Lagos state govt,Mr. Babatunde Fashola (SAN) yesterday called on the House of Representatives to intervene on issue of loan
from world bank.That d fed govt is frustrating a $600 million loan from the World Bank.

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Fashola Tackles FG over $600m World Bank Loan

Lagos State Governor, Mr Babatunde Fashola, Tuesday approached the House of Representatives Committee on Loans, Aids and Debts, seeking an intervention in an alleged attempt by the Federal Government to halt a $600m loan facility the state had with the World Bank.

Fashola who met with members of the House Committee on Loans, Aids and Debts, told the lawmakers that it was improper to halt a running loan facility, particularly when the loan had been factored into the 2013 budget proposal of the state.

In a petition presented to the House Committee Tuesday, the governor said the loan was procured on the understanding that Lagos State would access $200 million in three tranches over a period of three years, spanning from 2012 to 2014.

He however expressed surprise that after the state had accessed the first tranche, there were indications that the Federal government was no longer prepared to guarantee the loan.

Fashola, who stormed the National Assembly with his retinue of aides, was also joined in the protest by several members of the House of Representatives elected on the platform of the Action Congress of Nigeria (ACN) at the meeting.

According to Fashola, the sudden refusal to guarantee the loan could frustrate the plans of state to deploy the borrowed funds to boost its infrastructure development plans.

“We have a commitment with the World Bank for a loan of $600 million offered to Lagos. It is supposed to be in three tranches and the first tranche was paid in 2011. We were expecting the payment of the second tranche when we got the shocking information that the loan facility had been stopped.

“As I speak, we have not received any official communication from the Federal Ministry of Finance about their concerns. I know that through the telephone communication I had with the Minister of Finance, she had told me that she could not accommodate Lagos State in the 2013 borrowing plan. My plea is for the second tranche to be included in the 2013 borrowing plan and the third included in the 2014 borrowing plans,” he said.

In the course of the meeting with the House Committee, some lawmakers suggested that the action of the government may have been informed by the general fears that states were bad debtors and Lagos may have problems liquidating the loans. But Fashola dismissed such fears an unfounded and cited the case of his predecessor who took a loan facility and the state paid back fully

http://www.thisdaylive.com/articles/fashola-tackles-fg-over-600m-world-bank-loan/131928/

hiss

Bad belle politics.

Same way the shortsighted losers stooped our first metro rail attempt in the 70s/80s. They can only obstruct, but they can not stop the wheel of progress.

I hope this won't affect the Blue Line Project.

Goodluck and his politics of bitterness. Imagine this when he himself that is not performing is taking new loans trying to stop a performing governor. Ogun lakaye o, olo minile fi eje we, oya fi Eje gbogbo awon to ba fe je idawo fun Fashola we . Ase waaa

seanet01: Goodluck and his politics of bitterness. Imagine this when he himself that is not performing is taking new loans trying to stop a performing governor. Ogun lakaye o, olo minile fi eje we, oya fi Eje gbogbo awon to ba fe je idawo fun Fashola we . Ase waaa

Lol...iwo omokunrin yi o ni pa mi lori site yi.

Why is Lagos State trying to enslave the unborn generation. With unaccounted N23 Billion monthly IGR, what does Lagos State need another $600M for, and why must the Federal Government be the guarantor?

No more free loans on the back of FG as guarantor. Go to the capital market and present your case for a loan. FG has learned the hard way and even now this is why they are struggling with fuel importers.

Eko oni banje o....go and look for investors with ACN and Tinubu as guarantor. You want FG support but also want to kick out Nigerians from your state. Free lunch no more!

Desola:

Lol...iwo omokunrin yi o ni pa mi lori site yi.

Abi ori definition Abosi from Goodluck? Pala pala ma po Ni Nigeria o.

PointB: Why is Lagos State trying to enslave the unborn generation. With unaccounted 23 Billion monthly IGR, what does Lagos State need another $600 for, and why must the Federal Government be the guarantor?

because your family and that of those in abuja are in lagos. Lagos caters for you and the whole of Nigeria, that's why.

seanet01: Abi ori definition Abosi from Goodluck? Pala pala ma po Ni Nigeria o.

Oro won o jo mi loju, but mo like development yi. Maybe now, aa wake up lati mo wipe umbilical cord kan kan o so wa po. Kolori so ori e ni.

PointB: Why is Lagos State trying to enslave the unborn generation. With unaccounted 23 Billion monthly IGR, what does Lagos State need another $600 for, and why must the Federal Government be the guarantor?

