Osinbajo seeks Reps’ approval for $1.28bn, €9m loans

Acting President Yemi Osinbajo has sought to include the Development Bank of Nigeria (DBN) and Fund for Agricultural Finance in Nigeria (FAFIN-II) in the 2016-2018 borrowing plan.
In a letter addressed to the Speaker of the House of Representatives, Yakubu Dogara, Osinbajo said the DBN which is a multi-donor supported bank, was omitted in the 2014-2016 external borrowing plan.

He explained that the donors were ready to release funds to the DBN, following the approval of the National Assembly.
Osinbajo also said FAFIN was being supported with a sum of €9million by the KfW Development Bank of Germany, after it had released €10.5million in 2013 in the first tranche.

“Mr. Speaker may wish to know that the DBN is a multi-donor supported bank approved under the previous administration with financing agreements executed on 25th February 2015.

“However, the facility in the sum of $1.28 billion appeared to be inadvertently omitted in the 2014-2016 external borrowing plan approved by the National Assembly.

“In view of the importance attached to these two projects by our administration, it has become imperative to seek for your usual understanding and kind consideration for the inclusion of the DBN and FAFIN-II into the 2016-2018 external borrowing plan as addendum”, the letter by Osinbajo read.