Connect with us

Business

FG Did not Mortgage Property for China Loan – Amaechi

Published

on

The Minister of Transportation, Rotimi Amaechi, said on Monday that the Nigerian government did not mortgage any property to secure infrastructural loans from China.

Mr Amaechi made the clarification at the 6th Annual East African Transport Infrastructure conference held in Nairobi, Kenya.

According to Mr Amaechi, Nigeria did not offer China any such comfort because the country has the ability to repay the loan.

There were reports that countries such as Sri Lanka, Somalia, Kenya, Sudan, among others are facing pressure of forfeiting their infrastructure to China over unpaid debts.

“I don’t know the arrangement these countries made with China-Exim bank, I do not think we will have any problems with repaying our loans. The countries that they are talking about are Kenya, Somalia and Sudan.

“These are some of the countries that have not been able to repay their loans I think. So what China is doing is that, it is taking over to manage and get its money, but it’s not so in Nigeria.

Mr Amaechi said debt default by some countries is affecting Nigeria’s plan to borrow more from China.

“We are talking with them, to say that by June, we should be able to say this is our repayment plan. It also depends on what agreement plan you have with them. Our agreement does not include the fact that they will come and take over our seaports or railways or airports.

“We believe that we can pay back using our own money. That shouldn’t be any problem. Our focus should be to run this infrastructure efficiently so we can pay back and there is no plan for them to manage any of it,” he stated.

According to him, China is the only country that can give out loan for infrastructure. He claimed developed countries also borrow from China.

“If you don’t go to China, who will give you money? America is going to China even Russia. What is wrong if Nigeria goes to China?

I think we should not be afraid of China.

“Nobody runs railway with passenger fares. You can never get one Naira out of it. Nigerians think railway is just to carry passengers but the problem is that the goods that should be on the rail are the ones on the road and they are destroying the roads.

“Once we conclude the rail projects and those goods are transferred to the rail, that is when we will start making money to pay our debts.

“Currently our trains are carrying passengers. People are celebrating Lagos-Ibadan because they are looking at it that “oh, I’ll just jump into the train and one hour after, I’m already in Ibadan”.

“That’s not the overall aim. The reason the federal government said we must get to the seaport is to decongest the Apapa seaport.

That’s where the money lies,” he noted.

(NAN)

Continue Reading
Advertisement

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Price of Cooking Gas Hits N7,000 As NLNG Rues Poor Facilities

Published

on

The management of the Nigeria LNG Limited has said that marketers do not have enough infrastructure to take up its Liquefied Petroleum Gas supply.

In an earlier PUNCH report, the Independent Petroleum Marketers Association had said that the major cause of the rising cost of cooking gas was lack of adequate supply.

The marketers claimed that foreign investors underestimated demand in the Nigerian market resulting in marketers venturing into importation of the product.

They advocated that the government should let NLNG supply more gas to the market to reduce the costs.

Reports from consumers revealed that the cost of refilling a 12.5-kilogramme cylinder of LPG had risen to as high as N7000 in some states.

The marketers had also urged the government to remove cooking gas from the list of commodities subject to the payment of value added tax.

The marketing manager of NLNG, Austin Ogbogbo, in a response to the claim made by the IPMAN said that the marketers did not have enough infrastructure to take up the gas the company supplied.

He said, “NLNG has grown its capacity from 50,000 metric tonnes per annum to 450,000 metric tonnes per annum of LPG in the past 14 years.

“Nigeria needs 1.2 million metric tonnes per annum, but even the 450,000 we produce cannot be absorbed by the market’s current infrastructure.

“We only operate in the midstream sub sector of the industry so we are only responsible for supplying to the market.

“The downstream players are responsible for the distribution to the end users, and also building the infrastructure to ensure it is done efficiently. It is out of our scope.”

He assured the public that the company would grow its LPG capacity if it confirmed that distributors could take up additional supply.

