FG Says No Plan to Borrow From IMF’s $50bn Fund

The Federal Government has said it has no intention of approaching the International Monetary Fund (IMF) for any form of borrowing from the proposed $20bn to $50bn support package earmarked for struggling economies, particularly in Africa.

The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, made this known on Thursday during a press briefing at the ongoing World Bank/IMF Spring Meetings in Washington DC, United States.

The IMF had earlier indicated plans to mobilise between $20bn and $50bn to assist member countries facing economic pressures.

Its Managing Director, Kristalina Georgieva, also advised countries in need of financial assistance to act promptly, warning that delays in seeking help could worsen economic challenges.

Georgieva said, “My advice is that when you need help financially, don’t hesitate to move fast, because the sooner we act, the more we protect the economy.”

She added that the fund was prepared to support countries through current global difficulties, noting that at least a dozen nations, including several in Sub-Saharan Africa, could require assistance.

However, responding to questions on whether Nigeria would consider tapping into the facility, Edun ruled it out.

“Nigeria has no plan at the moment to approach the IMF for any other such burden,” he said.

The minister also stressed the need for greater support for African economies, noting that global crises, including tensions in the Middle East, were having disproportionate effects on oil-importing countries in Africa.

He said these pressures were threatening macroeconomic stability, growth prospects, and efforts to create jobs and reduce poverty across the continent.