Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  News  >  Economy & Forex

News : Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

Nigeria not looking to issue Eurobonds, Vice President says

10/10/2020 | 03:04pm EST

ABUJA, Oct 10 (Reuters) - Nigeria will avoid issuing Eurobonds due to their expense, Vice President Yemi Osinbajo said, and will look at alternative ways to raise funds to support the economy in the face of a looming recession.

"We are not likely going to explore again the Eurobond market because we are trying to avoid commercial borrowing," Osinbajo told journalists in a group interview late on Friday.

Nigeria's economy has been hobbled as the coronavirus pandemic has triggered a crash in the price of oil, its main export, and an exodus of foreign investors.

Nigeria is likely to enter recession in the third quarter after its economy contracted 6.1% in the second quarter. The government expects the economy to shrink as much as 8.9% this year.

On Thursday, the government presented a record 13.08 trillion naira ($34.4 billion) 2021 budget to lawmakers, targeting a return to growth.

Osinbajo said Nigeria is looking at World Bank loans rather than Eurobonds, though the lender delayed a $1.5 billion facility in August, expressing concern that Nigeria had not adopted a unified, flexible exchange rate to close the gap between official and black market naira rates.

"All of us agreed that we must close the arbitrary gap but this is the function of the central bank," Osinbajo said.

Nigeria also aims to build 300,000 low-cost homes in a year and guarantee loans to farmers to boost food production.

"The basic problem we have is productivity and (the) problem of not having capacity and being able to produce," said Osinbajo.

Food inflation, which accounts for much of the inflation basket, has been in double digits for more than three years. (Reporting by Felix Onuah; Writing by Chijioke Ohuocha; Editing by Christina Fincher)


© Reuters 2020
Stocks mentioned in the article
ChangeLast1st jan.
LONDON BRENT OIL 1.13% 48.24 Delayed Quote.-27.73%
WTI 1.29% 45.54 Delayed Quote.-26.73%
Latest news "Economy & Forex"
03:04pBrexit negotiations restart in person as clock ticks down
RE
02:49pCanada blocks bulk exports of some prescription drugs in response to Trump import plan
RE
01:42pEuropean Commission leans on Barnier to reach trade deal with UK-The Times
RE
01:22pU.S. CDC reports 263,956 deaths from coronavirus
RE
01:13pFormer Zappos CEO Tony Hsieh dies at 46
RE
01:05pMINISTRY OF EXTERNAL AFFAIRS OF REPUBLIC OF IN : Visit of External Affairs Minister to Republic of Seychelles (November 27-28, 2020)
PU
12:50pRussia's Nord Stream 2 to resume pipe-laying work this year
RE
12:16pUK says tough tiers needed as PM tries to see off lawmaker backlash
RE
12:16pPublic Transit Agencies Slash Services, Staff as Coronavirus Keeps Ridership Low
DJ
12:06pRussia's Nord Stream 2 to resume pipe-laying in Germany's Exclusive Economic Zone
RE
Latest news "Economy & Forex"