Lagos Pays Lekki Concession Company ₦9.8b Debt

Pix Long queue of vehicles at Lekki Toll gate waiting to pay on the first day of toll payment by the LCC. Photo by Lamidi Bamidele
Pix Long queue of vehicles at Lekki Toll gate waiting to pay on the first day of toll payment by the LCC. Photo by Lamidi Bamidele

The Lagos State Executive Council on Wednesday said it had paid a total of N9.8 billion in full and final settlement of the Lekki Concession Company’s (LCC’s) indebtedness to its international lender, which granted a 21.16 per cent haircut (reduction) to the State.

The State Executive Council also approved the restructuring of the LCC Loan Facility provided by local and international lenders.

The State Government in a statement issued by the Commissioner for Information and Strategy, Mr. Steve Ayorinde said as a result of the payment, a sum of N3.15 billion was saved, adding that 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.

The commissioner 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 more facilities were being provided by government through the tax payers’ obligation to government