We transferred $250m to NSIA, FG explains ECA balance drop

The balance of the excess crude account dropped significantly because the federal executive council approved the transfer of $250 million to the Nigeria Sovereign Investment Authority (NSIA).

This is according to a statement released on Friday by Laolu Akande, the senior special assistant to Vice President Yemi Osinbajo (pictured) on media and publicity.

TheCable had earlier reported that the balance of the excess crude account dropped by $253 million between January and February 2020.

As of January 16, 2020, the balance of the account was $324.968 million and it dropped to $71.81 million by February 19.

“Having received a presentation of the Nigeria Sovereign Investment Authority (NSIA) business update and outlook, the national economic council on Thursday resolved to invest an additional $250 million into the NSIA, the country’s sovereign wealth fund,” the statement read.

“The resolution was among the decisions taken at the 99th meeting of the council

“On updates involving the excess crude account (ECA), stabilization account and the natural resources development fund account, the accountant general of the federation told council that “the excess crude account (ECA) balance as at November 20, 2019, stood at $324,539,031.51 while the stabilization account balance as November 20, 2019, was N29,480,483,393.33 and natural resources development fund account balance as at November 20, 2019, stood at N79,751,649,521.54.”

The NSIA  began operations in 2012 to manage and invest funds in a diversified portfolio of medium and long-term assets on behalf of the federal government, state governments, federal capital territory, and local governments area councils in “preparation for the eventual depletion of Nigeria’s hydrocarbon resources”.