Buhari seeks approval for N10.7 trillion loan Saraki’s Senate rejected

Buhari says, if approved, the borrowed fund will be used for poverty alleviation, infrastructural development, agriculture, amongst others.

President Muhammadu Buhari has, for a second time, sought the approval of $29.6 billion loan, which amounts to over N10.7 trillion in naira conversion.

In a letter read on the Senate floor by Senate President Ahmad Lawan, Buhari hinged the re-submission of the loan approval on the rejection of the 8th Senate under the leadership of Bukola Saraki.

President Buhari was quoted to have noted that an approval of his request would ensure the prompt implementation of projects under the borrowing plan.

Saraki had backed the 8th Senate rejection of the President Buhari’s loan request. [Twitter/@NGRSenate]

He emphasised on deploying the borrowed fund on infrastructure, agriculture, health, education, water supply, growth and employment generation, poverty reduction through social safety net programmes, governance and financial management reforms, amongst others.

Buhari’s letter read, “I hereby request the resolution of the Senate to approve the Federal Government’s 2016-2018 external borrowing plan as well as relevant projects under this plan.

“Specifically, the Senate is invited to note that while I had sent the 2016-2018 external borrowing plan to the 8th National Assembly in September 2016, this plan was not approved in its entirety by the legislature.

The Senate President, Dr. Ahmad Lawan read Buhari’s letter of the N10.7 trillion loan approval request. [Twitter/@SPNigeria]

“Only the Federal Government’s emergency project for the northeast, four states’ projects, and one China Exim bank assisted railway modernisation project for the Lagos – Ibadan segment were approved out of a total of 39 projects.

“The outstanding projects that were not approved by the legislature nevertheless are critical to the delivery of the government policies and programme relating to power, mining, roads, agriculture, health, water and the educational sector.”

The leadership of the federal parliament led by Senator Saraki and Yakubu Dogara unanimously rejected the request on the basis that the letter conveying it was not accompanied by a borrowing plan.