The $200million loan facilities sought by the Lagos state government, was on Wednesday, approved by the Nigerian Senate.
The approval followed a deliberation of the report of Ad-hoc Committee on Foreign and Local debt to which the request was referred, two weeks ago.
In a motion for the consideration of the report, Senator Kabiru Gaya (APC Kano South), said: “That the Senate do consider the Report of Ad-Commiittee on Local and Foreign Debts for Special approval of Lagos State Development Policy Operation (DPO) loan budget support of US$200 Million from the World Bank.”
Gaya further explained that the loan would go a long way developing the state’s infrastructure and in generating jobs for the unemployed in Lagos State.
The motion was supported by Senator Remi Tinubu (APC Lagos).
In his contribution, Senator Danjuma Goje warned that the loan should be expended judiciously and purposefully so that when it was being paid back people could point to the infrastructures it was used for.
He said, “Mr Senate President, my own is to express caution. Loans are meant to be paid back with interest and so it should be judiciously used to the extent that the people of Lagos State could point to those things it was used for.”
Senator George Sekibo, on his part, called on the Senate to ensure a detailed probe of past loans.
He advised that in order to avoid corruption and misapplication of funds, the chamber should be carried along on the implementation of those targeted infrastructures.
Sekibo said, “Distinguished colleagues, I want to state that the Senate Committee always look into activities of past loans taken with a view to ascertain how it was used and also that from time to time the Senate should be carried along in the implementation in other to avoid corruption and misapplication of funds.”
Meanwhile, the motion was unanimously adopted when Senate President Bukola Saraki put the request to a voice vote.