Reps approve Buhari’s $5.8bn loan request, $10m Grant

House of Representatives, Tuesday gave approval to President Muhammadu Buhari’s loan request of 5.8 billion dollars and grant of $10 million.

The approval came after the consideration and adoption of report presented by the Chairman, House Committee on Aids, Loans and Debt Management, Hon. Ahmed Safana.

Safana while presenting the report  explained that the loans which were part of the Federal Government’s 2018-2020 external borrowing plan will be sourced from the World Bank, Islamic Development Bank, China Exim bank, Chinese Africa Development Fund, and International Fund for Agricultural Development.

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He further explained that out of the total borrowing of $5.8 billion covers $2.3 billion for the Grid Modernization and Expansion Programme, $290,000,000 for the malaria project, $700,000,000 for the Sustainable Water Supply, Sanitation and Hygiene (WASH) Project, $786,382,967 for the Gurara Phase II project among several others.

He said, “That the House do consider Final Report of the Committee on Aids, Loans and Debt Management on the Proposed 2018–2020 External Borrowing (Rolling) Plan. That the House do approve the under listed ongoing negotiation of external borrowing of $5,803,364,553.50 and a Grant component of $10,000,000 under the 2018-2020 External Borrowing (Rolling) plan and a Grant component of $10,000,000 (Ten Million USD) under the 2018-2020 External Borrowing (Rolling) plan. Funding agency, World Bank (WB), German Consortium, Islamic Development Bank, China Eximbank, Bank of China, International Fund for Agricultural Development.”

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In approving the loan, the House demanded the terms and conditions of the loan from the funding agencies, saying it should be  forwarded to the National Assembly for evaluation.