The Nigerian National Petroleum Corporation Limited (NNPCL) has successfully obtained a $3 billion loan aimed at repaying crude oil debt, as revealed in a concise statement posted on the company’s official X platform (formerly known as Twitter) account on Wednesday.

The loan, acquired from the African Export-Import Bank’s headquarters in Cairo, was formalized through a commitment letter and Termsheet signed in a joint effort between NNPC Ltd. and AFREXIM bank.

This development, which occurred at AFREXIM bank’s Cairo headquarters, is set to facilitate immediate disbursement.

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This financial boost will empower NNPC Ltd. to actively assist the Federal Government’s ongoing fiscal and monetary policy reforms, specifically targeting the stabilization of the foreign exchange market and the naira.

The initiative follows the Central Bank of Nigeria’s recent announcement that it had received presidential authorization to stabilize the nation’s currency.

Folashodun Shonubi, the Acting Governor of the central bank, acknowledged that while economic factors were partly responsible for the naira’s parallel market volatility, speculative demand also played a significant role.