Nigeria Begins Sharing $2.1bn Gas Revenues To Cover State Debts
Nigeria has begun the process of sharing $2.1bn with federal, state and local governments to reduce a growing backlog of debts and restructure short-term loans, a spokesperson for the vice president said on Monday.
The sharing of revenues from the state-owned Nigeria Liquefied Natural Gas Company was announced earlier this month after governors of the 36 states requested federal government support from President Muhammadu Buhari.
Several states have been unable to pay the salaries of government workers due to the size of their debts.
"The implementation of a three-pronged financial intervention of President Muhammadu Buhari to assuage workers plight and support the states is now in progress," said Laolu Akande, a spokesman for Vice President Yemi Osinbajo.
Under the measures, the central bank will offer interventions of between 250 and 300 billion naira.