Emmanuel Awari-Jalingo
The Taraba State House of Assembly has approved the sum of N206,776,000,000, sent to the House of Assembly by governor Agbu Kefas in a Plenary Session.
This is contained in a letter addressed to The Speaker of the Taraba State House of Assembly dated 02/07/2023.
The letter read in parts,
“It is one of the cardinal points of my administration is to entrench good governance and improve the livelihood of our people.
“Accordingly, my administration is desirous of providing massive infrastructural development across the State as well as payment of outstanding gratituities to the Retirees of our dear State.
He noted that, despite the above beautiful desires of his administration for the State, the state is faced with the challenge of financial constraint affecting the State against meeting up with his administration’s Strategic Five Finger Development Agenda.
“Comsequently, Honourahle Members, Executive Council resolved to accept loan facilities to the total tune of Two Hundred and Six Billion, Seven Hundred and Seventy-Six Million naira (N206,776,000,000) naira only from the following four (4) financial institutions as follows:
Zenith Bank Plc N83.3 Billon, UBA Pic N50 Billion, Fidelity Bank Plc N50 Billion and Key Stone Bank Plc N23.476Billion.
“The Security of the facility from Zenith Bank Plc shall be deductions from FAAC, Security for the facility from UBA Plc shall be deductions from JAAC, while Security for the facility from Fidelity Bank shall be deductions from VAT and the Security for the facility from Key Stone Bank shall be deductions from IGR.
“The interest rate for the facilities shall be 18% with administrative charges at 5% deductible offront, the tenor of the facilities is four (4) years.
“Other conditions of the facilities shall be forwarded to the Honourable House by the Ministry of Finance, Budget and Economic Planning.
“Mr. Speaker, Honourable Members, for the avoidance of doubt, the above listed facilities if secured by the State Government, the funds shall be channeled to develop the following critical sectors of the State, viz
Education – N50 Billion, Agriculture – N30 Billion, Health – N30 Billion, Security – N30 Billion, Infrastructural Development – 40 Billion, Micro Finance Bank – N5 Billion, House of Assembly -N5 Billion, Judiciary – N5 Billion, Women Affairs – N2 Billion, Digital Economy -N2 Billion, Waste Management – N2 Billion while other sectors takes N5.476 Billion.
“Honourable Members, I therefore on the basis of the foregoing, invite the Honourable Members to grant approval to enable the State Government access the above facilities in the best interest of the citizenry.
“I therefore on the basis of the forgoing, invite the Honourable Members to grant approval to enable the state government access the above facilities in the best interest of our citizenry – the letter concluded.
According to the letter, the security of the facility from Zenith Bank PLC shall be deducted from Federation Account Allocation Committee FAAC, Security for the facility from UBA PLC, shall be deducted from Joint Allocation Account Committee JAAC while Security for the facility from Fidelity Bank Plc, shall be deducted from Valid Added Tax VAT and the security for the facility from Key stone Bank, shall be deducted from Internally generated revenue IGR.
It further stated that the interest rate for the facility shall be Eighteen Percent with administrative charges at Five Percent deducted offront for the tennure of 4 years, adding that other conditions of the facilities shall be forwarded to the house by the Ministry of Fiance, Budget and Economic Planning.
In his remarks, the Speaker, Taraba State House of Assembly, Rt. Hon. John Kizito Bonzena, appreciated his colleagues for their commitment to the welfare of the citizens.
“I want to sincerely thank and appreciate you for your commitment. With this, we have passed this bill into law. The Clerk should produce a clean copy for onward forwarding to the Executive.
“Take me by words, I assured Tarabans that the bill will see the light of the day. Governor Agbu Kefas is very passionate of turning the state, so we have not wasted time in passing the bill.
“The loan is for 4 years, this is not too much that Taraba State cannot carry, despite it’s huge debts. The constitution of the Federal Republic of Nigeria, allows states to collect loans for projects and development of their states.
On his part, the Member representing Mbamngha state constituency, Rt. Hon. Abel Peter Dish, pointed out that the suplimentary Budget captured important aspects such as, Mock examinations, Impress for Principals and Head Teachers and Training of Teachers.
“This will give parents a big rest thereby relieving them from hardship. They will use the money mean for school fees and Mock examinations, to feed their families. This is a good initiative and promise fulfill by the Governor of Taraba State.
While on his part, Member representing Karim Lamido 1 State constituency, Hon. Mike Dio Jen, said that the bill captured Security, which according to him, is very paramount to the citizens.