Section 1: Establishment, aims and objectives of the National Economic Reconstruction Fund.

(1) There is hereby established a fund to be known as the National Economic reconstruction Fund (in this Act referred to as "the Fund").
(2) The aims and objectives of the Fund shall be to-
(a) correct any observed inadequacies in the provision of medium to long-term financing to small and medium-scale industrial enterprises, especially manufacturing and agro-allied enterprises and ancillary services;
(b) provide medium to long-term loans to participating commercial and merchant banks for on-lending to small and medium-scale enterprises for the promotion and acceleration of productive activities in such enterprises;
(c) facilitate the provision of loans with five to ten year maturity, including a grace period of one to three years, depending on the nature of the enterprise or project;
(d) provide such loans either in naira or in foreign currencies or both currencies according to the sources of funds available to the Fund and the requirements of the eligible enterprise or project.