Kano Elders Petition Buhari Over Ganduje’s N300bn China Loan Plan

Elders in Kano under the aegis of Kano Unity Forum, have expressed grave reservations about the move by Kano State Government to obtain loan from China Development Bank for the construction of phase 1 component of the Light Mono Rail to service Kano Metropolis,

The Elders also warned the Chinese to be wary of given out the loan, stressing that it would be ready to ensure the next administration in the State repudiates the agreement altogether and disregard any responsibly for whatever money the Chinese expended on the project.

According to a statement signed and issued by a former Presidential aspirant, Alhaji Bashir Othman Tofa, on behalf of Kano Unity Forum on Thursday, the group urged the Chinese to be cautious in giving any loan to the Governor Abdullahi Ganduje administration.

Copies of the petition were sent to President Muhammad Buhari, National Assembly, Embassy of China in Nigeria, Ministry of Finance, Central Bank of Nigeria, China Development Bank, DMO, OAU secretariat and selected media organisations in Nigeria.

According to the statement “save for few in official circles, nobody else knows the terms and conditions of the loan agreement”, adding that “the exact amount being borrowed is shrouded in secrecy”.

He stated further : “A 1st Phase of the project costing over N300 Billion or may be even the N828 Billion mentioned by others, coming mostly from a foreign loan is mind-boggling, to say the least. A rethink is not only needed, but necessary.”

He noted that “based on the analysis of the present indebtedness of Kano State as provided for by the Debt Management Office (DMO) Nigeria, it is extremely difficult, almost impossible for Kano State to sustain any indebtedness beyond the current liability portfolio of the state.”

Tofa hinted “It needs to be noted that a rail project is never a project to be put in haste as we observed that it is neither in the medium nor long term plans of the State Government.

“If indeed the Chinese want to genuinely help with cheap loans, they should be requested to support critical sectors such as education, health, agriculture, power, science and technology, infrastructure , industry and water supply”. He said

The Group declared that “KANO UNITY FORUM would not give any self-serving politician the latitude to increase poverty and deprivation within the general public through ill-conceived public works.

“We shall not be deluded by the attractive idea of good return from the investment. Rail projects world over are known as highly capital intensive with a very negligible rate of return on investment. It’s more of a social welfare project, especially in Less Developed Economies. “

The group therefore warned that “In the event, however, KNSG chooses to remain impervious to this well intentioned intervention, we will diligently pursue court processes and other lawful means to stop the Light Rail project.”