Nigeria Fully Repays $3.4 Billion IMF COVID-19 Loan

IMF Confirms Complete Repayment of Rapid Financing Instrument

The International Monetary Fund (IMF) confirmed on Thursday that Nigeria has fully repaid the $3.4 billion financial support it received in April 2020 under the Rapid Financing Instrument (RFI). This emergency funding was designed to help the country mitigate the economic impact of the COVID-19 pandemic and the sharp decline in global oil prices.

Outstanding SDR Charges Remain

While the principal amount has been fully settled, an IMF spokesperson told PREMIUM TIMES that Nigeria will continue to make annual payments of approximately $30 million in Special Drawing Rights (SDR) charges. These charges apply to the difference between Nigeria’s current SDR holdings (SDR 3,164 million or $4.3 billion) and its cumulative SDR allocation (SDR 4,027 million or $5.5 billion).

“As of April 30, 2025, Nigeria has fully repaid the financial support of about $3.4 billion it requested and received in April 2020,” the IMF spokesperson stated. “These SDR charges will continue until Nigeria’s SDR holdings reach its cumulative allocation amount.”

Background of the Emergency Funding

The RFI was established by the IMF to provide rapid financial assistance to member countries facing urgent balance of payments needs without requiring a full-fledged economic program. Nigeria accessed this facility at the height of the pandemic when lockdown measures and plummeting oil revenues created significant economic challenges.

The repayment comes as Nigeria continues to implement economic reforms aimed at stabilizing its fiscal position and attracting foreign investment. The complete settlement of this obligation marks an important milestone in the country’s financial management.

For more details on this development, read the original report on PREMIUM TIMES.