By: Sunday Oyewole
The Federal Executive Council (FEC) rose from its weekly Cabinet meeting on Wednesday, approving the request for a loan of $200 million (about N32 billion) from the International Development Association (IDA) to develop the Fadama III programme.
Labran Maku, Minister of Information, who disclosed this to correspondents at post-Cabinet briefing, said the approval was sequel to a memo presented to Council by the Minister of Finance and Co-coordinating Minister for the Economy, Dr Ngozi Okonjo-Iweala.
Justifying the Council’s decision to obtain the loan, maku said it attracts only 0.075 percent service charge and at virtually zero interest rate.
“The Coordinating Minister of the Economy and Minister of Finance, Ngozi Okonjo- Iweala brought a memo to council to seek approval to obtain an International Development Association , IDA credit facility in the sum of USD200 million as additional financing for the Third National Fadama Development project”, he announced.
Speaking further on the loan, the Minister of State for Finance, Yerima Ngama, said “The Project Development Objective, PDO for the additional financing is consistent with the ongoing Fadama III project which is to increase the incomes for users of rural lands and water resources within the Fadama areas in a sustainable manner.”
According to him, additional financing of the Fadama III programme would ensure the scaling up of the project’s achievements with a view to strengthening and aligning it more closely with the Agricultural Transformation Agenda, ATA of the present administration.
The Attorney General of the Federation and Minister of Justice, Mohamed Bello Adoke, has therefore, been directed to issue the legal opinion required to render the loan effective.
Also speaking, the Minister of Agriculture, Dr Akinwunmi Adesina, said the phase 111 of Fadama programme would target crops like rice, sorghum and cassava in six states of the federation.
He said 50 percent of the grant would be reserved for women and youths while it is expected to generate about 317,000 jobs. The states that will benefit are: Kano, Anambra, Enugu, Niger and Kogi.
Meanwhile, Council also awarded contract in the sum of N290 million for a comprehensive checks to be carried out on the Third Mainland Bridge in Lagos.
According to the Minister of Information Consequently, contract for the checks has been awarded to Messrs ICECON (Nigeria) Limited, with a completion period of two months following which a report would be submitted.
The checks, Maku said will cover underwater inspection, assessment of pilings, river bed bathymetric survey, profiling and echometric test on the bridge.
“The bridge is a vital artery on the Federal Highways network connecting Lagos mainland to the island. Following reports of oscillation and excessive vibrations of the bridge under traffic load, investigations and tests were carried out by experts on the bridge in 2008 and the reports indicated that the bridge was structurally sound but required the replacement of damaged expansion joints and bearings.
“The ministry decided that Advanced Integrity Assessment including echometric (sonic pulse) tests on piles was inevitable in order to authenticate the findings of the Nigerian Submarine Divers Limited (NSD),” Maku explained.