Trouble Ahead as Reps Clash Over Tinubu’s $2.2 Billion Fresh Loan Request

• Lawmakers prepare for a heated debate over President Tinubu’s $2.2 billion loan proposal, with the opposition citing Nigeria’s growing debt concerns
• Deputy Spokesperson Philip Agbese defended the proposal, highlighting the administration’s focus on infrastructure and fiscal prudence
• Minority lawmakers demand transparency and question the necessity, while some offer conditional support for impactful and urgent projects only

A heated debate is set to erupt in the House of Representatives as lawmakers prepare to deliberate on President Bola Tinubu’s $2.2 billion (N1.77 trillion) loan request to address the N9.7 trillion deficit in the 2024 budget.

While the Senate has already approved the request, opposition members of the House have raised concerns over Nigeria’s rising debt profile and the necessity of further borrowing.

APC drums support for Tinubu’s loan request

Deputy Spokesperson of the House, Philip Agbese, has expressed confidence in the approval process, emphasizing that the Tinubu administration’s prudent fiscal policies justify the borrowing.

Read also

Nigerian Govt shares benefit of fuel subsidy removal as Dangote slashes petrol price

“The Tinubu-led government has shown a commitment to critical infrastructure development.

“We will approve the loan request without hesitation, following due process,” Agbese stated.

He assured Nigerians that the funds would be used responsibly, adding, “Every penny will be accounted for to ensure it benefits the people.”

Minority caucus questions Tinubu’s 2.2bn loan request

However, opposition lawmakers are calling for caution. Kingsley Chinda, leader of the Minority Caucus, warned against making borrowing the first resort.

“What efforts have been made to raise funds without borrowing? Is this loan absolutely necessary?” Chinda asked, stressing the need for a detailed repayment plan and transparency in fund utilization.

Labour Party lawmaker Afam Oghene also expressed concern, citing Nigeria’s growing debt profile.

“As of June 2024, our total public debt stood at N87.38 trillion. This trend is troubling, and Nigerians deserve clarity on how these funds will be used,” he said.

Read also

“They want to pocket judiciary”: Wike, Tinubu under intense scrutiny for building houses for Judges

Other lawmaker give conditions for approval

Some lawmakers offered conditional support for the loan. Public Accounts Committee Chairman Bamidele Salam emphasized the need for favourable loan terms and clear prioritization of critical infrastructure projects.

“I will support the request only if it meets these conditions. Borrowing should be for urgent and impactful projects, not recurrent expenses,” Salam noted.

Legit.ng notes that as the House gears up for what promises to be a contentious debate, the divide between the ruling party and the opposition signals a clash over fiscal priorities.

Source: Legit.ng