Osinbajo seeks Senate approval for $1.5bn loan

Acting President, Prof. Yemi Osinbajo, has written to the Senate, requesting approval for one billion, four hundred and ninety-two million, four hundred thousand dollars ($1,492,400,000,00) external loan.
Senate President, Bukola Saraki, while reading the letter at plenary, on Tuesday, said, the loan was part of the federal government’s external borrowing plan, meant for projects in ten states.
The states include; Kaduna, Ogun, Ebonyi, Abia, Katsina, Jigawa, Kano, Enugu, Plateau and Ondo.
The loan is to be sourced from four donor agencies – World Bank, African Development Bank (AfDB), Islamic Development Bank and French Development Bank.
The states to benefit from the loan are:
Kaduna – $350 million
Ogun – $350 million
Ebonyi – $70 million
Abia – $100 million
Katsina – $110 million
Jigawa – $32.4 million
Ebonyi – $80 million
Kano – $200 million
Enugu, Kano, Plateau and Ondo – $200 million.
Osinbajo sought approval of the lawmakers to allow Kaduna State and Ogun State access $350 million each for their respective State Development Policy Operation (DPO) from the World Bank.
Ebonyi and Abia States are also to secure $70 million (for Ebonyi Ring Road Project) and $100 million (for Abia Rural Access and Mobility Project) from a credit facility to be co-financed by the African Development Bank and the Islamic Development Bank, Mr. Osinbajo further told the National Assembly.
Then, according to the acting president, the Islamic Development Bank is proving $422.4 million loan facility to finance projects in four states as follows: Katsina, Health System Project, $110 million; Jigawa, Integrated Rural Development Project, $32.4 million; Ebonyi, Ring Road Project (to be co-financed with the AfDB), $80 million; and Kano, Integrated Agricultural and Water Resources Development, $200 million.
Finally, for their respective Third National Urban Water Sector Reform Project (NUWSRP-III) Plateau, Enugu, Kano and Ondo States are looking forward to accessing $200 million from the French Development Agency.
The proposed states loans amount to $1,492,400,000.
Acting President told the National Assembly “it will be highly appreciated if could kindly give this request an expedited consideration and approval to enable states meet up with all other effectiveness conditions for the implementation of the projects in their respective states.”