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Fashola slams Obasanjo over $12bn loan

 


Minister of Works and Housing, Babatunde Fashola, has blamed former President, Olusegun Obasanjo, for being partly responsible for the weak infrastructural base in Nigeria.

 

Fashola, speaking on Channels Television, claimed Obasanjo should have invested in capital projects across the country, instead of paying off external debts.

 

According to the Minister, if he had the $12 billion like the Olusegun Obasanjo government in 2005, he would have built rails and more roads.

 

In 2005/2006, the Paris Club wrote off $18 billion of the $30 billion Nigeria owed the cartel after months of negotiations.

 

Fashola said that rather than deploy the funds prudently, the Obasanjo government decided to pay the country’s creditors to the detriment of the country.

 

According to him, that is why Nigeria has gone to borrowing.

 

“At one time in this country, in 2005, we had $12 billion. At that time, these roads were bad. At that time there was no rail. But what did we do as a matter of state policy, it was just to pay creditors to our own detriment.

 

“I can only imagine if I had the opportunity then with $12 billion in my hand, we would have built rails and roads. What this government is dealing with, which I am responsible for, is the infrastructure that will be enduring,” Fashola said.

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