MTN Group Set To Discuss $600M Loan Repayment Plan With CBN

MTN Group Ltd is discussing with the Central Bank of Nigeria (CBN) concerning early reimbursement of $600 million debt it owes in order to scale back exposure to the Naira that has weakened against the rand this year.

MTN, Africa’s largest wireless carrier with operations in twenty two countries, profit declined eleven per cent within the six months through June partly due to weakening African currencies against the South African rand, during which it reports earnings. The Johannesburg-based company aforesaid Nigerian sales reduced 9 per cent within the amount, compared with a 1.1 per cent fall on a continuing currencies basis.

“We have already been negotiating with the lenders but the challenge has been getting the central bank to approve that we can accelerate the payment.  It would help a lot in terms of dealing with the currency fluctuations,” its Chief Executive Officer Sifiso Dabengwa told Bloomberg yesterday.

MTN executives have met with Nigerian President Muhammadu Buhari, Dabengwa aforesaid at a presentation to analysts and reporters earlier this month. “The conversations were positive,” he said, and therefore the company has no issue with the Nigerian Government.

The Nation