The Punch

Continue Reading

Business

FirstBank Expands International Money Transfer Network, Reinforces Commitment to Customer Service

Published

on

In furtherance of the need to expand diaspora remittance inflow into the country, First Bank of Nigeria Limited has increased its network of International Money Transfer Operators (IMTOs), targeted at easing the accessibility of its customers to receive money from close to 100 countries across the world in a safe and secured manner. With over 750 branches across the country, customers can receive money from the nearest FirstBank branch closest to them.

Over the years, FirstBank has been in partnership with Western UnionMoneyGram, Ria, Transfast, and WorldRemit. The bank is also in partnership with other IMTOs which include Wari, Smallworld, Sendwave, Flutherwave, Funtech, Thunes and Venture Garden Group to promote remittance inflow into the country, thereby putting Nigerians and residents at an advantage in receiving money from their families, friends and loved ones across the world.

Beneficiaries can receive remittance in US dollars in any of our over 750 branches spread across the country. Customers without an existing domiciliary account can have dollar account automatically created for their remittances. You can also receive inflow directly into your account through Western Union.

In addition, FirstBank has launched its wholly owned remittance platform named First Global Transfer product to promote the international transfer of funds across its subsidiaries in sub-Saharan Africa. These subsidiaries include FBNBank DRC, FBNBank Ghana, FBNBank Gambia, FBNBank Guinea, FBNBank Sierra-Leone, FBNBank Senegal.

Reiterating the Bank’s resolve in promoting diaspora remittances, regardless of where one is across the globe, the Deputy Managing Director, Mr Gbenga Shobo said “at FirstBank, expanding our network of International Money Transfer Operators is in recognition of the significant roles diaspora remittances play in driving economic growth such as helping recipients meet basic needs, fund cash and non-cash investments, finance education, foster new businesses and debt servicing.

We are excited about these partnerships, as it is essential to ensure our customers are at an advantage to receive money from their loved ones and business associates, anywhere they are, across the world.”

FirstBank pioneered international funds transfer and remittances over 25 years ago and has been at the forefront of promoting cross border payments in the country, having started the journey with Western Union Money Transfer. The Bank’s wealth of experience and operation in over 750 locations nationwide gives it the edge in the market.

Continue Reading

Business

Unity Bank Collaborate to Fund N15.5bn Equipment for Julius Berger

Published

on

Unity Bank Plc, in company of other banks has facilitated a credit facility of N15.5bn for the acquisition of trucks and equipment to Julius Berger Plc.

The group Managing Director and Chief Executive Officer of SCOA Nigeria Plc, Dr Massad Boulos, has appreciated the gesture.

A statement from SCOA said that SCOA presented 33 MAN platform trucks and equipment to Julius Berger to be deployed for the construction of the 380 kilometre Abuja-Kaduna-Kano roads.

The banks that funded the acquisition were Unity Bank Plc, Heritage Bank Limited, Zenith Bank Plc, Providus Bank Limited, Wema Bank Plc, United Bank for Africa Plc, Union Bank Plc and Coronation Merchant Bank Limited.

Boulos said, “I commend Unity Bank, their MD and the members of the executive management; and the entire team of banks who have worked closely with us on this project.”

Mr Ralph Brendicke, the representative of the MD of Julius Berger Nigeria Plc, Dr Lars Richter, said the trucks and other equipment would help the company expand its field capacity and increase the speed of execution leading to timely completion of the highly anticipated project.

The MD/CEO of Unity Bank Plc, Mrs Tomi Somefun, represented by the Directorate Head, Lagos and South West Zone, Mr Wale Ogunride, was quoted as saying, “We looked at the strategic importance of this project and how such infrastructure could contribute to stimulating economic activity and decided that Unity Bank must play its part.

“Unity Bank will continue to provide support to such projects as we have been doing in other critical sectors of the economy such as agriculture.”

In a separate statement, the Executive Director of Wema Bank, Mr Oluwole Ajimisinmi, was quoted as saying that his bank was delighted to be one of the institutions to support SCOA in the project.

He also encouraged and solicited for more local content in order to create more jobs.

Continue Reading