Wike, APC squabble over N100b loan

The plan by the Rivers State government to borrow money from some financial institutions has become the source of wrangling between the ruling PDP, and opposition APC in the state.

The total amount to be borrowed, and the purpose to which it is to be put is now the basis for accusations and denials by both parties.

The APC has alleged that the state’s governor, Chief Nyesom Wike plans to obtain total loans of N100 billion in tranches of N10 billion, N20 billion, N30 billion and N40 billion within two months from various banks, and that the aim of the borrowing is to plunge the state into debt and economic servitude.

APC, in a statement issued in Port Harcourt by its Publicity Secretary in the state, Chris Finebone, was reacting to two approvals granted the governor in less than one month by the Rivers State House of Assembly to obtain N10 billion and N20 billion loans from Zenith Bank and Access Bank, respectively.

But, Special Adviser on Media and Publicity to Wike, Mr Opunabo Inko-Tariah, has said that the N30 billion loan will be used to develop the state. Inko-Tariah told newsmen in Port Harcourt on Thursday that insinuations by the state chapter of APC that Governor Wike intends to borrow N100 billion were untrue.

However, the opposition’s statement read in part, “Information we are privy to, strongly indicates that the governor and his men have started negotiation with Heritage and Eco Banks to obtain another loan of N30b in the coming week or so. This will bring the total amount of loan obtained by the embattled governor to N60b in less than 45 days as governor of Rivers State.
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But according to Inko-Tariah, there were compelling needs to be attended to and government had no option than to take the loan. “The governor’s actions were based on the necessity, the importance of the project to Rivers people and not whether he will take the credit or not for completing the project,’’ he said.

According to him, government needs the money to kick start and that is why the governor is seeking the loan. He said the Wike administration did not inherit money from the previous administration and that it had to meet the needs of the people. “The demands are much greater than the resources available,’’ Inko-Tariah said.

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