‘Nigerian govt waiting for Chinese loan to complete rails projects’ —Minister

The Minister of Transportation, Mua’zu Sambo, had said the Nigerian government is waiting for more loans from China to complete the construction of the Abuja-Kano and Port-Harcourt-Maiduguri rail projects.

Sambo who made this known at a press conference in Abuja on Friday, said the inability of the government in securing 85 per cent foreign loan meant for the project was delaying the completion of the projects.

The Minister said that the Chinese financiers were expected to provide 85 per cent loan meant for the rail project but in the absence of the loans, the projects were being run through appropriation funds which are not enough to complete them.

“The Abuja-Kano and Port-Harcourt Maiduguri rail projects are on-going but there is a challenge of the 85 per cent foreign loan yet to be secured,” Sambo said.

Read also: DMO debunks reports of national assets being mortgaged over Chinese loans

“We have been driving these two projects solely through appropriation, which is part of the 15 per cent which Nigeria is supposed to contribute.

“Indeed I can tell you for sure that with respect to the Kaduna-Kano rail, we have paid completely to the contractor the 15 per cent obligation of the Federal Government.

“Until we have the 85 per cent component, the project will have to be continually funded through the appropriation,” he said.

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