Delta govt clarifies issues around N100bn loan

The Delta State Government has denied seeking fresh loans from commercial banks to the tune of N120 billion.

This was on the backdrop of the rumour making the rounds that Governor Ifeanyi Okowa had secured two separate loans of N100 billion and N20 billion.

Speaking to newsmen in Asaba on Monday, State Commissioner for Financial, Mr Fidelis Tilije, clarified there was already an existing N100 billion discounting facility approved by the State House of Assembly accessed by the government to fund projects.

Tilije said the N100 billion was not a fresh loan but an existing discounting facility, adding that the state government only went to the House to get the lawmakers’ approval to change the lead agent.

The Commissioner accused the All Progressives Congress (APC) in the state of peddling misconceptions and lies.

Tilde said: “It is that same N100 billion discounting facility that we had to go to the House of Assembly again last week because we found out that the lead agent of that same N100 billion facility was not moving as fast as we would have wanted.

“What we did last week, was to go back, in the same spirit of transparency and accountability, to seek their consent to enable us change the lead bank for the discounting facility.

“That is all that we did. It is not a new loan, it is not a new discounting facility, it is not a new bridging finance, not at all, it is still the same N100 billion that we have been speaking about since then till now.

“All we did was to change the lead bank to another lead, that is the reason why we had to go to the House”

“We are beginning to see misconception regarding the N120 billion loan, especially from the APC. The party is painting a lie as if it is the truth and fueling misconception over the loan.”

The Finance Commissioner concluded that the N20 billion would be used for a gas plant project in Warri.