Assembly approves N18bn loan facility to Adamawa govt amidst huge debt profile

Adamawa State Assembly has during its plenary session on Monday, granted approval for state Government to secure N18.746 federal government intervention facility amidst concerns of the state’s huge debt portfolio and dwindling revenues.

With the new loan facility, the state total indebtedness will jump from N140 billion to N158 billion.

Records have shown that in 2020 fiscal year, the state sought N30 billion loan facility comprising of N3 billion external loan and N27 billion internal loan to run the state.

The government is also moving to secure N100 billion bond to boost agric business in the state.

Some concerned indigenes including the member representing Verre constituency, Abdullahi Yapak, have in the wake of a clandestine house sitting where the N100 billion bond was granted condemned the state government’s resolve to borrow at will saying the future of the next generation is at stake.

In a letter dated 22nd October, 2021 submitted to the Assembly, governor Ahmadu Umaru Fintiri has sought the house to grant the state governmenf access to get the facility in order to complete some key ongoing projects.

Governor Fintiri, informed the members that President Muhammadu Buhari, had graciously approved a bridging finance facility for all the states Adamawa inclusive; hence, his administration’s request to that effect.

The State Executive Council during its 9th (2021) meeting last Friday approved the facility.

After reading/presentation of the letter by the speaker, Rt. Hon. Aminu Iya Abbas, on Monday, the legislators unanimously considered it and subsequently approved as requested.

The resolution was sequel to a motion to that effect by the Majority leader, Hon. Hammantukur Yetisuri (Jada Mbulo) and seconded by the Minority Leader, Hon. Muhammed Mutawali (Girei).

After deliberations, the Speaker, Rt. Hon. Aminu Iya Abbas, directed the clerk to communicate the resolution of the members to the executive arm for necessary action.