Senate To Investigate N180bn Foreign Loan By Kogi State

The Senate has directed its Committee on Local and Foreign Debts to investigate allegation that the Kogi State is on the verge of borrowing the sum of $500 million (about N180 billion) from the United Arab Emirates.

This was sequel to a motion raised by Senator Dino Melaye, who also pointed out that the State is already indebted to the sum of N40 billion.

Melaye, who rose under Orders 42 and 52, added that the loan has been christened Loan of Debt Refinancing to avoid the Kogi State Government from approaching the National Assembly for approval.

Melaye alleged that the loan would be used to fund the Kogi State and Presidential elections.

He particularly expressed concern that a State, whose debt already stands at N40 billion, is borrowing N180 billion.

“What it means is that the Government is borrowing to pay borrowed money,” he added.

In his contribution, Senator Attai Idoko said that it is unacceptable for the Kogi State people to accept an illegal borrowing.

Idoko added that it is also unacceptable for the Senate to allow the alleged borrowing.

He pointed out that there are no capital projects going on in Kogi State in addition to unpaid salaries that are still being owed by the government of Mr. Yahaya Bello.

“Kogi State cannot sustain this loan,” Idoko stated.

In his remarks, the Senate President, Senator Abubakar Bukola Saraki, assigned the Senate Committee on Local and Foreign Debts to investigate and establish, if the loan has been taken.

Saraki also told the Committee to establish the approach being used to access the loan.

Consequently, the Committee was given 48 hours, or five days maximum to report its findings to the Senate.