Experts link loan to Oyebanji’s credibility
By Ologeh Joseph
Ekiti State is set to receive $80m to boost the state’s Knowledge Zone
The funds were provided by the African Development Bank, ADB being part of other largesse secured by the Nigerian central Government.
The Minister of Finance Mr Wale Edun said the $80 million loan from AfDB will be used to finance the Ekiti Knowledge Zone (EKZ) project.
The project is expected to create jobs and boost local economy apart from opening up the international community to global windows of opportunities.
Edun said the project will aid technological skills and impact on youths in Ekiti.
He described the loan as a unique contribution of the technology sector of the economy
Edun said the fund will be used to finance the Ekiti Knowledge Zone (EKZ) project.
Experts say the loan reinforced International confidence in the moral highground of the administration of the State Governor, Abiodun Oyebanji
He said the project was created to provide technological skills to the youths in Ekiti, as the contribution of the technology sector to the economy is rising.
Speaking after the Federal Executive Meeting on Monday Edun said FEC has also approved a $1.58 billion loan request.
The loan request is divided into two; $1.5 billion from the World Bank and $80 million from the African Development Bank (AfDB).
He said the $1.5 billion from the World Bank would be applied through the International Development Association (IDA) — an arm of the Bretton Woods institution, which provides free or zero-interest loans to low-income countries.
He said “We also approved today the application for financing from the World Bank. And in particular, the International Development Association which is really the virtually free or zero interest lending arm or financing arm of the World Bank,” he said.
“The total is $1.5 billion. And the background is just as you heard from the Minister of planning and budget.”
The loan, according to Edun, comes at a time the cost of borrowing is rising as developed countries raise interest rates and restrict money, to fight inflation.
“What that means is that interest rates for everybody else, become not just high but very painful, if not on (sic) affordable within that context,” he said.
Edun said the World Bank is willing to lend to Nigeria because of some tough policies made by President Bola Tinubu.
He said the tough decisions have received the support of the multilateral development bank, and as a result, the World Bank is ready to “process on our behalf $1.5 billion of concessional financing, relatively cheap financing and financing that will be dispersed relatively quickly”.
