Cotton, Textile, Garment (Ctg) Revival Fund
In view of the fact that the industry was distressed, banks were sceptical doing business with the industry, hence the Federal government in 2006 muted the idea of setting up a Revival Fund for the industry. This did not take off until December, 2009. N100billion CTG was put in place to be sourced and managed by the Bank of Industry Ltd. BOI loans were to be granted to Textile companies at an interest rate of 6%.
Government had, however, been informed that finances is just about 30% of the challenges facing the industry. Other challenges would have to be addressed for the industry to come back to life. Since the fund is to re-equip the Industry and assist in provision of working capital, the positive effect might only be manifested after one or two years.