The Federal Executive Council (FEC) yesterday approved a $150 million soft loan from African Development Bank (AfDB) and $100 million from African Development Finance (ADF) to finance some basic services.
According to a memo presented to the Council by the Minister of Finance, Mrs Kemi Adeosun, the funds will be used for the following,
- Improving the quality of life of 14 million people and over 2.3 million Internally Displaced Persons (IDPs) affected by the Boko Haram insurgency.
- Improve their standard of living by increasing their access to basic social services in the areas of potable water supply, sanitation, health care delivery and education.
- Entrepreneurship development, job creation and livelihoods for youth, women and the vulnerable, social cohesion and physiological support.
Other terms of the loan
- States to benefit from the loans will be Adamawa, Borno, Gombe, Bauchi and Taraba States
- Duration of the programme is within a span of five years starting from 2017 to December 2021, while Yobe State has already started implementing a similar programme
- The loan would be repayable in 25 years on a highly concessional interest rate, while the five benefitting states would make a counterpart funding of 6.1 per cent, the statement added