Adamawa State House of Assembly has approved Governor Ahmadu Fintiri’srequest of N17bn loan for the execution of projects in the state.
Fintiri had sought ADHA’s approval to obtain the loan from two commercial banks for execution of projects across the 21 councils of the Nigerian state.
The request was contained in two separate letters and read at plenary presided over by the Speaker, Aminu Abbas.
According to the letters, the state government will obtain N15bn from Fidelity Bank to pay back within 48 months at 13 per cent interest rate and 0.5 per cent management fee. Another N2bn would be sought from Access Bank at 10-month tenure and 4.5 per cent interest rate up to February 2021 and nine per cent interest rate from March 1, 2021.
“The Central Bank of Nigeria extended the N2bn loan facility to the 36 states of the federation to fight COVID-19,” he stated.
The letters promptly referred to the standing committee on finance, budget and appropriation headed by Kate Raymond Mamuno for consideration.