President Muhammadu Buhari Approves A New Bailout Package of N656.11 billion For 36 States

President Muhammadu Buhari Approves A New Bailout Package of N656.11 billion For 36 States

President Muhammadu Buhari has given the 36 states a new N656.112 billion Bridge Financing Facility.

Touchaheart Nigeria reports that Vice President Yemi Osinbajo presided over a meeting of the National Economic Council (NEC) on Thursday, November 18.

According to a statement made by Laolu Akande, the Vice President’s spokesperson, each state will receive N18.225 billion over 30 years with a 2-year moratorium at a 9% interest rate.

According to the White House, this measure was made to assist state governments in meeting their financial obligations, particularly the previous budget support facility that was due to be repaid.

The Honourable Minister of Finance, Budget, and National Planning, Dr. Zainab Ahmed, informed the Council that the Central Bank of Nigeria is currently processing the Bridge Facility (CBN).

The N656.112 billion authorized Bridge facility would be released to the States in six tranches over a six-month period.

It should be remembered that the Council received information on the Budget Support Facility to States on July 15, 2021.

The Finance Minister had advised the Council at that meeting that deductions from state governments would begin soon as reimbursement for the previous CBN bailout.