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FEC approves $1billion AFDB concessional budget support loan



Bola Tinubu

The Minister of Finance and the Coordinating Minister of the Economy, Wale Edun has revealed that the Federal Executive Council (FEC) has approved a concessional budget support finance of the sum of $1b from the African Development Bank ( AFDB).  

Edun made this disclosure after the 4th Federal Executive Council Meeting, presided over by the President, Bola Ahmed Tinubu at the Presidential Villa, Abuja, on Monday.  

The minister noted that the AfDB had approved the $1 billion support with 25 and eight-year moratoriums in recognition of the macroeconomic efforts taken by the Tinubu-led government towards macro stability, restoring revenue, and improving the foreign exchange situation. 

The minister also disclosed that the FEC approved a total limit of N2 trillion for the Ministry of Finance to bring down the rate of interest on the current outstanding. 

According to Edun, this move would help save N50 billion or more in debt servicing over time by giving back expensive debt refinancing with cheaper funding. 

Wale also revealed that the Federal Executive Council had approved funds to be lent to Abia State for waste management and rehabilitation of roads in Umahia and Aba, in particular.