From ADETUTU FOLASADE-KOYI, Abuja
Despite seeming opposition to foreign loans, Senate yesterday gave the Presidency approval to go ahead with external borrowing to the tune of $8.209 billion. The approval would enable the executive fund proposed pipeline projects under the Medium-Term Expenditure Framework (M-TEF) and Fiscal Strategy Paper (FSP) between 2012-2014. Senate’s approval is higher than the original $7.9 billion request by President Goodluck Jonathan.
A breakdown of the loan shows that states will have $2,263.239billion; Federal $4,846.3billion totaling $7,109.53billion, while continuation of the Eurobond Issuance for Federal is $1billion and Diaspora Bond for Federal is $0.1 billion.
Senate, however, rejected the proposal of $56.61million, which is no longer required by Kaduna State for its National Urban Water Sector Reforms from the French Development Agency but asked the Presidency to approve Lagos State’s $200 million loan request.
“Senate has advised the Federal Government to forward a request for Lagos State to avert imminent crisis in the implementation of the 2013 budget.’’