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Senate frowns at misappropriation of World Bank loans by some states

Senate has frowned at the misappropriation of World Bank loans by some state governors across the federation.

Speaking after the leadership of the Senate met with the World Bank team behind closed doors, Senate leader, Ahmed Lawan explained that though the Upper Chamber played limited role in granting loans, it had monitoring responsibilities.

“At the Senate, we kick against non utilization, accountability and misappropriation of foreign loans by the State Governors.

“Though we participate in a limited way in granting states loans from international agencies, including the world Bank, but our supervisory role is not in doubt.

“It is the duty of the state legislators to oversee such funds and their utilization; the National Assembly only give honest advice.

“We met with the World Bank on the best approach to granting loans to state governments and to ensure that there is fiscal discipline and success in utilization of such funds,” he said

He further explained that it was the Federal government that guarantee certain loans to States, while the National Assembly scrutinises the programmes and projects.

Lawan said, the Senate leadership has suggested to world Bank to ensure some State Assembly Committees were supported to enable them do their work.

“Some of the suggestions are very simple and clear but there some important suggestions like ensuring that some committees at the state legislature like appropriations committee, public accounts committee and finance are given some kind of support by the World Bank to ensure that they have the capacity to scrutinize and oversight the utilization of such funds”


He added that State Auditors-General and Commissioners for Finance should be positioned to report deeply on those projects at each State level.
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