Nigeria is set to receive a $1.05 billion syndicated loan backed by oil from the African Import Export Bank next month. This loan is part of a larger $3.3 billion prepayment facility arranged by Afreximbank, with repayment terms linked to crude cargoes from the Nigerian National Petroleum Company Ltd.
Denys Denya, Afreximbank’s Senior Executive Vice President for Finance, Administration, and Banking, confirmed the verification of crude availability, paving the way for the final release of the balance within the next month. The aim of the loan is to revitalize Nigeria’s economy and increase the supply of hard currency in the local foreign exchange market. Notably, two-thirds of the loan amount was disbursed in January.
This development was disclosed by the Nigerian National Petroleum Company Ltd (NNPCL) in a document titled, ‘Frequently Asked Questions – Project Gazelle’, released by its Chief Corporate Communications Officer, Olufemi Soneye. The loan represents a significant step towards bolstering Nigeria’s financial stability and fostering economic growth amidst ongoing challenges.
Source: PUNCH