Just In: Buhari Writes Senate, Seeks Fresh $800M Loan, Gives Reason
- President Muhammadu Buhari on Wednesday, May 10, wrote to the Senate, asking the lawmakers to approve a new loan request of $800million
- Senate President, Ahmad Lawan, confirmed the development and disclosed that the loan would be utilized to scale up the National Social Safety Net Programme
- Meanwhile, the loan Buhari is requesting, would be sourced from the World Bank, Lawan further confirmed
A few weeks before the end of his second term in office, President Muhammadu Buhari on Wednesday, May 10, asked the Senate to approve a new borrowing request of $800 million.
Buhari made the request in a letter read by Senate President Ahmad Lawan at Tuesday’s plenary.
Source: Facebook
Real reason why Buhari is seeking $800 million loan
The president, in the letter, explained that the loan would be used to scale up the National Social Safety Net Programme, Daily Trust reported.
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He said the new borrowing would be sourced from the World Bank, The Cable report added.
“Please note that the federal executive council approved an additional loan facility to the tune of $800 million to be secured from the World Bank for the National Social Safety Net programme and the need to request your consideration and approval to ensure early implementation. Copy of FEC extract attached,” the letter read.
DMO speaks on CBN’s N22.7trn loan advances to FG, highlights advantages
The Debt Management Office (DMO) has highlighted the securitization of the Central Bank of Nigeria's (CBN) N22.7 trillion “Ways and Means Advances’’ to the Federal Government of Nigeria.
Mrs Patience Oniha, while speaking in Abuja, the nation's capital, stated that the securitization of the loan to FG will improve debt transparency and would allow the inclusion of the loan in public debt statistics.
It would be recalled that this week, the Senate assented to President Muhammadu Buhari's request to restructure the loans borrowed by the FG through Ways and Means Advances.
Buhari reacts, says Nigeria’s debt still at sustainable level
In recent times, Nigerians have continued to question the essence of the federal government’s borrowings, following the present state of the economy.
But President Muhammadu Buhari in reaction said that Nigerians were right to be concerned about the decision of the federal government to seek additional loans to fund 2022 budget estimates, but insisted that the debt level of the country was still at a sustainable limit.
This Day reports that the President made this disclosure on Thursday, October 7, while presenting the 2022 budget estimates to the joint session of the National Assembly.
Source: Legit.ng
