Nigeria gets $18b debt relief

Nigeria gets $18b debt relief

ABUJA: The Paris Club, Nigeria's main external creditor, has
granted the country 60 percent (US$18 billion) debt relief,
Nigeria's Finance Minister, Ngozi Okonjo-Iweala, said in Abuja on
Thursday.

Nigeria's external debt overhang is about $35 billion, $30
billion of which is owed to Paris Club countries.

The decision to grant Nigeria debt relief was taken at a
meeting of Club members held in Paris on Wednesday, June 29,
Okonjo-Iweala said.

Under the terms of agreement signed with the Paris Club,
Nigeria was expected to immediately clear arrears of about $6
billion from the $30 billion owed, she said.

After paying the arrears, "there would be stock reduction on
and a buyback of the remainder so as to provide for Nigeria's
exit from the debt," Okonjo-Iweala added. -- DPA