Monday, September 14, 2026 -Three companies from Nigeria and China have signed an agreement aimed at helping Nigerian businesses access financing for the importation of machinery, equipment and other productive assets from China.
The Tripartite Cooperation and Market Development Agreement
on Nigeria Import Trade Financing and Supply Transactions was signed in Abuja
by Zhengzhou Youngshell International Supply Chain Management Co. Ltd,
Megavalues Integrated Services Ltd and CUSH Promotions Ltd.
The agreement is expected to connect qualified Nigerian
importers, manufacturers, businesses, educational institutions and government
establishments with Chinese manufacturers, suppliers and financial
institutions.
Under the arrangement, participating Chinese lenders may
provide financing at indicative interest rates of between five and eight per
cent annually, with repayment periods ranging from about three months to five
years or longer, depending on the transaction and the nature of the assets
involved.
However, the parties said the financing would be subject to
lenders’ due diligence, equity contributions, acceptable security, regulatory
requirements and approval by participating financial institutions.
The initiative is aimed at addressing the difficulty faced
by Nigerian businesses in raising affordable long-term capital to acquire
machinery and expand production.
The financing covers industrial and agricultural equipment,
complete production lines, automotive and transport assets, renewable energy
systems, construction equipment, laboratory and educational equipment, as well
as digital and technical training infrastructure.
Under the proposed arrangement, Nigerian importers will
identify their equipment or goods requirements, while CUSH Promotions will
coordinate preliminary engagements.
Zhengzhou Youngshell will facilitate contacts with Chinese
manufacturers and suppliers, including quotations, technical specifications and
supply contracts.
Megavalues will coordinate the preparation of sales
contracts between importers and Zhengzhou Youngshell, while participating
Nigerian financial institutions will conduct local due diligence and liaise
with the relevant Chinese lenders.
The companies said the partnership would focus on productive
assets that could boost local manufacturing, agro-processing, technology
adoption and employment rather than encourage dependence on finished consumer
goods.
The initiative will also target universities, polytechnics,
technical institutions and research organisations seeking laboratories,
workshops, renewable energy systems, mobility solutions and specialised
equipment.
The agreement was signed by Jianhua Sun, Managing Director
of Zhengzhou Youngshell; Fred Ogwazu, Managing Director/CEO of Megavalues
Integrated Services; and Ossai Ilome, Managing Director/CEO of CUSH Promotions.
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