Lagos approves restructuring of LC loan facility, saves over N10bn

Lagos State Executive Council approved the restructuring of the Lekki Concession Company (LCC) Loan Facility provided by local and international lenders.

Commissioner for Information and Strategy, Mr Steve Ayorinde, disclosed this on Wednesday, saying it had paid a total of N9.8 billion in full and final settlement of LCC’s indebtedness to its international lender, which granted a 21.16 per cent haircut (reduction) to the state.

According to him, a sum of N3.15 billion was saved as a result of the restructuring.

He said in addition, local lenders, whose interest rate was 18.5 per cent at the consummation of the facility, offered a 12 per cent haircut and also fully paid with a restructured loan at 13.5 per cent, thereby creating a savings of N8.7 billion for the government.

Ayorinde also reiterated the state government’s commitment to continue to deploy appropriate public finance management principles to ensure adequate provision of infrastructure to all Lagosians.

In a related development, the state’s Commissioner for Finance, Dr Mustapha Akinkunmi, urged citizens to continue to pay their taxes as at when due, since according to him, more facilities were being provided by government through  taxpayers’ obligation to government.