African Export-Import Bank has approved the disbursement of a loan of $1.05bn supported by oil and gas development to Nigeria next month.

The loan is part of a larger $3.3bn prepayment facility arranged by Afreximbank, with repayment terms tied to crude cargoes from the Nigerian National Petroleum Company Ltd.

Denys Denya, Afreximbank’s Senior Executive Vice President for Finance, Administration, and Banking, has confirmed the verification of crude availability, paving the way for the final release of the balance within the next month.

A substantial portion of it — two-thirds, was already disbursed in January, added that the loan aims at reviving Nigeria’s economy and enhancing the supply of hard currency in the local foreign exchange market.

This financial manoeuvre is designed to provide Nigeria with immediate funds based on future oil production, offering a lifeline to the country’s struggling economy.