Reps Approve President Muhammadu Buhari’s N1trn Loan, Defer N22.7trn Request

The House of Representatives yesterday approved the request by President Muhammadu Buhari to secure an additional N1 trillion from the Central Bank of Nigeria (CBN).

The loan, according to President Buhari, will be used to fund the 2022 supplementary budget.

The lawmakers, however, deferred the request to securitise the N22.7 trillion ways and means loans pending “further engagement with the executive by the joint committee to allow for a thorough and detailed work and submissions.”

The House approved the request following the consideration and adoption of the  reports  of the committees on finance, banking and currency, and aids, loans and debts management.

The House Speaker, Femi Gbajamialia, said the N22.7 trillion request would be considered after resumption from recess.

In 2022, the president had written to the National Assembly, seeking approval for the ways and means advances.

“The ways and means advances by the Central Bank of Nigeria to the federal government has been a funding option to the federal government to cater for short term or emergency finance to fund delayed government expected cash receipts of fiscal deficit,” Buhar had said in the letter.

“The ways and means balances as of 19th December 2022 is N22.7 trillion.”

President  Buhari had, in a letter in 2022, requested that the ways and means loan should be converted to a 40 years bond with a moratorium of three years.

Speaking on the report, Gbajabiamila told his colleagues that the other report will be considered subsequently after the recess.