President Muhammadu Buhari has requested for over N2 trillion via a promissory note with the aim of offsetting the inherited debt from the previous administration.
In the president’s request, he said it is his desire to state the request of the Federal Executive Council, asking that the National Assembly passes a bill to grant the promissory note and bond issuance programme, in order to clear overdue obligations inherited by the current administration. The obligations include payment to pensioners, promotional arrears to civil servants, salaries, contractors, suppliers and oil marketers.
The president’s request made the Senate set up a 7 member ad-hoc committee yesterday to deliberate on the request.
The executive communication by the president was read by Ahmad Lawan, Eurobonds Senate Leader. Although Lawan suggested that the request is treated by the appropriate committee, Ike Ekweremadu, Deputy Senate President kicked against it.
Ekweremadu said the issue had a multi-dimensional nature and it was against the Fiscal Responsibility Act to borrow money to fund recurrent items, and on his part has suggested that an ad-hoc committee looks into the request to be able to advise the Senate. He also said the committee will decide if the request is within the law.
Photo Credit: Daily Post
