Sokoto State House of Assembly Thursday approved the state government’s request to obtain over N2.07 billion loan from Zenith Bank Nigeria Plc.
While N 1,042,027,027.02 loan facility was for the payment of counterpart funds for Universal Basic Education( UBE), another facility of N 1,033,044,900.00 was for payment of counterpart funding for the activities of Nigeria Erosion and Water Shed Management project.
Governor Aminu Tambuwal had in a letter presented to the Assembly by the Speaker, Alhaji Salihu Maidaji sought the House ‘s consideration of the Zenith Bank offer.
It reads:"I am pleased to inform the state Assembly that, Zenith Bank Nigeria Plc, has offered the state government a term loan facility of N 1,042,027,027.02. This is to enable the payment of counterpart funding for the state universal basic education,2016."
The letter added:"The facility attracts an interest rate of 19.5 per cent, 1 per cent management fee, 1 per cent commitment fee.Repayment would be done through an Irrevocable Standing Payment Order (ISPO), at N 96,278,477.30, per month, for a duration of 12 months.’
It also stated the bank’s offer of loan facility of N1,033,044,900.00, to enable the payment of counterpart funding for the activities of Nigeria Erosion and Water Shed Management project.
"The facility attracts an interest rate of 19 per cent, 1 per cent management fee, 1 per cent commitment fee and repayment through ISPO at N 52,074,364.92, per month, for a duration of 24 months," it stated.
