President Muhammadu Buhari has urged the National Assembly to approve an external loan of $29.96 billion to execute key infrastructural projects across the country.
The President’s request for an external loan of $29.96 billion was sent through memos to Senate President Ahmad Lawan and House of Representatives Speaker Femi Gbajabiamila.
Lawan and Gbajabiamila read the President’s letter on Thursday at plenary.
In the letter, the President said he decided to represent the request for an external loan of $29.96 billion, part of which was rejected by the eighth National Assembly, to finance key projects in different sectors of the economy.
The President said the approval of the borrowing plan will enable the government to fund some of the projects listed in the plan.
According to the memo, the Minister of Finance has been directed to provide necessary clarifications that may be needed for the House to pass approve the plan without delay.
The letter, titled: “Request for the National Assembly to reconsider and approve the Federal Government’s 2016-2018 external borrowing plan” reads in part: “Pursuant to Sections 21 and 27 of the Debt Management Office (Establishment Etc) Act, I hereby request for resolutions 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 (a): While I have transmitted the 2016-2018 external borrowing plan to the Eight National Assembly in September 2016, this plan was not approved in its entirety by the legislature.
Only the Federal Government’s emergency projects for the Northeast’s four states projects and one China-Assisted Railway modernisation project for Lagos-Ibadan segment were approved out of the total of 39 projects.
“(b). That outstanding projects in the plan that were not approved by the legislature are nevertheless, critical to the delivery of the government’s policies and programmes relating to power, mining, roads, agriculture, health, water and educational sectors.
“These outstanding budgets are well-advanced in terms of the preparation, consistent with the 2016 date.
“Sustainability analysis undertaken by the Debt Management Office were approved by the Federal Executive Council in August 2016 under the 2016-2018 external borrowing plan.
“Accordingly, I have attached for your kind consideration, relevant information from the Minister of Finance, the specific outstanding projects under the 2016-2018 external borrowing plan for which legislative approval is currently being sought.
“I have also directed the Minister to make herself available to provide any additional information or clarification which you may require to facilitate prompt approval of the outstanding projects under this plan.”