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3.4bn IMF Paid Off Loan: Presidency Blasts Double Standard Critics

May 9, 2025
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By Eshiorameh Sebastian, Abuja

The Presidency has hit back at critics of President Bola Tinubu’s administration after Nigeria completed repayment of a $3.4 billion COVID-19 emergency loan obtained from the International Monetary Fund (IMF) in 2020.

The loan, secured under former President Muhammadu Buhari’s administration during the pandemic’s peak, was designed to cushion the economic impact of COVID-19. While some analysts had warned about potential long-term debt servicing implications at the time, Finance Minister Wale Edun confirmed on Wednesday that Nigeria has now fully repaid the loan on the agreed terms, exiting the list of debtor nations to the Washington-based lender.

The IMF officially confirmed the repayment yesterday, stating through its Resident Representative Dr. Christian Ebeke: “As of April 30, 2025, Nigeria has fully repaid the financial support of about $3.4 billion it requested and received in April 2020 from the IMF under the Rapid Financing Instrument to help alleviate the impact of the COVID-19 pandemic and the sharp fall in oil prices.”

However, the Fund noted Nigeria remains obligated to pay annual Special Drawing Rights (SDR) charges of about $30 million (approximately N190 billion). Ebeke explained these charges apply to the difference between Nigeria’s SDR holdings (SDR 3,164 million or $4.3 billion) and its cumulative SDR allocation (SDR 4,027 million or $5.5 billion), and will continue until Nigeria’s holdings match its allocation.

Despite the repayment achievement, administration critics have maintained their attacks, prompting the Presidency to question their motives.

Temitope Ajayi, Senior Special Assistant to the President on Media and Publicity, challenged critics in a Facebook post: “Why should those who made heavy weather of Nigeria’s borrowing money and debt to global institutions be now angry that same Nigeria paid off $3.4 billion dollars COVID-19 loan owed to IMF?”

The Presidency has characterized the ongoing criticism as hypocritical, suggesting critics are more interested in political point-scoring than genuine national concern.

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