President Bola Ahmed Tinubu’s proposal to borrow $500 million for his administration’s mass metering project, aimed at procuring prepaid metres, has been approved by the Senate.
Deputy Senate President Barau Jibrin and Vice Chairman of the committee, Haruna Manu, stated that the decision was based on the recommendation of the committee on local and foreign debt. They affirmed that the terms of the loan contract were advantageous, ensuring that the nation would not encounter any setbacks or hindered economic growth due to the debt.
“The committee recommends that the Senate approve the ongoing negotiations of the external borrowing in the sum of $500m for BPE; that the perforations of the loan from the funding agency be forwarded to the National Assembly before execution,” Manu said on Wednesday.
The $500 million loan falls under the nation’s 2022-2024 external borrowing plan including the $7.94 billion World Bank loan and €100 million that Mr Tinubu sought approval to obtain in November 2023.
But the Senate slashed about $540 million from the request, approving $7.4 billion on December 30, 2023.
The $500 million loan forms part of the nation’s 2022-2024 external borrowing plan, which includes a $7.94 billion World Bank loan and €100 million sought by Tinubu for approval in November 2023. However, the Senate slashed approximately $540 million from the request, approving $7.4 billion on December 30, 2023.