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Wednesday, 12 September 2012

Nigeria borrows US$600 million from China for projects

Nigeria has signed a deal to borrow US$600 million from China's Export-Import Bank, most of which will be used to build a railway servicing the capital Abuja and surrounding areas, the finance ministry said on Wednesday.
The loan was agreed at 2.5 per cent over a period of 20 years with a grace period of seven years, the ministry said.
The Abuja railway, which is being built by a Chinese firm, will cost US$500 million and will be completed by 2015, while a further US$100 million of debt will be used for security and technology projects, said a statement from the ministry.

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