FG APPROVES N40b WORLD BANK LOAN FOR LAGOS

FG APPROVES N40b WORLD BANK LOAN FOR LAGOS

The Federal Executive Council (FEC) on Wednesday approved two world loan to Lagos state, which is a total N40b ($242.3m) for infrastructure development in the state. The Minister of information, Labaran Maku brief the House. First loan $200m from the International Development Association, support the Second Lagos State Development Policy Operation. The second loan of $42.3m is additional financing for the Lagos-Epe Secondary Education Project.
The approved given was sequel to a memo presented by the Minister of Finance and Coordinating Minister for the Economy, Dr. Ngozi Okonjo- Iweala.
Maku said federal government is only serving as a warrantor for the Lagos state government in the negotiation of the loans with the world bank. He move on and explained that the loan comprises of 0.5% commitment charge, 0.75% interest per annum on the loans.
The loans are to be repaid back in 25 years, with a provision for five years moratorium.

For more information, contact us.