Na Hypocrisy go kill you. In this same country we have states like Akwa ibom, Rivers, Cross Rivers going for loans from The World Bank without any Hinderance from PDP led Federal government, but you ibos will always reason against intelligence, your bigoted brain will not allow you to reason beyond your sight.

Tusky44: No more free loans on the back of FG as guarantor. Go to the capital market and present your case for a loan. FG has learned the hard way and even now this is why they are struggling with fuel importers.

Eko oni banje o....go and look for investors with ACN and Tinubu as guarantor. You want FG support but also want to kick out Nigerians from your state. Free lunch no more!

You should also go and look for a map and find your route back to your backward village. If your papa, the federal government cannot give you allowance to sustain you in Lagos, then you and all your forking ibhoe brothers can head back to your godforsaken huts and make your governors provide the infrastructures you cry of.

Awon aleje se eranko lasan ikeji aja!

seanet01: Na Hypocrisy go kill you. In this same country we have states like Akwa ibom, Rivers, Cross Rivers going for loans from The World Bank without any Hinderance from PDP led Federal government, but you ibos will always reason against intelligence, your bigoted brain will not allow you to reason beyond your sight.

Yet they would be the first to say that Lagos state government is not providing infrastructures to make their forking lives easier as if Fashola go beg them from their huts to come Lagos.

Desola:

because your family and that of those in abuja are in lagos. Lagos caters for you and the whole of Nigeria, that's why.

Yes maybe Tinubu will stop sleeping on Duty. He is trying but he need to rally the South West region towards true real integration not newspaper integration. What FG is trying to do is totally absurd. This is the extreme of political bitterness. Being a clog in the wheels of Real Development just to score cheap political points. Anyway gej will fail. Trust me

Desola:

because your family and that of those in abuja are in lagos. Lagos caters for you and the whole of Nigeria, that's why.

That's not true. Lagos cater's for no one. Not even road is free in Lagos. Everyone pays for whatever goods and services he/she receives in Lagos. At any rate, privatization is the way to go now. What does the Lagos State Government need $600 m (conservatively put at 93 billion Naira) for? DO you have an idea?

Why should FG guarantee bogus loan?

seanet01: Yes maybe Tinubu will stop sleeping on Duty. He is trying but he need to rally the South West region towards true real integration not newspaper integration. What FG is trying to do is totally absurd. This is the extreme of political bitterness. Being a clog in the wheels of Real Development just to score cheap political points. Anyway gej will fail. Trust me

Now, that up there is the real koko of the matter. Fashola's good performance is showing up the federal government as inept and if they leave him to have free rein in Lagos, the embarrasment would be too much to bear for Gej and Ngozi. Somehow, I am not so opposed to this new development because it would make us(Yorubas) wake up to the realities of Nigeria and its lack of viability. It is a push in a sense, that we now have to be forced to look inwardly and garner our own resources for sustainability. Tinubu proved to Obasanjo that we can do it, so should Fashola. Maybe when we take on the reins ourselves, can we say to those who keep calling our land a 'no man's land' that they either put up with our ways of doing things or they push off!

Lagos, Kaduna, C’River, Ogun, Oyo top foreign debtors’ list
August 4, 2012 by Niyi Odebode, Sesan Olufowobi, Tunde Odesola, Segun Olatunji, Mudiaga Affe, Ifeanyi Onuba, Mike Odiegwu, Kunle Falayi and Etim Ekpimah
Governor Babatunde Fashola

Governor Babatunde Fashola
| credits:

Lagos, Kaduna, Cross River, Ogun and Oyo occupied the top position on the list of external debts incurred by state governments as of June 30, 2012.

According to states and Federal Government’s external debt stock obtained by SATURDAY PUNCH from the Debt Management Office, Borno, Delta, Plateau, Taraba and Anambra states had the lowest external debts.

Lagos topped the list of external debtors with $517,677,672 as of June 30, 2012.

The foreign debt increased by 5.25 per cent from $491,847.295 in December, 2011.

However, while other four states depend on federal allocations, Lagos generates a huge internal revenue, which was about N23bn monthly in the first quarter of the year.

Next to Lagos is Kaduna with $197,155.525 foreign debt as against $182,261,250 in December 2011.

Cross River has $109,351,503 external debt. As of December, the state’s external debt was $107,532,721.

Ogun State is the fourth most indebted state with $96,285.547 as of June 30, 2012. Its external debt increased by 1.8 per cent from $94,575,129.

Oyo’s external debt (the fifth) was $78,878,401 as of June 30, 2012, as against $78,085,379 in December 2011.

