The Complete 2004 Laws of Nigeria

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URBAN DEVELOPMENT BANK OF NIGERIA ACT

ARRANGEMENT OF SECTIONS

SECTION

  1. Establishment of the Urban Development Bank of Nigeria PLC.
  2. Share capital of the Bank.
  3. Objects of the Bank.
  4. Power to raise funds.
  5. Power to manage other offshore funds procured for urban development.
  6. Exemptions.
  7. Short title.

                                                 URBAN DEVELOPMENT BANK OF NIGERIA ACT

An Act to establish the Urban Development Bank of Nigeria PLC. 
[1992 No. 51.]

[2nd January, 1992]

[Commencement.]

  1. Establishment of the Urban Development Bank of Nigeria PLC

There shall be established, in accordance with the provisions of the Companies and
Allied Matters Act, a limited liability company to be known as the Urban Development
Bank of Nigeria PLC (in this Act referred to as "the Bank").

[Cap. C20.]

  1. Share capital of the Bank

The initial share capital of the Bank shall be subscribed by the Federal Government,
State and Local Governments, the Nigeria Labour Congress and individual Nigerians.

3. Objects of the Bank

The Bank shall, in accordance with the object clause of its Memorandum, foster the
rapid development of urban infrastructure throughout the Federation through the provision
of finance  and banking services.

4. Power to raise funds

Without prejudice to the provisions of its Articles of Association, the Bank may, with
the approval of the Minister of Finance, raise funds of such amount (in foreign currency)
from anyone or more of the following sources, that is-

       (a)       the International Bank for Reconstruction and Development (the World Bank);

       (b)       the International Development Association;

       (c)        the European Investment Bank and Fund;

       (d)       the African Development Bank;

       (e)        bilateral loans and grants on government to government basis;

       (f)        Shelter Afrique and other donors; and

       (g)       other multilateral loans and donor agencies.

5.   Power to manage other offshore funds procured for urban development

Funds obtained from the aforementioned sources and other off-shore sources, other
than by the Bank, which are meant for urban and infrastructural development projects in
Nigeria whether by way of general loans, tied loans, bilateral loans, or grants on government
to government basis shall be channelled through the Bank which shall have responsibility for
the management of such funds.

  1. Exemptions

(1) The Bank and the beneficiaries of its loan facilities shall be exempted from the
provisions of the Land Use Act with regard to the size of urban land an individual or a
body corporate may hold, provided that the loan to the individual or body corporate shall
be utilised for the purposes specified in section 3 of this Act.

[Cap. L5.]

(2) The Bank shall also be exempted from the provisions of the Banks and Other 
Financial Institutions Act.

[Cap. B3.]

7. Short title

This Act may be cited as the Urban Development Bank of Nigeria Act.

 

                                                                    SUBSIDIARY LEGISLATION

                                                                No Subsidiary Legislation