By Ehi Ekhator
Nigerian Presidency has said that the Emir of Kano, Sanusi Lamdo Sanusi did not have his facts straight regarding a statement he made concerning the $30bn foreign loan proposed by Buhari administration.
In a Statement by the Senior Special Assistant to President Muhammadu Buhari, Garba Shehu on Saturday, the Presidency, though agreed that the government has overdrawn its Central Consolidated Account, but the overdrawn is within limits.
Garba assured that the Minister of Finance would respond to the opposition to the $30bn loan.
He said “With every respect to the Emir, you know he is my ruler,because I come from Kano.
“He doesn’t have his facts as far as those issues are concerned. The issue in CBN, that government has overdrawn its Central Consolidated Account is true, but the overdrawing is within limits.
“The overdraw does not exceed 1.5 trillion. It is incorrect to say, as he did that the account was overdrawn by 4.5 trillion.
“But even assuming that he was correct. This is a government that has money in excess the amount he mentioned in the Treasury Single Account, TSA. It is just like you, a bank customer operating two accounts, one in the red and the other, well funded to the point that it can at any time wipe the indebtedness on the other. Would any bank manager lose their sleep over this?
“This, I am told is what the IMF found at the CBN and they said it is perfectly normal.
“As for his opposition to the USD 30 billion loan, I’am aware that the Minister of Finance is responding to that.
“As a private citizen, I want to read his statement again. I thought that the borrowing is for projects that include the railway development in Kano, his own city.
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Emir Sanusi had caution Buhari led federal government not to take $30bn foreign loan proposed by his administration, saying there was no guarantee the loan would be repaid in the remaining two years in the life of the administration.
The Emir of Kano, Sanusi Lamido Sanusi, Friday, cautioned President Mohammadu Buhari against taking the $30 billion foreign loan proposed by the administration, saying there was no guarantee the loan would be repaid in the remaining two years in the life of the administration.
The former CBN governor also caution the continuous dependence on China as good ally, saying that imports from China has almost scrapped the nation’s local industry.
“If we cannot raise $2 billon in two years and you want to borrow $30 billion in two years to the end of the life of the administration. The government should rather pay more attention to investment and support the private sectors to grow the economy”.
“The economy that has five exchange rates can’t borrow $30 billion. They can’t lend you the billion when you have five foreign exchange rates and with the current bombing of oil pipelines by the Niger Delta militants.
So, on which foreign exchange rate can you get the loan?”
