Finance

FG gives N250bn Sukuk bond to three ministries

NGX lists FG N130bn Sukuk bond

Fashola says 97 road projects financed with sukuk in six years

The Federal Government has given a cheque of N250bn from Sukuk bond to three ministries for the implementation of capital projects across the country.

These are the Ministry of Works and Housing, Ministry of Federal Capital Territory, and the Ministry of the Niger Delta Affairs.

Out of the N250bn cheque, the Ministry of Works and Housing got the lion share of N210.565cbn, the Ministry of Federal Capital Territory was allocated N29bn, while the Ministry of Niger Delta Affairs was allocated N10.435bn.

The Minister of Finance, Budget and National Planning, Zainab Ahmed, who released the fund on Thursday in Abuja, said the N250bn was part of the capital expenditure in the 2021 appropriation bill.

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She said the government would continue to raise the needed fund and prioritise spending for critical infrastructure in the country.

She said, “The government will continue to prioritise spending on critical infrastructure in order to sustain the momentum on GDP growth.”

At the presentation of the cheque, the Director-General, Debt Management Office, Patience Oniha, said the N250bn bond was the fourth in the series since its introduction as part of infrastructure funding in 2017.

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The Minister of Works and Housing, Babatunde Fashola, maintained that the Sukuk bond had made a significant impact on the completion of major roads projects in the country.

The Niger Delta Affairs Minister, Godswill Akpabio, who spoke through his Permanent Secretary, Dr Ardo Babayo, said that the fund would be used for road infrastructures in the Niger Delta area.

The Minister of FCT, Muhammed Bello, said the fund would be used to fund six major roads project in the territory.

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The Chairman Senate Committee on Local and Foreign debt, Clifford Odia said that the National Assembly would carry out proper oversight to ensure the quality of work in line with specifications

Meanwhile, Fashola provided details on roads and bridges which the Sukuk funding had enabled his ministry to undertake since its inception in 2015 across the country.

Fashola described Sukuk as a form of Public Private Partnership that was among the funding options adopted by the Federal Government to fund the construction of critical roads, according to a statement issued by the works ministry in Abuja.

Punch

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