11th August, 2011
The Ogun State House of Assembly today approved the request by Governor Ibikunle Amosun to obtain an internal loan of N25 billion to him execute government programmes in the state.
The Speaker of the House, Rt. Hon. Surajudeen Ishola Adekunbi whileÂ announcing the passing the House ResolutionÂ 043, charged the executive to ensure that the projects are evenlyÂ distributed across the 20 local government council areas of the state.
Speaking on the floor of the House today, the Chairman House CommitteeÂ on Finance and Appropriation, Hon. Olusola Bankole representing AdoÂ Odo/ Ota State Constituency, disclosed that the governor has explained whyÂ the loan has to be obtained and terms of payment which, according toÂ him, are reasonable.
Contributing to the bill, Hon. Job Akintan commended the executive armÂ of government for the due process it took in its quest to obtain the loan.
â€œThe executive has to be commended for following due process in gettingÂ the loan. I have been in this Honourable House for some years. TheÂ past government had no recourse to contact us before going into theÂ capital market. I want to strongly appeal to my colleagues here thatÂ we give this bill an accelerated passage so that the governor will beÂ able to fulfill all our electioneering promises to our people,â€ he said.
Several lawmakers who spoke on the bill supported it but quicklyÂ reminded the House that the projects must be properly monitored by the government so as not to end up as white elephant projects.
Hon. Remmy Hazzan, representing Odogbolu State Constituency, lauded theÂ executive for its bold step and reminded the House of how due process was not followed by the last administration when it needed a loan.
According to him, â€œwe cannot compare the process this government isÂ taking to that of the past government. When I saw the letter from theÂ governor, I was convinced that we can have as low as this percentageÂ for the interest when the man at the helm of affairs then was tellingÂ us that it can never be possible. I want to urge this Honourable HouseÂ to throw their weight behind this bill so that our people will haveÂ course to smile soonest.â€
In a letter sent to the House Governor AmosunÂ seeking for the approval to obtain the loan, it was statedÂ that,â€â€¦..for us to deliver on our promises to our people during theÂ campaign, we need to get this Internal loan/ Overdraft of N25 billionÂ which will be much needed in these five core sectors like Education,Â Health, Agriculture, Infrastructure development and Security. TheÂ repayment plan falls within the tenure of this administration and theÂ interest is just 13%……â€
The loan is to be taken from any combination of these five banks,Â namely, First Bank, Guaranty Trust, Skye, UBA and Sterling banks.
The House has been adjourned till Tuesday 16 August, 2011.
By Abiodun Onafuye/Abeokuta