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Adamawa House Approves N17 Billion Loan Facilities To Fight Covid-19

by Christiana Gokyo, Jos

Gov. Ahmadu Umaru Fintiri

The sum of N17 billion loan facilities has been approved by the Adamawa State House of Assembly for the state government to fight COVID-19 and execute some capital projects.

The approval was a result of the request by state governor, Ahmadu Umaru Fintiri, for the execution of critical development projects across its 21 local government areas.

Earlier, Governor Fintiri had sought the House of Assembly’s approval to obtain the facility from two commercial banks for the execution of projects across the state.

The request was contained in two separate letters, which were read before the House by the Speaker, Aminu Iya Abbas, recently.

According to the letters, the N15 billion loan facility will be secured from Fidelity Bank for the tenure of 48 months at 13 percent interest management fee, stressing that, it would be used to finance critical development projects across the state.

While the sum of N2 billion, on the other hand, will be collected from Access Bank Plc at a tenure of 10 months at 4.5 percent interest rate up to February, 2021, and nine percent interest, from 1st March, 2021.

The letter also stated that, “The sum of N2 billion loan facilities was at the instance of the Central Bank of Nigeria, CBN, and extended to all the 36 states of the federation to fight Covid-19 pandemic.”

It also stated that, if the facility is finally approved, it will be used to finance the building and expansion of the state’s medical/health care facilities and acquisition of medical equipment.

The Speaker then referred the request to the House Standing Committee on Finance, Budget and Appropriation, headed by Hon. Kate Raymond Mamuno, and were given two weeks within which to scrutinize it as well as to feed-back the House.

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