By Palma Ileye
The Nigerian Export and Import Bank (NEXIM) has urged increased investment in the non-oil sector to drive diversification and strengthen the nation’s economy.
The Managing Director and Chief Executive Officer of NEXIM, Mr. Abubakar Abba Bello, made the call in Abuja during an interactive session organised by the All Progressives Congress (APC) Youth Forum on Small and Medium Enterprises (SMEs), non-oil exports, and financing opportunities.
Bello described the non-oil sector as a huge opportunity for sustainable development if properly harnessed. “Whether in agriculture, solid minerals, services, or the creative industry, we are currently operating sub-optimally in all value chains. The opportunity lies in developing the non-oil sector,” he said.
On financing, he acknowledged the challenge of collateralisation for SMEs but pledged flexibility from the bank to make access to funding easier. He explained that the Central Bank of Nigeria (CBN) had introduced the National Collateral Registry, which allows movable assets such as vehicles and jewellery to be used as collateral.
“For us, collateralisation is a backup. What matters is whether your business is bankable. If it is, we can adjust the requirements and provide the necessary support,” Bello said.
He emphasised the importance of product standardisation to ensure global competitiveness, urging young entrepreneurs to adopt international standards from the start. “Even if you are selling in the domestic market, think of competing globally. Standardisation and certification should begin from day one,” he advised.
Highlighting NEXIM’s efforts in shea butter production, Bello revealed that the bank had financed four processing centres in Ogun, Niger, and Kano States. He noted that the government’s recent six-month ban on the export of raw shea butter would help secure supply for local processors and reduce costs. He appealed for an extension of the ban to encourage more investment in value addition.
He also called for a similar approach across other agricultural value chains, stressing the need to ban the export of raw products and focus on local processing to create jobs and grow the economy.
Encouraging Nigerian youths, Bello urged them to invest in areas aligned with their passion, from agriculture and agro-processing to the creative sector. “Think global and not just local. The future of Nigeria’s economy depends on innovation and competitiveness in the non-oil sector,” he added.
