The recent approval of N11.3 billion loan by the Edo State House of Assembly for the state government has drawn criticism from the Edo State chapter of the All Progressives Congress (APC).
According to a press briefing held by the state chapter of the party, the approved loans are for agricultural palliative, contractor, finance, bank guarantee loan, procurement of CNG buses, and construction of roads and drainages in the new Coral city in Benin.
The State Acting Chairman of APC, Jarrett Tenebe, who briefed the press, alleged that the state’s debt profile is already substantial, and the additional loan will further worsen the financial situation of the state. He criticized the government’s approach to requesting the loan and accused it of using the funds for the upcoming governorship election.
He also claimed that the opposition lawmakers questioned the rationale for the loan and rejected the approval after discovering that the actual amount requested was not N9 billion but a much higher figure of N17.5 billion, which was kept secret.
Tenebe urged the state government to stop borrowing, citing that the funds often end up in private pockets rather than being used for the state’s development.