The Senate yesterday Wednesday, November 18, approved a World Bank loan of $200 million (N40bn) for the Lagos State government.
According to reports by THEWILL, this followed the adoption of the report of the Senate Ad-hoc Committee on Local and Foreign Debts.
This is the last tranche of $600 million approved by the World Bank in 2010, to be disbursed in three tranches of $200 million each. The National Assembly in the 2010 and 2012-2014 borrowing plans approved the first and second tranches respectively.
Presenting the report on the floor of the Senate, Kabiru Gaya, chairman of the Committee, revealed that the third tranche facility had been captured in the 2015-2017 Medium Term Expenditure Framework (MTEF).
He said the key objective of the Development Policy Operation (DPO) facility from the World Bank was to support Lagos State to build systems and institutions to improve the quality of spending and strengthen investment climate, while maintaining fiscal sustainability.
He listed projects visited by the Committee, which the first and second tranches were spent on to include: Ikoyi Link Cable Bridge; Cardiac and Renal Centres at Gbagada General Hospital (LASUTH); network of roads in Apapa (Marina Road, Apapa GRA, Gaskiya Collage Road/Sari-Iganmu and Alaba and Orile-Iganmu Bust-stops); 27km light rail along the Lagos Badagry Expressway corridor to Marina.
Gaya noted that the third tranche would be used on projects like the Ultra-Modern Burns Centre, Cardiac and Renal Centre, Gbagada General Hospital; 27km light rail along Badagry Expressway corridor to Marina as well as 70 million gallon per day Adiyan water facility, among others.
The projects, he said, will enhance economic growth, employment generation and increased revenue generation capacity of the state.
Senate president, Bukola Saraki, who presided over the session, called for judicious use of the credit facilities.
