The Infrastructure Bank has said it would provide funding for the Compressed Natural Gas (CNG) Mass Transit following the removal of petrol subsidy by the Federal Government.
The move is part of strategies aimed at fostering collaborative efforts towards advancing sustainable infrastructure development.
The team, headed by Andrew Nweke, a director in the organisation said this during a courtesy visit to Dr. Okokon Udo Ekanem, the Permanent Secretary, of Special Projects at the Ministry of Finance.
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The visit was to discuss key areas of collaboration between the ministry and the bank.
Speaking at the meeting, Nweke said the bank is committed to supporting the Federal Government in mitigating the effects of fuel subsidy removal through the promotion of Compressed Natural Gas (CNG) Mass Transit.
According to him, the bank had dedicated funds towards financing CNG Mass Transit.
He said TIB’s proactive stance in this endeavour aligns with its broader mission of fostering sustainable infrastructure development in Nigeria.
Also speaking, the Acting Managing Director, Mrs. Nkiru Chime, highlighted some of TIB’s achievements in the transport sector through the Move Nigeria Scheme (MNS).
She said the bank has played a pivotal role in facilitating economic progress, adding that since the inception of the MNS, it
has disbursed about N47bn, resulting in the distribution of over 4,500 vehicles across all geopolitical zones.
The scheme, she added has created over 10,000 employment opportunities consequently and has contributed to the Gross Domestic Product through the transport sector.
The transport sector contributed about 1.35 per cent to Nigeria’s GDP in the second quarter of this year.
Chime added that the Move Nigeria Scheme (MNS) has become synonymous with TIB’s commitment to transforming the nation’s transportation landscape.
By facilitating access to financing and resources, she said MNS has empowered numerous entrepreneurs and businesses to acquire vehicles, thereby stimulating economic activities across various sectors.
According to her, the decision to allocate funds for the promotion of CNG Mass Transit underscores TIB’s responsiveness to the evolving energy landscape and its dedication to environmentally friendly and cost-effective transportation solutions.
Compressed Natural Gas (CNG) has emerged as a cleaner and more sustainable alternative to conventional fuels, offering significant economic and environmental benefits.
In his comments, the Permanent Secretary expressed his support for TIB’s initiatives in infrastructure development.
He affirmed the ministry’s commitment to collaborating closely with TIB to advance the growth and enhancement of critical infrastructure across Nigeria.
According to him, the infusion of funds into CNG Mass Transit initiatives is poised to have a far-reaching impact on the nation’s transportation sector.
This, he added, will not only reduce the country’s dependence on costly fuel subsidies but will also contribute to cleaner air and more sustainable energy practices.