Nigerian Senate Says No To Buhari’s $30 Billion Loan Request

The Nigerian Senate has expressed objections over Buhari’s loan request of $30 billion. According to Mr President the loan will be to fund Infrastructural projects for 2017-18.

Mr President sent the request last Tuesday to the President of the Senate, Bukola Saraki, and Speaker of the House of Representatives, Yakubu Dogara.

The supposed $30 billion loan request according to President Buhari is to fund projects in various sectorsc- agriculture, health, education, water supply, growth and job generation.

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Before now the President had requested the legislature to grant the presidency emergency powers to make and execute decisions that will turn the economy around.

One of the emergency powers included the express ease of the executive to transfer allocations to urgent projects, without going back to the National Assembly.

Giving that the benefits of the single treasury account has not yet been felt in a good way, the emergency power request was shunned.

Moreso the finance department says that it released an approximate 3 trillion naira as demanded by the budget in May 2016, so far the impact has not been felt.

All these have made Buhari’s loan request a no-go area at the moment.

Nigerian lawyers have held protests against the request in the nation’s capital, Abuja. Former Nigerian president Olusegun Obasanjo has also frowned at the request, calling it a bad idea. He says that borrowing such an amount would negatively affect the nation for years to come.

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It is recalled that in 2003, during Olusegun’s regime, with Ngozi Okonjo-Iweala as the Finance Minister, Nigeria succeeded in overcoming a world debt of $28 billion. The West African nation was able to pay $12 billion while the rest was waved.

Back then, the IMF warned against the dangers of owing a debt of that magnitude in the future.

On that note it has been reported that Obasanjo has threatened to draw a battle line with the Federal Government should it go ahead to obtain the loan which many have described as an unfair deal of mortgaging the welfare of growing and unborn generations in the country.