Buharis 22 7 billion loan approved by reps
You're referring to the recent news about the approval of a $22.7 billion loan request by the Nigerian government, led by President Muhammadu Buhari.
On July 22, 2021, the House of Representatives in Nigeria approved a loan request of $22.7 billion (approximately N8.3 trillion) by the Federal Government to finance various projects and initiatives. The loan is expected to be sourced from the World Bank, African Development Bank, and other international financial institutions.
The loan request was approved after a thorough debate and consideration by the House of Representatives, with some lawmakers expressing concerns about the potential risks and implications of taking on such a large debt burden. However, the majority of lawmakers voted in favor of the loan, citing the need for the funds to support the country's economic development and infrastructure development.
The approved loan will be used to finance various projects, including:
- Power sector reform and expansion
- Transportation infrastructure development (roads, railways, and airports)
- Agriculture and rural development
- Education and healthcare infrastructure development
- Water and sanitation projects
- Energy sector development (oil and gas, renewable energy)
- Social protection and poverty reduction programs
The loan is expected to be repaid over a period of 20-30 years, with an interest rate of around 2-3%. The Federal Government has assured that the loan will be managed prudently and that the funds will be used for the intended purposes.
It's worth noting that the loan approval has sparked some controversy, with some Nigerians expressing concerns about the country's debt profile and the potential risks of taking on more debt. However, the government has maintained that the loan is necessary to support the country's economic growth and development.