SATURDAY PUNCH investigations showed that the present administrations in Ogun and Oyo inherited the foreign debts from their predecessors.

States, whose external debts are low, include Borno ($12,726,028); Delta ($15,785,110); Plateau ($20,190,627); Taraba ($20,681,527) and Anambra ($25,370,842).

At the zonal level, South-West leads the external debtors with $840,913,596, followed by the North-West, $473,305,365; South-South, $289,952,619; North-Central, $189,192,241 and North-East, $186,303, 921.

Checks at the Federal Ministry of Finance indicated that Lagos got N9.34bn as federal allocation in June; while Kaduna received N4.71bn; Ogun, N3.67bn; Cross River, N3.93bn; and Oyo, N4.40bn.

The federal allocations in June for the least indebted states were: Borno, N4.39bn; Delta, N14.22bn; Taraba, N3.64bn and Anambra, N3.80bn.

Most states, except Lagos, which rakes in an average of N23bn monthly as internally generated revenue, rely on federal allocations.

Lagos State Governor, Babatunde Fashola, had at the annual public lecture of the Institute of Chartered Accountants of Nigeria, in Lagos in June, stated that the state’s monthly IGR was N23bn.

Fashola, who was represented by Lateef Abari, Permanent Secretary, Public Service Office, IGR of the state, said the amount rose from a paltry N600m monthly in 1999 to its current N23bn.

External debts of other states, apart from the 10 mentioned above are: Abia, $32,675,171; Adamawa, $29,183,118; Akwa Ibom, $61,198,851; Bauchi, $63,029,387; Bayelsa, $27,897,951; Benue, $26,501,393 and Ebonyi $41,060,946.

Edo State’s foreign debt is $41,408,440; Ekiti, $34,071,754; Enugu, $47, 788,769; Gombe, $29,572,867; Imo, $50,573,894; Jigawa, $28,720,760; Kano, $59,400,227; Katsina, $74,147,092 and Kebbi, $47,132,689.

Kogi State is owing $33,976,282; Kwara, $43,798,143; Nasarawa, $36, 547,616; Niger, $28,178,180; Ondo, $52,255,534; Osun, $61,744,688; Rivers, $34,301,764; and Sokoto, $40,419,413.

Others are Yobe State, $31,111,004; Zamfara, $26,329,259 and the Federal Capital Territory, $37,671,245.

When contacted, most state governments declined to give their domestic debts, which, SATURDAY PUNCH gathered, were on the high side.

Some, however, explained their external debts, while others said that there was no cause for alarm over their high indebtedness.

In Lagos, the Commissioner for Finance, Mr. Adetokunbo Abiru, said the state was credit worthy.

He said, “Our financial environment combines credit worthiness with probity, accountability and transparency in all facets of our financial transaction.”

On Wednesday and Thursday, the Ogun State Finance Commissioner, Mrs. Kemi Adeosun, did not pick calls put to her phone. She also did not reply text messages sent to her.

But two weeks ago, she had told our correspondent that the financial position of the state would be made public through newspaper publications.

The Oyo State Government said it had not borrowed any fund since the inception of the current administration.

The state Commissioner for Finance, Mr. Zachaeus Adelabu, said that any recorded external debt might have been incurred by the previous administration.

Adelabu said, “Possibly the debt was incurred during the last administration, I cannot say for sure. But what I can tell you is that this administration has not borrowed anything.”

The Special Adviser to the Cross River State Governor on Debt Management, Mrs. Francisca Effiom, declined comments on the state’s debt profile.

It was, however, gathered that the state’s domestic debt was about N80bn.

It was learnt that about N23bn of the debt was incurred during the construction of the Tinapa Business and Leisure Resort under the administration of former Governor Donald Duke.

In Akwa Ibom State, SATURDAY PUNCH gathered that the state government had obtained N50bn loan from the capital market.

The Speaker of the state House of Assembly, Mr. Samuel Ikon, said the loan was approved following an explanation by the Commissioner for Finance, Mr. Bassey Albert, that it would be spent with probity.

He noted that provision was made in the budget for a loan of N65bn, but the executive asked for N50bn, which was approved.

In Rivers, though the state Commissioner for Finance, Peterside Chamberlain, could not say how much the state owed banks, he explained that the current administration had borrowed N30bn in October 2010, an amount that was paid off in September 2011.

Peterside added that another loan of N20bn was accessed in July 2011.

He said the loans were taken from Guaranty Trust Bank and Zenith Bank and noted that a substantial part of the loan from Zenith Bank had already been paid back.

The commissioner pointed out that the funds were used to finance the state’s ongoing electricity project, which would be completed by December 2012.

