Previous reports indicated that the Federal Government of Nigeria is scheduled to repay the IMF a total of $3.51 billion between 2022 and 2026, offsetting the $3.4 billion loan.
However, information extracted from a webpage on the IMF's site titled 'Nigeria: Financial Position in the Fund as of July 31, 2023,' reveals an outstanding balance of $3.19 billion, which will be cleared during the current administration.
In April 2020, the IMF granted Nigeria a $3.4 billion emergency financial assistance.
This loan was sanctioned under the Rapid Financing Instrument by the IMF's Executive Board on April 28 to address challenges stemming from the economic repercussions of COVID-19 in the country.
The disbursal of the loaned amount occurred on April 30, 2020.
An IMF statement concerning the loan reads, "The IMF approved $3.4 billion in emergency financial assistance under the Rapid Financing Instrument to support the authorities' efforts in addressing the severe economic impact of the COVID-19 shock and the sharp fall in oil prices."
Additionally, it was disclosed that out of four agreed-upon loans, only one loan saw disbursement.
Within a section titled 'Overdue Obligations and Projected Payments to Fund,' there's a breakdown of Nigeria's anticipated annual payments, stated in Special Drawing Rights (SDR). The SDR is an international reserve asset initiated by the IMF in 1969 to supplement the official reserves of its member countries.
SDR1 currently equates to $1.33 based on the IMF's provided exchange rate.
In 2023, Nigeria is set to pay SDR373.81 million ($497.17 million), comprising a principal fee of SDR306.81 million ($408.06 million) and an interest fee of SDR67 million ($89.11 million) for the loan.
During 2024, Nigeria is projected to pay a total of SDR1.32 billion ($1.76 billion), incorporating a principal fee of SDR1.23 billion ($1.64 billion) and an interest fee of SDR94.76 million ($126.03 million).
In 2025, Nigeria is anticipated to make a total payment of SDR650.58 million ($865.27 million), comprising a principal fee of SDR613.63 million ($816.13 million) and an interest fee of SDR36.95 million ($49.14 million).
For both 2026 and 2027, the country is expected to pay a total of SDR25.56 million ($33.99 million) each, which consists solely of an interest fee. This marks the lowest amount within the repayment period.