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BREAKING: Buhari writes Senate, seeks approval of fresh loan of $4bn, €710m

President Muhammadu Buhari has written the Senate, seeking for the approval of of fresh borrowing to the tune of $4,054,476,863 and €710 million in an addendum to the 2018-2020 borrowing plan.

The letter was read during plenary today, Tuesday by the Presidentof the Senate, Senator Ahmad Lawan as Buhari is asking the National Assembly to approve grant components of $125 million.

Mr Buhari also explained that the need to borrow more funds is to meet “emerging needs” of some “critical projects.”

“I write on the above subject and submit the attached addendum to the proposed 2018-2020 external rolling borrowing plan for the consideration and concurrent approval of the senate for the same to become effective.

“The distinguished senate president may recall that u submitted a request on 2018-2020 borrowing plan for the approval of the senate in May 2021.

“However, in view of other emerging needs and to ensure that all critical projects approved by FEC as of June 2021 are incorporated, I hereby forward an addendum to the proposed borrowing plan.

“The projects listed in the external borrowing plan are to be financed through sovereign loans from the World Bank, French Development Agency, EXIM Bank and IFAD in the total sum of $4,054,476,863 and €710 million and grant components of $125 million,” part of the letter read.

The president said the loans, when obtained, will stimulate the economy and create job employment.

His recent loan request comes barely two months after the National Assembly approved his earlier request to borrow $8.3 billion and €490 million loans contained in the initial 2018-2020 borrowing plan.

The lawmakers had said the needed funds were meant for projects geared towards the realisation of the Nigerian Economic Sustainability Plan that cut across key sectors such as infrastructure, health, agriculture and food security, energy, COVID-19, among others.

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