JUST IN: IMF speaks on Nigeria’s COVID loan repayment, outstanding charges

An IMF spokesperson told PREMIUM TIMES Thursday afternoon that Nigeria is expected to honour additional payments.

The International Monetary Fund (IMF) Thursday disclosed that Nigeria has fully repaid its financial support of $3.4 billion it requested and received in April 2020.

The fund was disbursed under the Rapid Financing Instrument, designed to help alleviate the impact of the COVID-19 pandemic and the sharp fall in oil prices.

An IMF spokesperson told PREMIUM TIMES Thursday afternoon that Nigeria is, however, expected to honour additional payments in the form of Special Drawing Rights charges of about $30 million annually.

“As of April 30, 2025, Nigeria has fully repaid the financial support of about US$3.4 billion it requested and received in April 2020 from the International Monetary Fund (IMF) under the Rapid Financing Instrument to help alleviate the impact of the COVID-19 pandemic and the sharp fall in oil prices,” the spokesperson said.

“Nigeria is expected to honor additional payments in the form of Special Drawing Rights charges of about US$30 million annually.

“In line with the IMF’s Articles of Agreements, these charges, levied at the SDR interest rate, which is updated at the beginning of each week, apply to the difference between Nigeria’s SDR holdings (SDR 3,164 million) (US$4.3 billion) and its cumulative SDR allocation (SDR 4,027 million) (US$5.5 billion).”

The net payment of the charges stops when Nigeria’s SDR holdings reach the cumulative allocation amount, the IMF said.

Details shortly…