ABUJA- THE Senate on
Tuesday unanimously threw out plans by President Muhammadu Buhari to
engage in external borrowing of $29.960billion for execution of key
infrastructural projects across the country between 2016 and 2018.
The Senate did not even discuss it as it was killed immediately it was
mentioned as an executive communication by Senate Leader, Senator Ali
Ndume “that the Senate do consider the request of the President
Commander in Chief on the 2016 – 2018 External Borrowing Rolling Plan.”
Soon after Ndume’s remarks, Senate President Bukola Saraki now puts it
to Vote and the Nays had it.
Senator Saraki who was surprised and trying to give President Buhari a
soft landing, decided to put it into vote the second time and the Nays
still had it and he ruled.
It would be recalled that President Muhammadu Buhari had on Tuesday last
week written to the National Assembly seeking for the approval of
external borrowing plan of $29.960billion for execution of key
infrastructural projects across the country between 2016 and 2018.
The letter titled, “Request for Approval of Federal Government 2016 –
2018 External Borrowing( Rolling) Plan” was read on the floor of the
Senate”
President Buhari had explained in the letter that external borrowing
plan would be targeted at projects which cut across all sectors with
special emphasis on infrastructure, Agriculture, Health, Education ,
Water supply , Growth and employment generation , poverty reduction
through social safety net programmes and governance and financial
management reforms etc.
According to him,” the total cost of the projects and programmes under
the borrowing (rolling) plan is $29.960billion made up of proposed
projects and programmes loan of $11.274billion, Special National
Infrastructure projects $10.686billion, Euro bonds of $4.5 billion and
Federal Government budget support of $3.5billion “.
The President who also explained that the loan was very necessary in
view of the serious infrastructural deficit, the nation is facing, said,
“Considering the huge infrastructure deficit currently being
experienced in the country and the enormous financial resources required
to fill the gap in the face of dwindling resources and the inability of
our annual budgetary provisions to bridge the deficit, it has become
necessary to resort to prudent external borrowing to bridge the
financing gap, which will largely be applied to key infrastructure
projects namely Power, Railway and roads projects among others.