The Nigerian National Petroleum Corporation (NNPC) had secured N2.3 trillion ($3 billion) crude repayment loan to support the naira and provide stability to the foreign exchange market.
NNPC revealed that the loan was obtained from the AFRIEXIM bank located in Cairo, Egypt in a statement released on Wednesday, August 16, 2023.
The official statement reads as follows: “NNPC Ltd. and AfriEXIM bank have collaboratively executed a commitment letter and Termsheet for an urgent $3 billion crude oil repayment loan.
This signing, which transpired at the bank’s headquarters in Cairo, Egypt today, will facilitate prompt disbursement.
This financial support will empower NNPC Ltd. to assist the Federal Government in its ongoing fiscal and monetary policy reforms, which aim to stabilize the exchange rate market.”
This move was anticipated to infuse foreign exchange liquidity into the nation and further reduce the disparity between the naira and the dollar.
This marks the fourth successful collaboration between NNPCL and AFREXIM Bank within the past three years, solidifying the symbiotic relationship between the two entities.
