Five years after setting up a $40m financing scheme for women-owned oil and gas businesses, the Nigerian Content Development and Monitoring Board (NCDMB) says uptake remains below expectations.
The Board is now considering a study with UN Women to establish why eligible businesses have not accessed the facility as expected.
UN Women’s Country Representative to Nigeria and the Economic Community of West African States (ECOWAS), Beatrice Eyong, led the delegation. NCDMB’s General Manager of Corporate Communications, Dr Obinna Ezeobi, received the team on behalf of Executive Secretary Felix Omatsola Ogbe.
Study to examine barriers to loans
The financing scheme started in April 2021 with a $20m contribution from NCDMB. The Nigerian Export-Import Bank (NEXIM) provided a matching $20m, bringing the total fund to $40m.
The facility offers loans at an interest rate of five per cent to women-owned and women-led businesses in the oil and gas industry.
However, the Board said access to the money has remained below expectations, even with the favourable loan terms.
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Eyong proposed a study to identify the difficulties preventing women from accessing the facility.
She identified documentation requirements, business registration, tax compliance and limited awareness as possible barriers requiring investigation.
The study would help establish why the available financing has not attracted more women-owned businesses.
NCDMB considers changes to industry access
Beyond the funding scheme, the meeting examined ways to prepare more women-owned businesses for contracts and other opportunities in the oil and gas industry.
Proposals included vendor development programmes, better awareness of available financing and affirmative procurement measures to support women-owned companies.
The organisations also discussed training NCDMB personnel to include gender issues in project planning, budgeting and implementation.
Ezeobi said the Board had established a Diversity Sectoral Working Group within the Nigerian Content Consultative Forum (NCCF) to include women’s issues in local content policies and industry decisions.
He also cited support for associations of women working across the energy value chain, where members network and develop their careers and businesses.
Other NCDMB programmes provide training in business sustainability, corporate governance and strategic management for women entrepreneurs and business leaders.
The Board also supports women’s participation in technical occupations and encourages young girls to study science, technology, engineering and mathematics (STEM).
Ezeobi acknowledged that women remained underrepresented in the industry because of limited access to technical education, finance and commercial opportunities. He also identified the perception of oil and gas as a male-dominated sector as another barrier.
Eyong commended the Board’s existing gender inclusion programmes and outlined UN Women’s work in economic empowerment, leadership development and the fight against gender-based violence.
Ezeobi welcomed the proposed partnership and recommended ways NCDMB could support UN Women’s programmes.
WHAT READERS SHOULD KNOW
The $40m facility was established in April 2021 through equal contributions from NCDMB and NEXIM Bank. Its stated interest rate is five per cent.
The proposed study has not been reported as completed, and the organisations have not announced any changes to the loan conditions.
The discussions also covered procurement, business training and technical career opportunities for women in the oil and gas industry.
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