DMO Insists National Assembly Approved $300 Million Diaspora Bond
Perhaps the National Assembly forgot it gave approval for the Debt Management Office, DMO to go ahead and borrow money from Nigerians living overseas.
You may recall that the lawmakers last week claimed that DMO raised overseas debt without obtaining legislative approval.
But DMO said the National Assembly indeed approved the Diaspora Bond, which was used to borrow $300 million from Nigerians living abroad.
The DMO says Nigeria's parliament approved the sum via its resolution dated April 28, 2016.
The issuance of the $300 million was done on June 26, 2017 and the proceeds were used to finance part of the deficit in the 2017 Appropriation Act.
The DMO, however clarified that the $300 million Diaspora Bond was not part of the $5.5 billion naira approved by the National Assembly on November 14, 2017.
“Out of the $5.5 billion approved by the National Assembly on November 14, 2017, $3 billion Eurobonds was issued on November 28, 2017, leaving a balance of $2.5 billion to be issued,” the DMO explained, adding that the office would never borrow without first obtaining the required approvals.
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