The Federal Government of Nigeria said it has requested for funding support from SuKuk bond through the Debt Management Office and other multilateral sources to enable it finance the Calabar-Itu-Ikot-Ekpene road project.
The Special Adviser to the President, Major General Mohammadu Buhari (retd.) on Niger Delta Affairs, Senator Ita Enang, stated this while fielding questions from newsmen on Friday.
He said he has personally written to the Ministry of Finance and the Ministry of Works and Housing to assist the project with loan from the SuKuk bond.
“Right now we are looking at multilateral sources of funding the road. I have written and I am requesting for funding support from the Ministries, from the SuKuk bond through the Debt Management Office, the Ministry of finance and the Ministry of works and Housing to help the road with loan from the SuKuk bond.
“SuKuk bond is one of the avenues of funding major projects and it is from there that a N100bn was raised to finance Abuja-Lokoja road project and some other projects in the country. So, I have requested for funding from that window.”
He added that the need became necessary because the contractor of the project, Julius Berger, had pulled out of site since June following insufficient funds.
Enang explained that Buhari in the 2020 budget had projected N2.2bn for the road project but N1.1bn was approved by the National Assembly.
“They (Julius Berger) pulled out of the site in June because it was on the 27th of May that the President, Major General Mohammadu Buhari (retd) signed the 2020 budget.
“Now, when the budget was signed and published in June, in the submission of the President, Major General Mohammadu Buhari, (retd.), there was N2.2bn projected for the road.
“But by the time it was approved by the National Assembly, it was reduced from N2.2bn to N1.1bn. And so when Julius Berger saw that even the certificate they generated was more than what is in the budget, they decided to pull of site.
“So, they had no choice because they had they had their workers to pay, equipment to service and materials to buy, so they pulled out of the site.” Enang said.
