By Samuel Oyadongha
YENAGOA—BAYELSA State Governor, Timipre Sylva, yesterday, sought the approval of the state House of Assembly to secure a guaranteed loan of N15.4bn from some commercial banks for five agricultural companies and programmes.

This followed a similar request for the assembly’s approval to access the reserve fund of N750million for the completion of some projects in preparation for the planned visit of the President in August.

The governor’s letter to the assembly dated May 12, entitled “Loan Guarantee for Agricultural Companies/Programmes” as contained in the Votes and Proceedings of the House stated that the N15.4billion loan guarantee was being sought following inability of the state government to give the identified companies and programmes the take-off grants as required to enable them to access the N200billion commercial agricultural loan provided by the Central Bank of Nigeria, CBN.

State gov’t’s guarantee

Governor Timipre Sylva said that though the companies had approached commercial banks in the state, the banks demanded state government’s guarantee for such loans.

He said: “It is important to bring to your notice that these companies are viable and repayment would be from their cash flow.”

The governor listed the companies and programmes to benefit from the guarantee loan to include the Agricultural Development Programme (N2.5billion), the Niger Delta Seafoods Company Limited (N4billion), Bayelsa Farms Limited (N3.9billion), Bayelsa Farms Limited (N2billion) and the Creek Foods Supplies Limited (N3billion).

Noting that the companies were to run in line with provisions of the proposed corporate governance legislation as government policies until the later is passed into law, Sylva said: “We want the House’s consideration and approval, taking notice of the fact that corporate governance legislation for each of the companies and programme to guide the operations of the companies would be instituted by the state government.”

The 17 members of the House of Assembly led by the Speaker, after deliberating on the governor’s letter approved the request.

Meantime, the State House of Assembly, yesterday, received the bill for the establishment of the anti-corruption agency in state. The Bill was submitted to the House by the Leader, Hon. Nadu Karibo representing Ogbia I constituency.