The National Economic Council (NEC) has approved the refinancing of NNPC Limited’s $3.3 billion oil-backed pre-export finance facility through a new $4.5 billion arrangement aimed at strengthening Nigeria’s external reserves and unlocking funds for infrastructure.

The Presidency said the new facility, known as Project Gazelle 2, will refinance the remaining $1.5 billion from the 2023 deal while providing an additional $3 billion in liquidity.

According to Finance Minister Taiwo Oyedele, the new agreement offers more favourable terms, including a 12.5 per cent reduction in pledged crude oil volumes from 90,000 to about 78,750 barrels per day, freeing up resources for key national priorities.

Vice President Kashim Shettima, who chairs the NEC, said government policies should ultimately improve citizens’ welfare by reducing food costs and enhancing healthcare, education and other essential services.