The Federal Executive Council (FEC) of Nigeria on Friday approved a $2.2 billion external borrowing plan, which includes potential offerings of Eurobonds and Sukuk bonds.
This decision was announced by Wale Edun, the Minister of Finance and Coordinating Minister of the Economy, following a meeting at the Presidential Villa in Abuja. The approval is part of the government's strategy to support its economic recovery efforts and address financial needs.
The financing programme aims to access the international capital market, with a proposed combination of a $1.7 billion Eurobond offer and $500 million in Sukuk financing.
The actual composition of these instruments will depend on market conditions and advice from financial advisors at the time of issuance. The borrowing plan is set to be executed as soon as it receives approval from the National Assembly, with expectations for completion within the year.
Additionally, the FEC has approved the creation of the Morph Real Estate Investment Fund, a ₦250 billion initiative designed to provide low-cost, long-term mortgages to Nigerians.
This fund is expected to help alleviate the country's major housing deficit, estimated at 22 million units, while also creating jobs and stimulating economic growth. The initiative is seen as a step towards revitalizing the housing sector and encouraging private-sector investment in construction.
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