World Bank approves $500 million loan for Nigeria

A new $500 million loan for Nigeria has been approved by the World Bank despite the concerns of the House of Representatives, who are cautioning against a return to the of high debts for Nigeria.

The Federal government recently obtained a $3.6 billion loan.

A World Bank officer said, "The loan is intended to provide budgetary support to the Federal Government of Nigeria to partially off- set the fiscal impact of the crisis as well as maintain its current economic reform path in the financial sector, fiscal policy and financial management, and governance,"

And the World Bank's Country Director for Nigeria, said "The benefits to be derived from the program include maintaining confidence and stability in the financial system, strengthening the banking system, supporting reforms spearheaded by the Central Bank of Nigeria, as well as supporting the Government's fiscal and financial management, including the objectives of the 2009 budget that focuses on maintaining fiscal stability while raising government investment spending to accelerate non-oil growth".

In a motion, the House of Representatives cautioned President Yar'adua over taking more foreign loans, saying that Nigeria could be heading towards the same history of having large foreign debt burden despite the relief recently granted by international creditors.

The motion seeks to investigate the objective of the $3.6 billion foreign loans recently taken by the Federal Government and asked the President to halt further foreign loans until the circumstances leading to Nigeria's current debt burden of $3.6bn are understood. The motion seeks "to mandate the Joint committee on Aids, Loans and Debt management and Justice to as a matter of urgency, investigate under what platform and approval these foreign loans are being sought, processed, drawn, utilized, and their relevance to the needs of Nigerians and advice the House on legality or otherwise of the loan and report to the House within two weeks".

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Posted: at 30-07-2009 05:56 PM (15 years ago) | Addicted Hero

What are they going to with that amount of money?

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Posted: at 31-07-2009 08:16 AM (15 years ago) | Addicted Hero

Na you talk am shaa

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Posted: at 31-07-2009 09:30 AM (15 years ago) | Addicted Hero

as in how?

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Posted: at 31-07-2009 10:48 AM (15 years ago) | Addicted Hero

this amount of money go fit repair Nigerian light but watch out nothing will happen

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Posted: at 31-07-2009 11:26 AM (15 years ago) | Addicted Hero

haaaaaaaaa, dem don start again, selling Nigerians again...........who would bell us out of this one now when the time comes?..............For goodness sake, why does Nigeria have to borrow money with all the resources we got??

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Posted: at 31-07-2009 12:31 PM (15 years ago) | Hero

Amen ooo

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Posted: at 31-07-2009 02:18 PM (15 years ago) | Hero

we need nothing in this country but REVOLUTION!

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Posted: at 31-07-2009 02:49 PM (15 years ago) | Hero

world bank self dey stupid for given them the loan, are they not listening to nigeria news and see how they are stealing the nation money, yet they are still given them Loan for WHAt? and how they sure they use the money positively, likewise the money Nigeria is owning them as Nigeria paid them. or are they planning to take over this country through the loan they are given us. I no blam them, na my leaders i blame

Posted: at 31-07-2009 03:00 PM (15 years ago) | Upcoming

i agree with you, who no want make profit

Posted: at 31-07-2009 03:17 PM (15 years ago) | Upcoming