In furtherance to the Central Bank of Nigeria’s (CBN) concerted efforts to revive Nigeria’s ailing Cotton, Textile and Garment (CTG) sub-sector, Edo State Governor, Mr. Godwin Obaseki, has secured a $200m investment for a cotton-weaving and spinning industry at the Benin Enterprise and Industrial Park, in Sapele road axis of Benin City.
Governor Obaseki, who said this during the maiden convocation ceremony of the Edo University Iyamho, said the CBN has been instrumental to the economic growth being recorded in the state, especially in the areas of industrialisation and agriculture.
The governor said a $200 million deal has been struck with a reputable, world-renowned textile company to establish a cotton-weaving and spinning industry at the Benin Enterprise and Industrial Park, where construction is expected to begin next year.
Obaseki said the initiative was in line with the CBN’s plans to revamp the textile industry in the country with a view to reducing importation of textile.
Noting that the state government was promoting investment and real growth in the agricultural sector so as to get people out of poverty, he said the CBN’s N5bn Commercial Agriculture Credit scheme in the state has led to employment of about 5,000 people and cultivation of 5,000 hectares.
He, however, advised that the CBN’s monetary policies be followed up with robust fiscal policies, especially infrastructural development to ease the movement of locally produced goods and services.
He commended the CBN for having a specialized window to support the entertainment and tourism industry, adding that Edo state is solidly behind the apex bank’s policies.
The CBN governor, Mr. Godwin Emefiele, said that the apex bank’s unconventional monetary policies have yielded positive results, helping to stabilize the Nigerian economy.
According to Emefiele, “the favourable outcomes and strengthening outlook of the Nigerian economy is traceable to the timeous adoption of unconventional monetary policy tools. The CBN has been able to reduce inflation, build our forex reserves and maintain forex market stability and foster real growth.
“Nonetheless, challenges still remain. The pace of population growth at about 2.6 per cent still outstrips real growth rate while inflation is outside our tolerance band.
“Unemployment rate and incidence of poverty remain at unacceptable levels. Our economy still faces headwinds from expected declines in global growth and its resulting impact on oil prices and capital flows to emerging market countries.”