Kwara State House of Assembly has approved the state government request to access N973 million loan facilities from Skye Bank Plc to finance the provision of SUBEB counterpart funding to enable the state access the 2014 Universal Basic Education Matching Grant from the Federal Government.
The request was presented and approved at yesterday emergencies plenary by the Speaker, Dr Ali Ahmad.
The governor said the provision of SUBEB counterpart funding was a major prerequisite for accessing the Federal Government Universal Basic Education Matching Grant.
He said the state government was unable to source for the fund internally due to the continuous fall in the federal allocation receipt.
He added that the Skye Bank had offered the government a term of loan facility of N973 million to enable it access the grant for the year 2014.
The facility, according to the governor which had tenure of 12 months with 22 per cent interest rate per annum, was secured with an irrevocable standing payment order.
The Speaker, Dr. Ali Ahmad said the loan was to ensure conducive atmosphere for learning in schools.