal as Super Eagles Technical...

 

Latest News Buhari assures ICC of free and fair elections in 2019 SERAP to INEC: Prosecute perpetrators of vote buying in Ekiti election or face legal action Ondo partners World Bank, FG on Livestock Project Senate confirms Smith as PSC chair Darlon Security: PDP chides APC, accuses of playing politics with security matters India: 18 men rape 11-year-old for several months ExxonMobil Lagos HQ shut by protesting workers Boko Haram attacks: Buratai meets war commanders International Criminal Court invites Buhari Clark, Nwodo, Adebanjo, other Southern leaders stopped from flying to Makurdi for restructuring summit APC summons Akume, Ortom to Abuja Ekiti polls over policed, votes were bought, sold — TMG

 

Most Read NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (361,652 views) Nigerian female sex addict opens up, says ‘I like it with both men and women’ (358,215 views) Shameless Genevieve Nnaji exposes breasts in public (286,538 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (235,152 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (214,347 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (212,452 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (186,306 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (168,246 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (156,214 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (152,584 views) Lagos plane crash: Journalist releases victims’ names (147,483 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (138,730 views)

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (52) Business & Economy (3,345) Business Verdict (45) Columnists (886) Complaints & Requests (94) Enterprise & Opportunities (207) Entertainment (516) Features (614) Global Business Monitor (284) International (2,135) Interview (157) Live Commentary (28) Love Matters (127) News (37,189) Opinion (1,024) Pidgin (10) Politics (5,589) Religion (783) Sports (1,612) Stock Watch (33) AMA & Al Jazeera Global Update

 

CBN banner

Firstmobile banner

 

 

NEWS EXPRESS TV

FRANCE vs CROATIA 4-2 Highlights & Goals 2018

 

APO Group Partner

 

 

CLASSIFIED ADS

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera

Advertisement