The Senate has rejected President Muhammadu Buhari’s request to borrow $700 million to fund water projects across the country.
Specifically, the Senate Committee on Local and Foreign Debts rejected the President’s loan request to the National Assembly for the Sustainable Urban and Rural Water Supply, Sanitation and Hygiene project under the Ministry of Water Resources.
The Senate’s rejection came barely 24 hours after the Ministry of Health appeared before the committee to seek approval for the loan of $200 million for the procurement of mosquito nets and malaria medicines.
The request, which was discussed on Wednesday, was faulted by members of the panel, who asked officials of the Ministry of Water Resources, led by the Permanent Secretary, Esther Didi Walson-Jack, to furnish the committee with update of loans collected so far for water projects in the ministry.
Senator Clifford Ordia, the Chairman of the committee, mentioned that three different loans had been approved for various water projects.
Ordia said, “$450m to the ministry for water project being financed by the Africa Development Bank and another $6m loan under the Integrated Program for Development also financed by the Africa Development Bank; and the Gurara Water Project. You need to tell us what you are doing with $700m for water projects.”
The committee, therefore, resolved to invite the Minister of Water Resources, Adamu Suleiman, to give full details on the loans and the state of loans collected so far.
Senator Obinna Ogba said he would work against granting approval for the loan because some loans had been collected for water projects which have not been completed.
He said, “For this particular loan, I won’t give my support. Enough is enough.”
Also kicking against the loan, Senator Ibrahim Oloriegbe demanded the criteria for selecting the benefiting states.
He added that details provided by the Permanent Secretary were not enough to justify the loan.
Oloriegbe said, “What are the criteria for selecting the benefiting states? The details you are providing is not enough; what are the projects you want to do with $640m and how many water are you going to do?
“You are giving each state $3m to develop personnel capacity. Do we need loan to do this function? Do you mean all states can’t do that on their own?”
