by Laila Ibrahim

The Senate has approved the $1 billion loan requested by President Goodluck Jonathan to tackle insecurity and terrorism in the country.

Some lawmakers had argued that President Jonathan breached the process set down by the Constitution for requesting extra budgetary funds, but the Chairman, Senate Committee on Finance, Senator Ahmed Makarfi, said President Jonathan is in full compliance of the law on this matter.

Despite their pleas, the approval of the loan faced objections from members of the major opposition party, All Progressives Congress, APC, who tried to halt the approval process by voting against it, but their efforts were futile.

Senate Minority Leader, George Akume, Senators Olubunmi Adetunmbi and Babafemi Ojudu vehemently kicked against the approval of the loan, but members of the ruling Peoples Democratic Party, who were in the majority, voted in support, hence the request was approved.

Senator Magaret, who is of the PDP, stated the loan request would not be in cash, rather, in form of military hardware, which will be paid for, over seven years. He also said that interest terms rate could not be indicated because it was the suppliers of the military hardware that would negotiate such agreement.

He said, “Also, the request is for a ceiling of $1bn and not that, at the moment, the whole amount would be utilised. Government will procure on the terms stated, based on needs assessment of our security agencies.”

Makarfi, alongside Senate President, David Mark and Deputy Senate president, Ike Ekweremadu, implored the house to refrain from debating the report, citing security implications.

President Jonathan had written a letter asking the Senate in July to approve a $1 billion (about N165 billion) loan for the fight against Boko Haram.

The President said he needed the cash to upgrade military equipment and for training as well as logistics for the Armed Forces.

This extra money is in addition to N968.127 billion voted for defence in the 2014 budget by the Federal Government.

YEditor