The Asset Management Corporation of Nigeria will on December 31 redeem the N1tn series one, two, three and four bonds held by institutions outside the central bank.
Already, the amount according to the Governor of the Central Bank of Nigeria, Mr Lamido Sanusi, had already been received by the apex bank from the corporation.
The governor said by October next year, additional N1tn bond for series five would be redeemed by AMCON.
Sanusi spoke at the apex bank ‘s headquarters on Friday in Abuja during the signing of an agreement between both institutions that would pave the way for the redemption of AMCON’s indebtedness.
Sanusi signed on behalf of the CBN while the Managing Director of AMCON, Mr Mustafa Chike-Obi, signed on behalf of the corporation.
The governor said the agreement was a milestone in the resolution of the banking sector crisis which began in 2009.
That crisis, which led to the sacking of the Managing Directors of eight Deposit Money Bank for gross mismanagement also brought about the setting up of AMCON to help clean up the balance sheet of the banking sector.
Sanusi said that having issued bonds of about N5.7tn that enabled AMCON to put money into the balance sheet of banks, thus improving their liquidity, there was the need for the corporation to begin the redemption of these bonds.
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