PDP faults FG's plan to borrow $1.2b from Brazil

FG set to secure loan from Brazil, PDP reacts
Emeh Joy

The People's Democratic Party (PDP) has expressed concern over the recent plans by the Federal Government to secure an additional US$1.2 billion loan from the Brazilian Government.

The party reacted via a statement which was issued on Wednesday by its National Publicity Secretary Mr Kola Ologbondiyan.

It said it is worrisome that the government would be planning such despite the public lamenting the accumulation of loans from China and other foreign bodies.

The Federal Government had earlier announced that it is seeking approval from the National Assembly for US$1.2 billion loan to handle issues in the agriculture chain value.

The Minister of Finance, Budget and National Planning, Zainab Ahmed had made this know on Tuesday when she appeared before the House of Representative Committee on Finance to defend the ministry's budget in Abuja.

Ologbondiyan was of the notion that the loan will only weaken the nation further and won't be of benefit to the poor masses and the unborn generations.

He kicked against the idea of using agricultural programmes to justify the further accumulation of foreign loans, without clear terms and conditions.

The PDP further warned that if the National Assembly approves the loan request, it will "exacerbate our nation's debt burden, mortgage, our agricultural sector, weaken our investment capacity and worsen our food security challenge.

"Our party invites Nigerians to note that with the US$1.2 billion (N459 billion) Brazilian loan, in addition to the N5.20 trillion borrowing already proposed in the 2021 budget, our nation's debt burden will hit N36.2 trillion.

"This will plunge our economy into a devastating pitfall", it warned.

The PDP thus warned the National Assembly to save the nation by applying wisdom in handling loan requests in the interest of the nation.

Ologbondiyan further appealed to the Federal Government to look inwards and seek for feasible ways to create wealth from the resources which are already abundant in the country.

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