By Ayodele Quadri, Lagos Times Correspondent
ABUJA, NIGERIA — Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, has rejected calls for the Federal Government to publish line-item drawdown details for its $5 billion financing facility with First Abu Dhabi Bank (FAB).
Speaking during a media briefing in Abuja, Oyedele stated that public spending details are already routinely published in general accounts and questioned why this specific transaction was facing hyper-scrutiny.
Core Reasons Provided by the Finance Minister
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No Special Treatment: Oyedele pointed out that similar granular press releases are not issued for drawdowns from World Bank loans, Eurobonds, or Sukuk instruments.
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Legislative Oversight: The minister emphasized that the $5 billion financing package was formally presented to and approved by the National Assembly on March 31, 2026, disproving claims that the deal was conducted without due process.
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Phased Drawdowns to Cut Costs: Nigeria accessed an initial $1.5 billion tranche under a Total Return Swap (TRS) structure. The government is accessing the facility in stages rather than all at once to avoid paying holding interest on unspent funds.
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Flexible Rate Advantage: Unlike fixed-rate debt, the FAB transaction features a flexible interest rate with an all-in cost lower than Nigeria’s existing portfolio, structured primarily to refinance older, more expensive debt.
