COVID-19 fight: IMF approves $3.4billion loan to Nigeria
The board of the International Monetary Fund (IMF) has approved the sum of $3.4billion to support Nigeria’s COVID-19 fight.
See the IMF Press statement announcing the loan approval:
The news was earlier announced on Twitter by a former African Development Bank Former AfDB Lead Economist on Nigeria, Barbara Barungi.
The grant to Nigeria is the highest so far to any member country.
The grant called Rapid Financing Instrument (RFI) is granted to member countries that are not under an IMF programme.
ElombahNews has reported that the new financing is part of a support mechanism set up by the institution to assist 40 African countries in the fight against the current coronavirus pandemic.
Barungi went on to congratulate Nigeria’s minister of finance, Zainab Ahmed on the feat.
IMF Executive Board has approved the RFI of $3.4bn for Nigeria ….Done ! Congratulations @ZShamsuna. Largest COVID-19 emergency financial assistance given to date.
— Barbara Barungi (@BBatwooki) April 28, 2020
The loan by the IMF is part of measures to cushion the impact of COVID-19 on Nigeria’s economy.
Nigeria is suffering a sharp decline in its 2020 growth perspective following the crash in oil prices and the closure of borders that slowed down trade on the international market.
The country, which is just recovering from a long sluggish period will experience a contraction by 3.4% this year, according to the IMF.