President Bola Tinubu’s proposal for a $516,333,007 foreign loan to build portions of the Sokoto-Badagry expressway has been approved by the House of Representatives.
The clearance was granted in Abuja at the plenary session on Tuesday.
Abdullahi Rasheed, the deputy chairman of the committee on loans, aid, and debt management, presented a report that led to the decision. Before the request was presented to lawmakers for consideration, it was examined by the committee.
The financing is intended to help develop important portions of the Sokoto-Badagry road project, one of the federal government’s main highway ambitions. Following discussion during the session, lawmakers supported the request.
President Bola Tinubu’s request for Senate approval of a new $516 million external loan has drawn criticism from former vice president Atiku Abubakar, who warned against what he called reckless borrowing.
According to Naija News, Tinubu wrote to the Senate requesting permission to obtain a $516.3 million syndicated loan from Deutsche Bank AG.
The Sokoto-Badagry Superhighway project will be financed by the loan, which is supported by a partial risk guarantee by the Islamic Corporation for the Insurance of Investment and Export Credit.
According to the President, the Federal Government will also contribute more than ₦265.5 billion in counterpart funds for land acquisition, compensation, and associated infrastructure.
Tinubu claims that the 1,000-kilometer highway will provide a significant economic corridor from Illela to Badagry by connecting the states of Sokoto, Kebbi, Niger, Kwara, Oyo, Ogun, and Lagos.
