Rivers State Government has resolved to borrow a sum of N15 billion loan from the Central Bank of Nigeria, CBN infrastructure fund to complete three major road projects.
The three projects include the Oyigbo -Okoloma Road; Chokocho-Igbodo Road and the construction of Rumuokwurushi-Elimgbu flyover.
Investors King reports that the decision was made by the State Executive Council led by the governor of the state, Nyesom Wike who gave the approval on Wednesday.
Addressing pressmen after the Executive Council meeting in Port Harcourt, the Commissioner for Finance, Isaac Kamalu hinted that the state government decided to obtain the loan from the CBN infrastructure fund because it has a very low interest of 5 percent.
Kamalu added that the road projects needed to be completed quickly, hence the need to get funds from the CBN facility.
In his words, “Council in her deliberations at the Executive Council meeting today (Wednesday) approved that the Rivers State Government should access the Central Bank of Nigeria Infrastructure Support Facility to the tune of N15billion.
“This will be utilised as further support for the critical infrastructure that the State is embarking and presently prosecuting, which are the Chokocho-Igbodo Road in Etche Local Government; the Oyigbo-Okoloma Road in Oyigbo Local Government Area and the Rumuokwurushi -Elimgbu flyover.”
The commissioner further said that the state had earlier gotten funds for the infrastructural projects but the resources are still inadequate for the completion.
“You will recall that prior to now, the Rivers State Government had accessed funds for these projects. However, these funds even if put together will not be able to accomplish these three critical projects mentioned. And so, the government felt that one way it could fast track the completion of these projects would be to participate in this Central Bank Infrastructure Facility, considering that the facility has a very low interest rate of 5 percent, repayable within 20 years with three years moratorium,” he said.
Kamalu assured that the N15 billion loan would greatly aid the prompt completion of the projects to serve the interest of the state and bring about the desired development.