Don't Miss


Home   >   Business   >   Industries   >   Economy   >   FG Seeks $600 million Interest Free Facility from Islamic Development Bank (IDB)

FG Seeks $600 million Interest Free Facility from Islamic Development Bank (IDB)

By on February 10, 2012

The Federal Government has revealed it is seeking US$600 million or N 93 billion in fresh loans from the Islamic Development Bank (IDB). The loans are to be applied to developmental projects in the country especially centered on infrastructure. The loan will have a tenor of several years and will not attract any interest rate.

The country has already taken about $370 million or N 57.4 billion from the bank, which was applied as follows: Education ($173 million), Health ($74 million), Agriculture ($85 million).

Also Anambra, Gombe and Yobe got $ 50 million to strengthen their respective food security programmes.

The Minister of State for Finance, Alhaji Yerima Ngama said the discussions were in an advanced stage. Speaking to newsmen in Abuja yesterday stated that the borrowing plan was for 3 to 4 years and the funds would soon be made available to Federal and State governments.

Executive Director of IDB, Gambo Shuaibu disclosed that the share capital of the multinational development financial institution had been increased to $30 billion, and Nigeria has contributed 7.8% or $ 2.34 billion over the last ten years.