Chibuike Rotimi Amaechi say nigeria to request fresh loan form china exim bank
Nigeria has requested a loan from China Exim Bank for the construction of a coastal line. The fund which is worth US$ 1.8billion will help the completion of the project according to Minister of Transportation.
The actual cost of the project is US$ 2billion while Nigeria is to pay US$ 500 million as counterpart fund. According to Minister Chibuike Rotimi Amaechi, the government was yet to pay any of the loans. This is after the full operational commencement of Abuja-Kaduna rail corridor.
Meanwhile, in 2018, Nigerian Railway Corporation (NRC) got an improved revenue of 400 per cent. This was an increase from 2017 revenue which was N16 million monthly.
Transportation Minister, Chibuike Rotimi Amaechi, has on Thursday said the Federal Government had requested a fresh $1.8 billion from the China Exim Bank for the construction of the coastal rail line.https://t.co/2gWxI3WMXr #Railway #China #Nigeria #Loan
— The Guardian Nigeria (@GuardianNigeria) May 24, 2019
Rotimi Amaechi however was not please with NRC managing director as his directives has not been followed. According to the minister, a sinking fund or escrow account were to be set-aside by NRC for the repayment of the US $500 million facility.
He also said that Asian nation demanded that the repayment funds should go to the sinking account on a yearly basis. While those for the running of the railway should naturally be domiciled in the escrow account.