FG moves to clear N330bn export grant backlog, restructure scheme

The Nigerian government is taking action to resolve a backlog of N330 billion in export grant claims and restructure the Export Expansion Grant (EEG) scheme to better support exporters. The Nigerian Export Promotion Council (NEPC) is leading the initiative, working with the Manufacturers Association of Nigeria Export Group and other stakeholders.

NEPC Director/CEO Nonye Ayeni said the move comes as the Federal Government is placing renewed emphasis on non-oil exports, export growth, economic diversification and foreign exchange earnings. Ayeni explained that the government recognized outstanding claims under the EEG, which now totals N330.08 billion, including claims under the Promissory Note mechanism, verified claims from 2017-2020 and 2021-2022, and stepped-down claims subject to verification.

The government has approved a Promissory Note Programme covering approximately N269.45 billion in verified EEG claims for 195 beneficiary companies. Outstanding stepped-down claims for 32 companies from the 2017-2020 period amount to N60.64 billion, bringing the total to N330.08 billion. Ayeni emphasized that only legitimate claims will be paid, ensuring that claims paid using public funds have gone through the necessary processes.

The restructured EEG framework will address funding, with the Federal Government approving the establishment of a Trade Facilitation Fund. Forty percent of monthly Nigerian Export Supervision Scheme collections will be ring-fenced to support strategic trade-facilitation and export-incentive interventions. Additionally, the NEPC boss highlighted the growth in non-oil exports, the number of products exported and destinations reached, urging exporters to continue increasing value addition to support industrialization, job creation and poverty reduction.