House of Rep’s Ad-Committee opposes closure of NERFUND

House Of Representatives Ad-hoc Committee investigating government owned Financial Institutions in Nigeria has called for restructuring of National Economic Reconstruction Fund.

Speaking at a press briefing in Abuja Tuesday, Chairman of the Committee and member representing Ihiala federal constituency of Anambra state, Hon. Emeka Anohu explained that shutting down NERFUND would be counterproductive, noting that challenges facing the agency were surmountable.

He noted that investigations by its committee revealed non performing high profile loans, but noted that the agency would fare well if it was restructured.

“NERFUND was an act of 1999 Parliament to provide loans for MSMEs, but from our investigation of their mandate, we discovered non-performance of high profile loans.”

“Inspite of these challenges, shutting down NERFUND is not the solution. The agency should be reorganized and positioned to discharge its mandates to the economy.

The Chairman explained that the executive order asking the agency to shut down and merge with the Bank of Industry and that of Agriculture will affect the funding of Micro, Small and Medium Enterprises, a situation he noted was counterproductive.

He reiterated the commitment of the committee to help NERFUND to stand on its foot.

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