Tag n120bn aviation bailout fund
The Nigerian government has announced a N120 billion (approximately $300 million USD) bailout fund for the aviation industry to mitigate the impact of the COVID-19 pandemic on the sector.
Here are some key details about the bailout fund:
- Amount: The fund is worth N120 billion, which is approximately $300 million USD.
- Purpose: The fund is designed to provide financial support to airlines, airports, and other stakeholders in the aviation industry to help them recover from the devastating impact of the COVID-19 pandemic.
- Eligibility: The fund is open to all airlines operating in Nigeria, as well as airports, ground handling companies, and other aviation-related businesses.
- Conditions: The fund will be disbursed to eligible beneficiaries based on certain conditions, including the submission of financial statements, proof of business operations, and a plan for how the funds will be used.
- Disbursement: The fund will be disbursed in tranches, with the first tranche expected to be released in the next few weeks.
- Interest rate: The interest rate on the loan is expected to be around 5-7% per annum.
- Repayment period: The repayment period for the loan is expected to be around 5-7 years.
The Nigerian government has announced that the bailout fund is part of its efforts to support the aviation industry, which has been severely impacted by the COVID-19 pandemic. The fund is expected to help airlines and other stakeholders in the industry to recover and continue to operate safely and efficiently.
It's worth noting that the bailout fund is not a grant, but rather a loan that will need to be repaid by the beneficiaries. However, the interest rate and repayment period are expected to be relatively favorable, making it easier for airlines and other stakeholders to access the funds and recover from the pandemic.