The Ekiti State Government had obtained a N20bn bond from the Capital Market.

But the Commissioner for Information in the state, Mr. Funminiyi Afuye, said the state government was not under any debt burden.

Afuye said, “As far as we know, Ekiti State is not suffering from any debt burden and this can be checked from the DMO where the debt profiles of all states and the Federal Government can be verified.”

In Osun State, the Commissioner for Information and Strategy, Chief Sunday Akere, said the state had a N25bn internal debt.

Akere said N18.5bn of the N25bn was owed by the ousted administration of Olagunsoye Oyinlola.

He said, “In the twilight of the Oyinlola government in 2010, the administration secured an N18.5bn loan from United Bank for Africa. A major chunk of the loan was to go into the construction of six world class stadiums.”

Akere said the state government, under Oyinlola, was paying a monthly interest of N615m on the N18.5bn, adding that after refinancing the loan, the “(Rauf) Aregbesola administration now pays a monthly interest of less than N100m.”

Efforts by SATURDAY PUNCH to reach the Bayelsa State Commissioner for Finance, Mr. Duate Iyadi, proved abortive as his telephone was switched off.

But Governor Seriake Dickson had on assumption of office, said he inherited liabilities of N207bn from the former Governor Timipre Sylva administration.

However, in March 2012 during his appearance before the Senate joint committee on National Planning, Finance, Appropriation and States and Local Government, the Chairman of the Revenue Mobilisation Allocation and Fiscal Commission, Mr. Elias Mbam, stated that the state’s external debt stood at $107.532m.


http://www.punchng.com/news/lagos-kaduna-criver-ogun-oyo-top-foreign-debtors-list/

Desola:

Now, that up there is the real koko of the matter. Fashola's good performance is showing up the federal government as inept and if they leave him to have free rein in Lagos, the embarrasment would be too much to bear for Gej and Ngozi. Somehow, I am not so opposed to this new development because it would make us(Yorubas) wake up to the realities of Nigeria and its lack of viability. It is a push in a sense, that we now have to be forced to look inwardly and garner our own resources for sustainability. Tinubu proved to Obasanjo that we can do it, so should Fashola. Maybe when we take on the reins ourselves, can we say to those who keep calling our land a 'no man's land' that they either put up with our ways of doing things or they push off!

We need to drop this Political integration before Economic integration scale of preference list. It should be the reverse. I am totally angry at Tinubu i swear.
It is not Gej's fault, it is because we are not being realistic with the future of Nigeria.

I surpport restoring the loan back, so every state can enjoy it

PointB:

That's not true. Lagos cater's for no one. Not even road is free in Lagos. Everyone pays for whatever goods and services he/she receives in Lagos. At any rate, privatization is the way to go now. What does the Lagos State Government need $600 m (conservatively put at 93 billion Naira) for? DO you have an idea?

Why should FG guarantee bogus loan?

You disingenuous fellow. I know you only too well and didn't expect anything less from your fallacious mind. You embody all that is untruth and nepotism. You are like a daylight robber; you lie bold faced with impunity. It is in your dna, being ibhoe, I suppose.

How do you pay for the roads in Lagos? Do you pay to walk on the pavements, do you pay road tax to drive on the roads? Do you even pay social security to use the general hospitals?

Asinwin, if Lagos is not free, why do you and your people choose to come here in droves? What, don't tell me, it's because you want to assist us in developing our lands out of the abundant goodness of your heart or to liberate us just like your baboon father ojuiku attempted to free us from the shackles of Nigeria?

And how do you know that this is a bogus claim? Oloshi, enemy of progress. That is why you would only have to venture into our lands to make anything of your lives. You would continue to hate us but not be able to do without us because we are your lifeline!

Olooribu, oo ni kuu re! Akoyoyo lo ma kan e lese! Omolanke lo ma kan e lorun!

You guys can keep on whining as usual.

But the fact remains that Lagos State debt profile in the midst of huge IGR is bordering on the ridiculous. Those mandated to do something about it have decided to listen to the voice of Nigerians who will bear this burden, and have decided to ACT.

The FG cannot guarantee the rising debt, with little to nothing on the ground to justify it. Lagos State can get other guarantor, or hit the capital market. All this whining is unnecessary.

Parties decry Lagos external debt profile
Thursday, 09 August 2012 00:00 By Bertram Nwannekanma News - National
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POLITICAL parties, under the auspices of the Lagos League of Political Parties (LLPP), yesterday expressed shock over a recent report in a national daily, which listed Lagos as one of the highly indebted states in the country.

