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HomeLatestFEC Approves Landmark $115 Million AfDB Loan Secured by Abia Ex Governor 

FEC Approves Landmark $115 Million AfDB Loan Secured by Abia Ex Governor 

Toba Owojaiye reporting 

Abia State 

 

On Monday, November 27th, 2023, the Federal Executive Council (FEC) in Abuja granted approval for a substantial loan to Abia State. The African Development Bank (AfDB) is set to provide $115 million, with $100 million originating from AfDB and an additional $15 million from the Canadian Development Bank.

This approval, crucial for loan accessibility, positions the Federal Government as the legal obligor in foreign transactions. The loan, spearheaded by former Governor Dr. Okezie Ikpeazu, targets critical infrastructure enhancements in Aba and various regions of Abia State, addressing issues like erosion and ecological challenges in Abia North.

Truth Live News gathered that the prominent projects within this initiative is the reconstruction of Port Harcourt Road in Aba. Minister of Finance, Wale Edun, clarified that this financing scheme was initiated before the current administration, highlighting its concessional nature at around 4.2% per annum, managed by Abia State through the Federal Government. The funds are earmarked for waste management and road rehabilitation in Umuahia and Aba.

Governor Ikpeazu, upon assuming office, recognized the need for external funding to revamp the state’s critical infrastructure. Despite political maneuvering around the Port Harcourt Road project, the Ikpeazu administration commenced preliminary work while seeking financial support from Development Partners.

Notable figures like Hon. Obinna Ichita and Chief Ncheta Omerekpe made various claims during the process, leading to skepticism. Now that the loan has been secured, the Abia State Government, armed with 115 billion Naira—the highest external funding in the state’s history—is poised to initiate transformative projects.

The Otti administration, buoyed by this financial injection, faces an opportune moment to reshape Abia State’s infrastructural landscape. Governor Ikpeazu proudly sees the fruition of his administration’s efforts in establishing a robust platform for the state’s development.

As the funds become accessible, anticipation builds for the administration to swiftly embark on these projects, marking a turning point in Abia State’s development trajectory.

The press release was signed by Sir Onyebuchi Ememanka, Spokesman to Okezie Ikpeazu, Ph.D, the Ex Governor

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