Nigeria clears 5 Million Dollar debts to London Club of Creditors

The Director-General of Debt Management Office (DMO), Mansur Muktar revealed in an official statement at London that Nigerian government has gone a long way by repaying a sum of 5 billion dollars to London club of Creditors. He was addressing a gathering on debt management for Nigerians, and said that the nation has paid $1.486 billion and relieved themselves from PAR Bonds and improved their credit rating.

He also added that Nigerian President Olusegun Obasanjo for the conviction to settle these prior to laying down his office in May 2007. Similarly he also said that the nation owed a sum of $2.5 billion to multilateral institutions. He also explained the details of money owed by them.

Similarly he disclosed that London club could not grant discount to Nigeria unlike Paris club as the former is supported by several private parties while the later's funds are drawn from many countries. He also added that they were facing problems due to certain cheats and that they could not grant any more discounts as they had already given several discounts. Similarly he pointed out that these debts have been transferred to many parties. He also repeatedly acknowledged the role of Nigerian president in settling these debts and mentioned that the act of the president has gone a long way in improving the economy of the nation as they are relieved from the burden of paying exorbitant years continually for several years and decades and legal complexions.

Further he explained that one of the clause in the debt which gave the power to the creditor to sue the nation in an international court in case of failure to pay by Nigerian government and that this could result in attachment of foreign assets possessed by Nigeria if in case the suit is decided in favor of creditor.

He also said that Nigerian government was fully cooperating and as well as taking all efforts to become debt free. Similarly he said that all efforts have been taken by them to settle the outstanding loans. He said that they are preparing certain bills to this effect.