The Federal Executive Council (FEC) presided over by President Muhammadu Buhari has approved six Transaction Parties to adviser the Federal Government on the issuance of $2.78 billion Eurobonds and other securities in the International Capital Market (ICM).
The Transaction Parties are Citigroup Global Market Limited, Standard Chartered Bank as joint manager; FSDH Merchant Bank Limited as financial adviser; White And Case LLP, Banwo and Ighodalo as legal adviser and Africa Practice Limited as technical adviser on communication.
The Minister of Finance Zainab Ahmed, whole briefing State House Correspondents on Council’s decision explained that, the Transaction Parties are expected to adviser the Nigerian Government on “the structure and timing, as well as, documentation for the issuance” of the Eurobonds and other securities.
She said the approval is part of government’s commitment of the implementation of the 2018 Appropriation Act adding that “Consistent with government’s policy on development of infrastructure, the proceeds of the Eurobond issuance will be deployed to fund critical capital projects in the 2018 Appropriation Act”.
The 2018 Appropriation Act which was approved in June 2018, it will be recalled includes a provision of N849.673 billion (42.78 billion) for new external borrowing to finance partly the deficit in the budget.