FEC Approves $170 Million Loan To Strengthen Power

The Federal Executive Council (FEC) has approved $170 million loan from the French Development Agency to strengthen power infrastructure in Abuja, the Federal Capital Territory (FCT).

The loan which is concessionary has a moratorium of 7 years period and an interest rate of 1.56 percent with repayment period of 20 years.

Finance Minister, Ngozi Okonjo-Iweala who threw light on the loan agreement which was signed by the leaders of both countries last week, on the side-lines of the Centenary celebrations, said the fund is to assist in increasing transmission base in Abuja.

The Co-ordinating Minister for the Economy noted that what has been done already is the sale of the distribution and generation companies in the power sector which does not relate to transmission that the government still hold in regulation.

The Federal Government has also agreed to float diaspora bonds to the tune of $300 million. The project, according to the federal government, will enable Nigerians abroad to invest in economic rewarding ventures in the country.
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