House Approves Buhari’s N1trn Loan Request, Defers Decision on N22.7trn Extra-Budgetary Spending

Nigeria’s house of representatives has approved the request by President Muhammadu Buhari to secure an additional N1 trillion loan from the Central Bank of Nigeria (CBN).

The loan will be used to fund the 2022 supplementary budget.

The lawmakers approved the request on Tuesday following the consideration and adoption of the committees on finance, banking and currency, and aids, loans and debts management.

The house, however, deferred the request to securitise the N22.7 trillion ways and means loans, pending “further engagement with the executive by the joint committee to allow for a thorough and detailed work and submissions”.

The speaker of the house of representatives, Femi Gbajabiamila , said the N22.7 trillion request would be considered after the lawmakers resume from recess.

In 2022, the president had written to the national assembly, seeking approval for the ways and means advances.

“The ways and means advances by the Central Bank of Nigeria to the federal government has been a funding option to the federal government to cater for short term or emergency finance to fund delayed government expected cash receipt of physical deficit,” Buhari had said in the letter.

The ways and means balances as at 19th December 2022 is N22.7 trillion.”

It was also reported that the senate suspended approving the request after some lawmakers protested against it.

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