The Nigerian Content Development and Monitoring Board has disbursed $400 million to over 130 indigenous companies through the Nigerian Content Intervention Fund while introducing mandatory compliance certificates for oil and gas sector contractors.
The Nigerian Content Fund Clearance Certificate became a prerequisite for contract bidding, project approvals, and Board certifications following its launch at a stakeholder sensitization workshop in Lagos. This regulatory development aims to ensure full compliance with statutory financial contributions as mandated by the Nigerian Oil and Gas Industry Content Development Act.
“This programme reaffirms our commitment to deepen Nigerian content, enhance oversight, and open up financing opportunities for indigenous and community-based contractors,” stated Executive Secretary Felix Omatsola Ogbe, emphasizing the Board’s dedication to supporting local capacity development.
The $400 million Nigerian Content Intervention Fund, managed in partnership with the Bank of Industry and Nigerian Export-Import Bank, provides low-cost financing to qualified oil service companies. This initiative enhances competitiveness and deepens Nigerian content performance while stimulating economic growth.
Bank of Industry reported disbursing $348.296 million and ₦48.289 billion to 79 local firms operating in marine logistics, upstream exploration, modular refining, gas processing, and fabrication. The fund has evolved from an initial $200 million in 2017 to $300 million by 2020 due to exceptional demand from qualified applicants.
The revised Community Contractors Finance Scheme offers loans up to ₦100 million at eight percent annual interest, secured by valid contracts or Standing Payment Orders. First City Monument Bank serves as the primary financial institution for the ₦50 billion facility, leveraging its vendor financing experience to support community-based contractors.
Nigerian Export-Import Bank launched two dedicated funding windows worth $50 million to support indigenous oil and gas service providers, including a $30 million General Facility and a $20 million Women in Oil and Gas Programme. These initiatives target equipment leasing, contract finance, and working capital requirements.
The mandatory compliance certificate system facilitates real-time remittance verification and streamlines approval processes. Processing takes 14 working days with certificates valid for 12 months, requiring submission via the NOGIC-JQS portal for upstream companies, vendors, and consultants.
Despite significant disbursement growth, challenges remain with collateral requirements and documentation standards. Between January 2024 and May 2025, disbursement volume increased 11.43 percent with naira value rising 21.06 percent, though only 30.47 percent of applicants met disbursement conditions.
The Board continues expanding sensitization campaigns, simplifying requirements, and considering flexible security structures, particularly for women and community groups, to enhance access to development financing.
About The Author
