The Nigerian Content Development and Monitoring Board (NCDMB) has introduced the Nigerian Content Fund Clearance Certificate (NCFCC) as a mandatory compliance requirement for all contractors and operators in the oil and gas industry.

The certificate, unveiled at a Stakeholders’ Sensitisation Workshop in Lagos, is now required for contract bidding, project approvals, and NCDMB certifications. It complements the launch of an upgraded Nigerian Content Development Fund (NCDF) payment portal and the restructuring of the Community Contractors Finance Scheme.

Compliance Backed by Law and Digital Tools

The NCFCC enforces Section 104 of the Nigerian Oil and Gas Industry Content Development (NOGICD) Act, which mandates a 1% contribution from upstream contract values into the NCDF. The fund is used to develop Nigerian content across oil, gas, and linkage sectors.

Executive Secretary Engr. Felix Omatsola Ogbe, represented by Acting Director of Finance and Personnel, Mr. Mubaraq Zubair, said the reforms will enhance transparency, simplify compliance, and expand financial access. “This programme reaffirms our commitment to deepen Nigerian content and empower indigenous and community-based contractors,” he stated.

$400m Disbursed, Over 130 Firms Empowered

Over 130 local firms have accessed funding from the $400 million Nigerian Content Intervention (NCI) Fund, managed in partnership with the Bank of Industry (BOI) and the Nigerian Export-Import Bank (NEXIM). The fund offers low-interest financing to oil service providers to boost competitiveness and expand local content participation.

BOI’s Group Head of Oil and Gas, Mr. Gabriel Yemilade, revealed that $348.3 million and ₦48.3 billion have been disbursed to 79 firms involved in marine logistics, exploration, modular refining, gas processing, and fabrication. “We are enabling local content through direct financial support,” he said.

He noted the fund had grown from $200 million in 2017 to $300 million in 2020, due to rising demand. BOI also administers the Community Contractors Fund, offering loans of up to ₦100 million at 8% annual interest, secured by valid contracts or ISPOs.

Community Access and Financial Inclusion

Akintomide James, Head of Midstream and Dealers at FCMB, shared insights on the bank’s role in deploying a ₦50 billion facility under the restructured Community Contractors Scheme. The fund targets grassroots contractors with loans up to ₦100 million, 8% interest, and a one-year term with 90-day moratoria.

“We’ve eliminated key access barriers by partnering with NCDMB to bring financing closer to host communities,” James said. FCMB’s offerings include LPO financing, invoice discounting, and asset acquisition support.

NEXIM’s Head of Specialised Business, Mohammed Awami, introduced two new funding windows totalling $50 million, including a $30 million general facility and a $20 million Women in Oil and Gas Programme. These support contract finance, equipment leasing, and gender diversity.

Challenges and New Solutions

Fateemah Mohammed, GM of the NCDF (represented by Erefagha Turner), disclosed that from January 2024 to May 2025, disbursements rose by 11.43% in volume and 21.06% in naira value. However, only 30.47% of applicants under BOI met eligibility for disbursement due to collateral and documentation gaps.

She noted that NCDMB is addressing these challenges through expanded sensitisation, simplified processes, and exploring flexible security models—especially for women-led businesses and community contractors.

How to Access the NCFCC

According to Dr. Ayebatonye Epemu, Supervisor of Policy and Planning at NCDMB, the NCFCC is now mandatory for upstream firms, vendors, and consultants. “Applications must be submitted via the NOGIC-JQS portal. Processing takes 14 working days, and the certificate is valid for 12 months,” he said.