S’East Senators’ protest may delay Buhari’s $5.8bn loan request

President Muhammadu Buhari’s $5.851 billion China Exim Bank loan request, submitted to the Senate on the 26th of April, 2017, may be delayed, following protests by South-East Senators, over the alleged exclusion of their geopolitical zone from the rail modernization project nationwide.

The uncertainty surrounding the loan request, is coming on the heels of a protest by South-East Senate Caucus, over what they described as the complete exclusion of their geopolitical zone from the nationwide railway modernization project.

According to a motion tagged, “Outright Omission of Eastern Corridor Rail Line in the request for approval of Federal Government 2016-2015 External Borrowing (Rolling Plan)”, sponsored by Senator Enyinnaya Abaribe and other members of South-East Caucus, the exclusion is “inexplicable.”

President of the Senate, Bukola Saraki, who presided over the day’s legislative business, assured the protesting lawmakers that the leadership of the Senate, had already taken a position on the non-inclusion of some parts of the country in the proposed modernization.

He said the Senate committee on Local and Foreign Debts, headed by Senator Shehu Sani, were already working on the loan request.

Saraki added that if the interest of every section of the country is not accommodated, the Senate will insist on an “all inclusive project.”

“We must give information at the leadership level and we are taking up this matter with the executive and that was what led to the amendment of the letter that came from the President. The first letter that came from the President did not specify that of the South-East and North-East axis must also be standard gauge.

“In the letter that came from the President, we insisted at the leadership level that every part of the country must benefit and that there must be a standard gauge and that has been done.

“The second thing is that, we have referred it to the committee on Foreign and Local Debts. On Monday, the Minister was before them. I think the point we just need to make here is to ensure that the spirit of the President’s letter is followed through and I think that is what the emphasis is.

“I think we need to restrict it to that. There should be standard gauges everywhere. In processing the loan, we must see sincerity and in the commitment and in the spirit of the President letter.”

Deputy President of the Senate, Senator Ike Ekweremadu, in his remarks, said any injustice done to any part of the country, should be frowned at by the Senate.

He said the Federal Government has been rehabilitating rail lines throughout the country, but has excluded the South-East geopolitical zone. Ekweremadu claimed that railway projects already awarded by the Federal Government, have been deliberately abandoned, through non-release of funds to contractors.

Ekweremadu further maintained that promises made by the Federal Government that the region will be accommodated in future projects, were doubtful. The Deputy President of the Senate, said no section of the country should be excluded in projects.

Senator Gbenga Ashafa who heads the Senate committee on Land Transport, countered the position canvassed by South-East Senators.

In his argument, he opined that government is a continuum and that the region will be accommodated in future projects. He criticized what he described as sectional agitation by the lawmakers.

Abaribe, had while moving the motion, noted: “On 26th of April, 2017 the Federal Government laid before the National Assembly a request seeking an approval for a loan of $5,851 billion from China Exim Bank to execute the modernization of Lagos-Kano, Kano-Kaduna, Lagos-Ibadan and Lagos-Calabar rail segment.

“The Senate observes with dismay that the above sections of the rail line that the loan was being sought for covers only a section of the country i.e. the western corridor or sections.

“The Eastern section of the rail segment, which has a link between the South Eastern to North Eastern parts of the rail line is completely excluded from the request.

“The loan being a Federal Government borrowing would be paid for by all sections of the country. Therefore, every section of the country should be taken into consideration.

“There is a Railway Master Plan developed by the Ministry of Transport and of which such plan has not being referred to in the current borrowing plan. The railway projects to have a meaningful impact on the development of the country, it should cover all parts of Nigeria.

“The complete exclusion of the Eastern section that links the four zones of South-South, South-East, North-Central and North East and the key cities such as Port Harcourt, Aba, Enugu, Makurdi, Lafia, Gudi, Jos, Bauchi and Maiduguri is inexplicable.”

In one of the prayers, Abaribe had urged the Senate to suspend consideration of the loan request until the correction of the apparent oversight of the eastern parts of the country is corrected.

Upon the Senate President’s explanation, Abaribe withdrew the prayers. Instead, the Senate resolved to summon the Minister of Transport, Chibuike Rotimi Amaechi, to appear and explain the reasons for the exclusion of the Eastern Corridor of Nigeria’s Rail Lines from the proposed loan from China Exim bank.

Gsent Talks.....Taking You Further