By Chibuike Nwabuko
Abuja (Sundiata Post) – Mahdi Shehu has called out President Bola Tinubu for taking #80m loan strictly for the training of Ekiti Youths, describing it as insensitive, an open assault on the other states, a clear-cut injustice and imbalance deliberately meant to create further disequilibrium.
Sundiata Post recalls that yesterday (Monday), the Minister of Finance and Coordinating Minister of the Economy, Wale Edun said the Federal Executive Council (FEC) approved a $1.58 billion loan request. Stressing that the loan request is split into two; $1.5 billion from the World Bank and $80 million from the African Development Bank (AfDB).
The minister revealed the approval after the FEC meeting held at the presidential villa, Abuja, on Monday.
He told the state house correspondents that the $1.5 billion from the World Bank would be applied through the International Development Association (IDA) — an arm of the Bretton Woods institution, which provides free or zero-interest loans to low-income countries.
He further said that FEC also approved the application for financing from the World Bank. And in particular, the International Development Association which is really the virtually free or zero interest lending arm or financing arm of the World Bank,” he said.
“The total is $1.5 billion. And the background is just as you heard from the Minister of planning and budget.”
The loan, according to Edun, comes at a time the cost of borrowing is rising as developed countries raise interest rates and restrict money, to fight inflation.
“What that means is that interest rates for everybody else, become not just high but very painful, if not on affordable within that context,” he said.
Edun said the World Bank is willing to lend to Nigeria because of some tough policies made by President Bola Tinubu.
He said the tough decisions have received the support of the multilateral development bank, and as a result, the World Bank is ready to “process on our behalf $1.5 billion of concessional financing, relatively cheap financing and financing that will be dispersed relatively quickly”.
Commenting on the $80 million loan from AfDB, Edun said the fund will be used to finance the Ekiti Knowledge Zone (EKZ) project.
He said the project was created to provide technological skills to the youths in Ekiti, as the contribution of the technology sector to the economy is rising.
Reacting to this via his x account (formerly known as twitter, @shehu_mahdi, Shehu said:
“$80M= N80 BILLION LOAN TO TRAIN EKITI YOUTH IN TECHNOLOGY: Bola is taking a loan of N80B exclusively for the benefit of Ekiti youth. This is insensitive,an open assault on the other states, a clear-cut injustice, imbalance deliberately meant to create further Disequilibrium.”
