The Nigerian National Petroleum Company Limited (NNPCL) has begun the process of addressing its outstanding debt to the tune of $6 billion.
The Nigerian government confirmed this development through the Ministry of Finance.
Speaking during a meeting with investors in Washington, DC on Wednesday, Nigeria’s Minister of Finance and Coordinating Minister for the Economy, Wale Edun, noted that the NNPCL has started the procedure to repay the $6 billion it owes to its suppliers.
It is worth noting that the NNPCL has acknowledged facing financial challenges due to the expenses associated with maintaining supply and its liabilities to oil suppliers, which exceed $6 billion.
However, in his address on Wednesday, Edun said: “In terms of NNPC and their situation, the reality is that although the subsidy was removed on May 29, 2023, and is no longer on the government’s balance sheet, it did rear its head—not in terms of petrol subsidy, but foreign exchange subsidy, which was borne elsewhere, mainly by NNPC.
“I think what I can say about their situation now is that they have a route to paying down their payables, and I’m sure that in no time, they will start.
“From what I understand, they have even commenced the process of paying down their payables.”
