Tinubu Insists on Borrowing $800 Loan , seeks National Assembly Approval

By Adekunle Adesuji

President Bola Ahmed Tinubu has insisted on borrowing  $800 million loan to finance the National Social Safety Network Programme (NSSNP).

Former President Muhammadu Buhari had on May 17, 2023, sought the approval of the House of Representatives on Wednesday for a fresh $800 million loan to finance the National Social Safety Network Programme (NSSNP).

But, till the expiration of Buhari’s tenure, the Ninth Senate did not give approval to the loan requested by former President Buhari

However, the Senate President, Godswill Akpabio at the resumption of the plenary session read President Tinubu’s request to borrow $800 million.

The request is coming in less than 24 hours and President Tinubu requested for N500 billion to cushion the effect of fuel subsidy removal.

The letter reads: “Please note that the federal executive council led by President Muhammadu Buhari approved an additional loan facility to the tune of $800 million to be secured from the World Bank for the National Social Safety Net program. A copy of FEC’s extract is attached.

“You may also wish to note that the purpose of the facility is to expand coverage of shock-responsive safety net support among the poor and vulnerable Nigerians. This will assist them in coping with basic needs.

“You may further wish to note that under the conditional cash transfer window of the programme, the federal government of Nigeria will transfer the sum of N8,000 per month to 12 million poor and low income households for a period of six months, with a multiplier effect on about 60 million individuals.

“In order to guarantee the credibility of the process, digital transfers will be made directly to beneficiaries’ accounts and mobile wallets.

“It is expected that the programme, will stimulate economic activities in the informal sector, and improve nutrition, health, education, and human capital development of beneficiaries’ households.

“Given the above, I wish to invite the Senate to kindly grant approval for the additional loan facility of $800 million to be secured from World Bank for the National Social Safety Net Programme.

“While hoping that this submission will receive expeditious consideration by the Senate, please accept the assurances of my highest regards.”