MAN urges CBN to reduce interest rates, says businesses dying

The Manufacturers Association of Nigeria (MAN) has appealed to the Central Bank of Nigeria to reduce interest rates to save the country’s manufacturing sector.

The outgoing Chairperson of MAN in Kwara/Kogi States, Bioku Rahman, made the appeal on Tuesday at the association’s 10th Annual General Meeting (AGM) in Ilorin, the Kwara State capital.

Mr Rahman said the CBN needs to direct commercial banks to reduce interest rates on industrial loans.

“The interest rates charged on industrial loans and other loans released as COVID-19 palliatives should be significantly reduced to one per cent,” he said.

Mr Rahman also urged the Bank of Industry (BOI) to roll out further reductions in its lending rates to industries.

He urged the CBN to widen the window of foreign exchange to local industries while urging the federal government to harmonise taxes and levies at the federal, state and local government levels.

Mr Rahman implored the Kwara State Government to improve the energy supply to local industries by introducing a Heavy-Duty Gas-Energy Generation and Distribution Plant exclusively for the state’s industries.

Mr Rahman also appealed to the federal government to reconsider the increase in electricity tariff.

He said oil subsidy removal has had unprecedented effects on the manufacturing sector.

In her remarks at the event, Demilola Adelodun, the state commissioner for Business, Innovation and Technology, pledged the state government’s support for the association.

Mrs Adelodun, who represented Governor AbdulRahman AbdulRazaq, said the government resolved to create a conducive environment for manufacturing in the state.

“The state has undertaken several key initiatives to support the manufacturing sector and overall economic development.

“The Urban Renewal Initiative is transforming the architectural landscape of Kwara to enhance its aesthetic appeal and functionality, making it a more attractive place for businesses and residents,” he said.

In his address, MAN President Francis Meshioye said the relationship between the state government and MAN was cordial and appealed to the government to upgrade infrastructure around the industrial estates.

The AGM was held under the theme: “Tackling the Challenges of the Manufacturing Sector: A Win-Win For Government and Local Manufacturers”.