In the report purportedly released by the Debt Management Office, Lagos State government was said to have, as at June 30, 2012, accumulated an external debt profile of $517,677,672 (more than half a billion dollars), despite having a monthly revenue of about N33 billion.

The parties, in a statement by the chairman, Udoka Udeogaranya, decried the debt prolife and urged all financial clearing houses to do everything possible “to checkmate these embarrassing loans.”

They also urged the Lagos State government to commence setting off these debts and have them repaid before December 2014.

According to LLPP, even with such a huge monthly revenue accruing to the state, the debt is strangely increasing by the year and the government seems at liberty borrowing as if these debts will once again enjoy forgiveness or grow wings and fly away.

“With several projects in the state as public/private investment that will be user charged, one begins to wonder the honest utilisation of these huge funds,” the statement reads.

http://www.ngrguardiannews.com/index.php?option=com_content&view=article&id=94992:parties-decry-lagos-external-debt-profile&catid=1:national&Itemid=559

And by the way, we will keep trooping down to Lagos state in droves (for sundry reasons) as long as the state remain part of Nigeria. And there is nothing anybody can do about it.

Pathetic clowns.

PointB: And by the way, we will keep trooping down to Lagos state in droves (for sundry reasons) as long as the state remain part of Nigeria. And there is nothing anybody can do about it.

Pathetic clowns.

Olooribu, i've told you before that we don't mind you trooping in. We need your best brains and those of you who can start up viable businesses that would generate taxable income for our state. The not so desirable ones would be systematically sent back as we have sampled with the last batch of deportees to your erosion ravaged neighbourhoods. In fact, we are checkmating you by making mandatory, a requirement for residence cards to ensure that you don't come and eat, shit in our land and come census period; run back to your backward villages to be counted so as to generate more money for your governors who only seat pretty at the top without having to use their allowance from daddy Nigeria on you lot because you are ghost citizens who actually reside in Lagos. Ensuring you are counted means that we know where you are; what you are doing and it enables us to get the accurate allocation from daddy Nigeria. It is unfair at the moment that census records shows 18million Nigerians residing in Lagos when in actual fact, it could be well over 20million. We get allocation based on the 80mill figure but have to cater for over 20mill, now that is a huge descrapancy!

Come one, come all but you will be made to live according to our rules and we will make certain to frustrate you that only those who can yield would be able to stay. No more free for all.

Desola:

Olooribu, i've told you before that we don't mind you trooping in. We need your best brains and those of you who can start up viable businesses that would generate taxable income for our state. The not so desirable ones would be systematically sent back as we have sampled with the last batch of deportees to your erosion ravaged neighbourhoods. In fact, we are checkmating you by making mandatory, a requirement for residence cards to ensure that you don't come and eat, shit in our land and come census period; run back to your backward villages to be counted so as to generate more money for your governors who only seat pretty at the top without having to use their allowance from daddy Nigeria on you lot because you are ghost citizens who actually reside in Lagos. Ensuring you are counted means that we know where you are; what you are doing and it enables us to get the accurate allocation from daddy Nigeria. It is unfair at the moment that census records shows 18million Nigerians residing in Lagos when in actual fact, it could be well over 20million. We get allocation based on the 80mill figure but have to cater for over 20mill, now that is a huge descrapancy!

Come one, come all but you will be made to live according to our rules and we will make certain to frustrate you that only those who can yield would be able to stay. No more free for all.

These guys really don't know what 'plans' we have for them do they?

For the avoidance of doubt, this thread is about FG refusing to stand as guarantor for Lagos State bogus loan.
Of course, ant are permitted to rant and rave, while those who 'do' continue to 'do.'

Lagos state should simply approach the capital market. If the loans are for profitable ventures, investors would like to see the fine prints before parting with their money. The days of free money is gone.

Some myopic people who can't even justify the loan request are prancing around vomiting bile, and thinking they make sense.

PointB: For the avoidance of doubt, this thread is about FG refusing to stand as guarantor for Lagos State bogus loan.
Of course, ant are permitted to rant and rave, while those who 'do' continue to 'do.'

Lagos state should simply approach the capital market. If the loans are for profitable ventures, investors would like to see the fine prints before parting with their money. The days of free money is gone.

Some myopic people who can't even justify the loan request are prancing around vomiting bile, and thinking they make sense.

You are ibo, nothing is expected to make sense to you because you lack the capacity to deduce that which is sensible!

Arrant fo.ol! You exhibited your senselessness when you posited that Lagos state's loan request was a bogus one even when you are not privy to the facts! You are the foo.l spewing bile here, you and you alone!