- Former Vice President Atiku Abubakar calls on President Bola Tinubu for clarity on the $3.3 billion emergency crude repayment loan
- Atiku raises concerns about loan details, parties involved, conditions, repayment mechanism, and the registration of a Bahamas-based Special Purpose Vehicle (SPV)
Former Vice President Atiku Abubakar called President Bola Tinubu to clarify the $3.3 billion emergency crude repayment loan secured by the Nigerian National Petroleum Company Limited (NNPCL).
The transaction, finalized on August 16, 2023, aimed to bolster the naira and stabilize the foreign exchange market, facilitated by the African Export-Import Bank. Recently, the federal government received $2.25 billion from the bank’s $3.3 billion foreign exchange facility.
In a statement, Atiku raised concerns about the loan, emphasizing that the $3.3 billion, with an interest rate not exceeding 12%, is expected to be repaid with the nation’s crude oil valued at $12 billion. Atiku insists that President Tinubu’s administration owes Nigerians an explanation for such a significant financial undertaking.
Among Atiku’s queries is establishing a Special Purpose Vehicle (SPV) named Project Gazelle Funding Limited in the Bahamas, a country associated with questionable financial activities. He expressed curiosity about the government’s continued silence on the matter.
The statement outlined Atiku’s questions:
- Loan Details: Has the Federal Government accessed the loan, and is it included in the government’s approved borrowing plan by the National Assembly?
- Parties Involved: Who are the parties to the loan, and what specific roles are they expected to play in this financial transaction?
- Loan Conditions: What are the conditions of the loan, including its tenor, repayment terms, collateral, and the agreed-upon interest rate?
- Repayment Mechanism: How does the repayment mechanism work, considering Nigeria’s daily production of 1.38 million Barrels Per Day and the commitment to supply 90,000 barrels daily for repayment starting in 2024?
- SPV Registration: Why register an SPV in the Bahamas, especially given the country’s recent association with dubious financial dealings?
Atiku concludes the statement by urging the Federal Government to address these questions directly and ensure transparency in the details surrounding this substantial loan, emphasizing the need for accountability in such financial matters that impact the nation.