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Why Buhari govt is seeking more loans from Europe – Amaechi

 

Minister of Transport, Rotimi Amaechi, has explained why the Federal Government of Nigeria is seeking more loans from European banks to complete its railway infrastructures before the expiration of the current political dispensation.

 

Amaechi, while fielding questions from State House Correspondents, after the weekly Federal Executive Council meeting, regarding recent claims that Nigeria was no longer getting loans from China for its rail project, prompting the Nigerian government to turn its attention to Europe, explained that delays from Chinese necessitated the move.

 

Although the Minister failed to give details of the loans being sought from the European banks, he, however, said that of Kano-Maradi has received a favourable response from one of the banks, while that of Port Harcourt-Maiduguri is also looking positive.

 

His words, “It was during a press interview that I made that comment, and I said currently, we are actually waiting for the Chinese to give us the loan we applied for and they kept delaying us and for Christ sake, should we wait for them forever? The answer is no.

 

“So, we have gone to Standard Chartered Bank, which has approved our request. They have not done financial closure but have approved some level of fundings for the Kano-Maradi rail project. We are also pursuing Port Harcourt-Maiduguri with Standard Chartered Bank, these two essentially. The Lagos-Kano part of it will come from a top financial bank or some banks in China.”

 

Asked how much is being expected in total, the minister said, “I don’t have that figure here, I have to go back to the office.”

 

Recall that Amaechi has been under attack on social media after his comment that the Chinese were no longer interested in granting Nigeria loans for its railway projects.


Recall that the National Assembly and the federal government were pitched against each other, owing to the rising debt profile as a result of borrowings from the Chinese government to facilitate the rail projects.


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