PRP accuses FG of secrecy over ways and means loan repayment

• On May 3, 2023, the senate approved the securitisation of the N22.7 trillion loan request made by former President Muhammadu Buhari.
• In December of the same year, the national assembly approved Tinubu’s request for the securitisation of outstanding N7.3 trillion ways and means debt balance.

The Peoples Redemption Party (PRP) has called on President Bola Tinubu to provide clarity on the repayment of N30 trillion in ways and means advances.

In his Independence Day address, President Tinubu claimed to have settled over N30 trillion in ways and means advances.

However, Muhammed Ishaq, PRP’s national publicity secretary, disputes this assertion, saying it is misleading and casts doubt on the accuracy of information given to Nigerians.

The PRP urged the National Assembly to probe debt swap deals veiled in secrecy.

The party also demanded that the government abandon misleading language, emphasizing that transparency is crucial for rebuilding trust and accountability among citizens.

“If any, what we hear from certain relevant government agencies is that the debt is increasing, hence the bill sent to the National Assembly to increase the maximum threshold of FGN Debts from the Central Bank of Nigeria (CBN),” the statement reads.

“Indeed, reports indicate that instead of an outright clearance, this debt has simply been securitized. What a deceit? What the government essentially did was issue local currency denominated Promissory Notes, sold them to investors, and used the proceeds to settle debts owed to the CBN in the Ways and Means financing debacle, meaning the nation remains indebted.”

“Furthermore, and unfortunately, the nation has not been provided with details of these Notes: tenure, rate, investors, and potential economic impact. To say the least, the Notes issuance has been shrouded in secrecy and mystery.”

The PRP seeks answers to several questions: “Who were the parties to the transaction? How much fee were they paid? How were they appointed?” The failure to provide explanations on the Notes Issuance process raises concerns about government financial commitments’ accountability and transparency.