The House of Representatives on Tuesday approved President Muhammadu Buhari’s request to take 22.7 billion loan.
The House approved the request after its reviewed the findings of its committee’s on aids, loans and debt management. In 2019, President Buhari had said the loan was intended to fund the country’s key infrastructure.
Earlier in March, the Senate gave its nod to the request. The Lawmakers in the House of Representatives had kicked against the bill earlier, forcing the suspension of debates.
The legislators, especially those from the south-east caucus, complained about the failure of the government to include projects in the region amongst those to be financed from the loan.
However, the $22.7 Billion loan proposal has now been approved, following debates that were accompanied by pleas from House Speaker Femi Gbajabiamila.
Last month, both Houses approved an ₦850 billion loan proposal from the president, which is to be sourced from domestic markets “to fund critical capital projects in the 2020 budget.”
Last week, Mr Buhari also wrote to both chambers, seeking the approval of another $5.513 billion foreign loans.
As of September 30 , 2019, Nigeria’s growing debt profile stood at around N26.2 trillion. Of this number, total domestic debt amounts to about 18 trillion, or 68.45%. Approximately N8 trillion foreign lenders are owed.
In another related news
President Muhammadu Buhari and the President of African Development Bank (AfDB), Dr. Akinwumi Adesina, are currently meeting at the Presidential Villa, Abuja.
Adesina has been at the centre of allegations of impropriety at the Abidjan-based financial institution which have been a subject of inquiry by the Bank’s Ethics Committee.
Prominent Nigerians like former President Olusegun Obasanjo and former President Goodluck Jonathan and some African leaders have risen to the defense of Dr. Adesina in the allegations against him.
The embattled Bank President had responded, point-by-point, to the 16 allegations made anonymously against him to the Ethics Committee.
The Committee cleared the AfDB President but the United States Department of Treasury dismissed the verdict, calling for an independent investigation of the allegations against Adesina.