The Senate has initiated a thorough investigation into the utilization of the N30 trillion Ways and Means loans procured during the tenure of former President Muhammadu Buhari.
These loans, facilitated by the Central Bank of Nigeria to cover government budget shortfalls, have raised suspicions of mismanagement and imprudent expenditure, believed to have aggravated the country’s ongoing food and security crises.
Responding to these concerns, the Senate has opted to establish an ad-hoc committee tasked with scrutinizing the precise allocation of the N30 trillion overdraft and associated disbursements, including those earmarked for initiatives like the Anchor Borrowers Scheme and foreign exchange transactions.
Additionally, President Bola Tinubu and his economic team have faced considerable criticism for their policy decisions, notably the removal of fuel subsidies and the unification of exchange rates, which have been blamed for exacerbating economic hardships among Nigerians.
The approval procedures for such loans have also attracted scrutiny, with past decisions being called into question due to perceived lapses in transparency and accountability. There is a growing demand for comprehensive explanations regarding the expenditure of these funds.
The economic landscape in Nigeria is described as challenging, characterized by soaring inflation rates, shortages of essential food items, and the depreciation of the national currency. Urgent action is deemed necessary to stabilize the economy, necessitating coordinated efforts to combat inflation and bolster food production.
In essence, the Senate’s decision to launch an investigation into the Ways and Means loans underscores broader concerns regarding financial transparency, accountability, and the imperative to address the prevailing economic hardships confronting the nation.
As the lawmakers await the composition of the Committee that would carry out the holistic investigation, the Senate has also resolved to probe the ‘quasi-fiscal measures totalling N10 trillion of which the Anchor Borrower programme with a view to plugging loopholes in future development finance activities of the Bank.
The Upper Chamber as part of move to ensure transparency, and boost confidence in the market, it has resolved to interrogate the $2.4 billion Forex transactions adjudged invalid out of the outstanding $7 billion obligations with a view to identifying culprits and meting out appropriate sanctions to serve as deterrent.