Nigeria’s total debt to China contracted through China Export- Import (EXIM) Bank and drawn down stood at $3.714 billion as at December 31, 2020. Debt Management Office (DMO) confirmed the figure on its website. About $449.89 million has been repaid from the principal and $391.66 million as interest with an outstanding of $3.264 billion.
The Nigerian Railway Mordernisation Project (Lagos – Ibadan section) loan of $1.267 billion, which was contracted on August 18, 2017, stood out as the single largest facility from the Chinese to the country. It has 2.5 per cent interest rate and a grace period of seven years and a tenor of 20 years, thereby maturing in September 2037.
About $884.27 million, representing 69.77 per cent, has been disbursed while $29.82 million has been paid back as interest. The series of loans started with the Nigerian-Communications- Satellite, $200 million facility, which was signed on January 12, 2006, with three per cent and a grace period of five years.
That loan with a maturity date of June 29, 2018 has been fully repaid. Nigerian National Public Security Communication System project loan to the tune of $399.5 million with 2.5 per cent interest was taken in 2012. With a grace period of seven years and 20-year tenor, it will mature on September 21, 2030.
The entire $399.5 million was fully drawn down. Total payment of principal as at December 2020 was $92.19 million and interest of $89.04 million, leaving a total outstanding at $307.31 million.
The Nigerian Railway Mordernisation Project (Idu- Kaduna section) loan of $500 million was similarly contracted in 2010. With an interest rate of 2. 5 per cent and seven years grace period, it will mature on September 21, 2030. It has been fully drawn down, with an outstanding payment of $384.62 million.
The Abuja Light Rail project loan of $ 500 million was contracted in 2012 with similar terms of 2.5 per cent interest rate, grace period of seven years and a tenor of 20 years. It had been fully drawn down.
Only $38.46 million and $ 66.78 million have been paid on principal and interest, leaving an outstanding of $461.54 million. There are four facilities, which have not been drawn down.
They include Nigerian 40 parboiled rice processing plants project ($325.67 million); Nigeria Supply of Rolling Stocks and Depot Equipment for Abuja Light Rail Project ($ 157 million); Nigeria Greater Abuja Water Supply Project ($381.09 million); Nigerian Four Airport Terminal Expansion Project Ancillary Project, ($183.62 million); the additional loans for Nigerian four airport expansion project and Nigerian ICT infrastructure backbone project, ($208.90 million); and the Nigerian ICT infrastructure backbone Phase II project (CRY2.300 billion).