In a press statement released on the 25th of January, 2024, former Vice President Atiku Abubakar has urged the Federal Governmen...
In a press statement released on the 25th of January, 2024, former Vice President Atiku Abubakar has urged the Federal Government, led by Bola Tinubu, to provide transparency regarding the $3.3 billion emergency crude repayment loan secured through the Nigeria National Petroleum Company (NNPC) in August 2023.
The loan, intended to support the Naira and stabilize the Foreign Exchange market, has been shrouded in secrecy, with the government maintaining silence on the matter. Information about the deal has only surfaced through unofficial sources from the NNPC.
The transaction involves a Special Purpose Vehicle (SPV) named Project Gazelle Funding Limited, incorporated in the Bahamas. The SPV, acting as the borrower, has an agreement with the NNPC to repay the loan using crude oil at an interest rate slightly exceeding 12 percent.
Atiku Abubakar questions the rationale behind registering a company in the Bahamas, given the recent scandal involving that country in the Paradise Papers leak. Additionally, the former Vice President highlights the significant discrepancy between the estimated repayment amount of $12 billion and the details of the deal on paper, amounting to a substantial $7 billion difference.
The press statement calls upon the Federal Government to address the concerns raised and provide clarity on the following aspects:
Confirmation of whether the Federal Government has accessed the loan.
Clarification on whether the loan is included in the government's borrowing plan as approved by the National Assembly.
Identification of the parties involved in the loan, along with their specific roles.
Disclosure of the conditions of the loan, including tenor, repayment terms, collateral, and interest rate.
An explanation for registering the SPV in the Bahamas, considering the country's recent notoriety for warehousing unclean assets.
Atiku Abubakar emphasizes the need for accountability in this matter, urging the government to directly address the questions raised and provide the Nigerian public with a clear understanding of the details behind this significant financial deal.
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