Nigerian economy to experience boom as $2.25bn Afrexim bank first tranche of loan of $3.3b hits FG’s account

With the Naira ranked among the worst performing currency globally, Nigeria has received $2.25 billion out of the $3.3 billion from Afreximbank to help cushion the effects of foreign exchange shortages that has almost crippled the economy and the Naira growth.

This year alone, the Naira has depreciated by over 50%, making it the third worst-performing global currency occasioned by the unification of the foreign exchange market in June.

Persecond News reports that the first tranche of $2.25bn was received by the federal government on Friday while $1.05bn is due in the first week of January 2024.

This lastest development is coming a few months after the Nigerian National Petroleum Company Ltd (NNPCL) announced that a deal of $3b has been secured with Afreximbank to halt the further slump of Naira against the dollar at the foreign exchange market.

A statement by NNPCL said: “The NNPC Ltd and AfriEXIM Bank have jointly signed a commitment letter and Term Sheet for an emergency $3 billion crude oil repayment loan.

“The signing, which took place today at the bank’s headquarters in Cairo, Egypt, will provide some immediate disbursement that will enable the NNPC Ltd. to support the Federal Government in its ongoing fiscal and monetary policy reforms aimed at stabilizing the exchange rate market.”