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IMF Wants Nigeria to Keep Receipts for the New $3.4 Billion Loan

IMF Director Kristalina Georgieva

The International Monetary Fund (IMF) has advised the Nigerian Government to keep all receipts for expenditures of the New $3.4 Billion Loan granted by the Agency to Nigeria

The managing director of IMF Kristalina Georgieva, “gave the advice on Tuesday in an interview with CNBC Africa, and disclosed that the IMF had already disbursed the $3.4 billion credit to Nigeria”.

She added, “that accountability and transparency were crucial and that it was imperative to retain the trust of people who were experiencing hard times as the coronavirus ravages the world”.

She noted that the Agency wants the money spent so as to support the economy as Nigeria go through hard times this loan she said is like building a bridge but keep the receipt she emphasized.

She also told Nigerian officials that “We cannot afford to have accountability and transparency taking back seat. I am very pleasantly impressed by how many countries have actually in their letter of intent tell us how they exactly are going to make their spending transparent. Very very important to retain the trust of people who are going through such a difficult time,” the IMF  further said.

She said the IMF expected countries to prioritize health systems and the most vulnerable in society in their spending as stated in their letters of intent.

She also said “We have already disbursed. In emergency assistance, the board approves, we disburse within days to the country and it goes to their central bank in dollars before it gets converted into naira in the case of Nigeria”.

Nigeria has 5 years to pay the loan back with a grace period of two and half years and an interest rate of 1%.

Africa Business World Report

 

 

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