FCMB Joins Forces with NCDMB and BoI to Launch N15 Billion Loan Initiative for Local Oil and Gas Contractors

Table of Contents

• Introduction
• Scheme Details
• FCMB's Participation
• Management Insight
• Repayment Structure
• About FCMB
• About NCDMB

First City Monument Bank (FCMB) has been chosen as one of the Participating Financial Institutions (PFIs) for the implementation of the Community Contractors Finance Scheme, an initiative by the Nigerian Content Development and Monitoring Board (NCDMB) in collaboration with the Bank of Industry Limited (BoI).

This scheme aims to address the funding and skills deficiencies that impede the capacity and growth of local contractors in the oil and gas sector.

It provides loans of up to ₦100 million at a competitive interest rate of 8% per annum, allowing contractors to carry out significant projects within their communities.

The Community Contractors Finance Scheme is one of five products under the Nigerian Content Intervention Fund, established by the NCDMB to empower local oil and gas contractors, enhance the Nigerian oil and gas industry, and boost the sector’s contribution to the national economy.

Revamped in 2025 under the leadership of Engr. Felix Omatsola Ogbe, Executive Secretary of the NCDMB, the scheme embodies his broader vision of amplifying the impact of local content implementation at the community level.

As a participating financial institution, FCMB is tasked with identifying, prequalifying, verifying contract performance, and disbursing loans to eligible indigenous contractors in the communities.

The Bank will utilize its industry knowledge, efficient credit processes, and robust relationships with International Oil Companies (IOCs) and National Oil Companies (NOCs) to ensure effective delivery.

The loans are complemented by innovative financing options such as invoice discounting and local purchase orders, offering flexible tenors ranging from 90 to 365 days to meet the varied needs of contractors.

Yemisi Edun, Managing Director and Chief Executive Officer of FCMB, emphasized the importance of the initiative, describing it as a strategic commitment to unlocking the immense potential of the oil and gas sector.

“We are grateful for the trust placed in us by the Nigerian Content Development and Monitoring Board, the Bank of Industry, and all stakeholders.

The Community Contractors Finance Scheme is in line with our mission to promote inclusive and sustainable growth by creating a collaborative ecosystem that connects people, capital, and markets.

Through this partnership, we anticipate significant advantages for communities, enhanced local content development, empowerment of community-based contractors, job creation, skills acquisition, improved security, and overall sustainable national development,” she stated.

A key feature of the Community Contractors Finance Scheme is its accessibility, as it does not necessitate traditional collateral.

Instead, repayments are structured through the domiciliation of contract proceeds, milestone-based disbursements, and careful monitoring.

This method ensures that funds are effectively utilized to support essential oil and gas projects while focusing on the specific needs of the contractors.

About First City Monument Bank (FCMB)
First City Monument Bank (FCMB) is a member of FCMB Group Plc.

The Bank is dedicated to promoting inclusive and sustainable growth by creating a supportive ecosystem rooted in Africa (primarily Nigeria) that connects people and markets.

About NCDMB
The Nigerian Content Development and Monitoring Board (NCDMB) was established by the Nigerian Oil and Gas Industry Content Development (NOGICD) Act of 2010.

It is tasked with developing human and material capacities, implementing the provisions of the NOGICD Act, increasing Nigerian participation, and ensuring compliance by stakeholders in the oil and gas industry. As of December 2024, NCDMB had elevated the level of Nigerian content in the industry to 56%.