By Peter Onyekachukwu 
By Peter Onyekachukwu,
Nigeria has fully repaid the $3.4 billion loan it obtained from the International Monetary Fund (IMF) during the COVID-19 pandemic, a move the Federal Government says underscores its commitment to fiscal discipline and international credibility.
The Minister of Information and National Orientation, Mohammed Idris, announced the development on Monday while briefing journalists at the Presidential Villa after the Federal Executive Council (FEC) meeting in Abuja.
“We can report that Nigeria has, indeed, exited from that debt, meaning we have paid it in full,” Idris said, addressing concerns over the country’s ability to meet its debt obligations.
The loan, secured under the Rapid Financing Instrument (RFI) in 2020 to cushion the impact of the pandemic on Nigeria’s economy, was inherited by President Bola Ahmed Tinubu’s administration. However, Idris noted that the President directed full repayment as a demonstration of the administration’s commitment to upholding financial responsibility.
“This action sends a strong message to our global partners and investors that Nigeria is a responsible and serious nation when it comes to managing its finances,” Idris stated.
Analysts see the repayment as a signal aimed at restoring investor confidence, especially as the country continues to attract foreign investment and restructure its domestic economy.
Idris also disclosed that the FEC has directed the Bureau for Public Procurement (BPP) to communicate newly approved thresholds for goods and services procurement to Ministries, Departments, and Agencies (MDAs). According to him, the revised thresholds are expected to reduce bureaucratic bottlenecks and fast-track project approvals.
He further noted that the Council has emphasized the need for closer collaboration between MDAs and the private sector, particularly in infrastructure development.
“There is an increasing need for private sector participation in our economic growth,” Idris said, underscoring the administration’s drive to leverage public-private partnerships to bridge Nigeria’s infrastructure gap.
The repayment of the IMF loan comes at a time when Nigeria is grappling with inflation, foreign exchange challenges, and the need to boost local production. Government officials hope this repayment milestone will pave the way for more favourable credit ratings and financial support from international institutions.