FG Repays $460m loan on failed CCTV – Minister

The Minister of Finance, Budget and National Planning, Zainab Ahmed, has said the Federal Government is still servicing the $460 million loan got for failed Abuja CCTV project The Cable NG reports.

She spoke on Thursday at the defense of the 2020 budget proposed by her ministry.

The House Committee on Finance had queried the project.

Zainab-Ahmed

The Chairman of the committee, James Faleke, said, “Before this administration, we have collected some loans and the one that strikes me the most is the $460 million for CCTV installation in Abuja. I want to know the position of this loan.

Responding, the minister said while Nigeria was already serving the loan, she had no explanations on the status of the project.

Ahmed said, “We are servicing the loan; but on the project, we will have to ask the FCT authority because the project was deployed in the FCTA. I have no information on the status of the CCTV project.”

cctv1-653x365

“The conditions of the loans that we take from China always will be that a Chinese company will provide infrastructure services.

“These are loans that are of three percent, the rail lines are being rolled out, the Abuja-Kaduna, Lagos-Ibadan rails are all loans from China and are being executed by Chinese companies.”

In 2015, the house had directed an ad-hoc committee to probe the uncompleted projects, awarded to a Chinese firm, ZTE Corporation, in 2010 following the failure to act on the report of the previous probe panel of the 7th assembly.

The cameras were to be accompanied with 37 switch rooms, MW backbone, 37 coalition emergency response systems, 38 video conference sub-systems, 37 e-police systems, six emergency communication vehicles and 1.5 million lines for the subscription.

The contract involved a payment of 15 percent by the Nigerian government and 85 percent by the Chinese EXIM Bank to be repaid within 10 years at the prevailing interest rate.

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Up ↑

%d bloggers like this:
Skip to toolbar