…To spend N5.189bn on Abuja/Kaduna, Apapa roads

By Johnbosco Agbakwuru

ABUJA—THE Federal Government has applied for N3.8 billion loan from African Development Bank, AfDB, for the production and processing of potato for export.

This is even as the Federal Executive Council, FEC, yesterday, ratified the expenditure of N5.189 billion for the Abuja/Kaduna road and the Apapa/Wharf road, where works were carried out under presidential order without the approval of FEC then, due to the urgency of the projects.

Minister of Finance, Mrs. Kemi Adeosun, who disclosed the Federal Government’s application for loan from the AfDB while addressing State House correspondents after the Federal Executive Council meeting at the Council Chamber, Presidential Villa, Abuja, yesterday, said the loan was at a request by Plateau State government.

She explained that it would be a counterpart funding project where the Plateau State government would provide N595 million, while the Federal Government would take  responsibility of the balance.

red-potatoes

She said the loan would have one percent per annum as interest rate and would be required to be paid back within 25 years, with five years moratorium.

The minister further explained that it was not a new loan, saying it was an existing loan the government took.

N5.189bn for Abuja/Kaduna, Apapa roads

Also briefing State House correspondents, Minister of Power, Works and Housing, Babatunde Fashola, said the money, which was used as palliative, especially when the Abuja airport was closed down for repair, was spent through presidential order.

He said the ratification by the FEC of the money spent on the project, was a result of the memorandum he presented during the meeting.

He said:  “The two memoranda were ratification memoranda of road work that have to be done in emergency circumstances.

“The first was the Abuja/Kaduna highway, which you recall we have to quickly do palliative work in order to support the closure of the Abuja airport runway, which neccesitated diversion of traffic to Kaduna.The second one was the Apapa Wharf Road.”

Again, you recall that there was a recent presidential order for a twenty four hour port and that again put pressure on already deteriorating road. You might recall I also went to hand over that road sometime in June under the Public Private partnership structure between Julius Berger Flower Mills,   NPA and the Ministry of Power, Works and Housing to start construction of that first phase of the road.

“So, Council approved and ratified the works that we had conducted at Abuja/Kaduna highway and also the terms and conditions upon which we handed over the road for Apapa as certified by BPP. “