Home National FG will award contracts, borrow till May 28 — Fashola

FG will award contracts, borrow till May 28 — Fashola


Minister of Works and Housing, Mr Babatunde Fashola has stated that the outgoing administration of President Muhammadu Buhari will continue to award contracts until the midnight of May 28.

Fashola declared this in Akure, Ondo State while flagging off the N90 billion dualisation of the 49km dilapidated Akure/Ado-Ekiti highway.

Fashola was responding to recent criticisms which the outgoing administration had received over the award of contracts and external borrowing a few days before the expiration of this tenure.

According to him, “It is a juvenile conversation. They forgot, among other things, that the term of this administration ends at midnight on May 28.”

Speaking further, he noted that infrastructural development can only be actualised through borrowing or taxation adding that the project which will cost N90 billion, will be taken care of by Nigeria National Petroleum Company Limited (NNPCL) through the tax credit policy of the Federal Government.

According to him the project awarded to Samchase Nigeria Ltd. and Kopeck Construction Company is slated for completion within the next 24 months.

Speaking on the procurement act, the Minister asked the 10th National Assembly to amend it, noting that the law was slowing down the country’s development.

“There is a law passed by the National Assembly called the Procurement Act; if you don’t follow it, they will call you a thief.

“That procurement law and the processes that it prescribes are not consistent with the hurry that Nigeria is in for development. And I hope the 10th National Assembly will look at that procurement law and make adjustments. Its intention is good, but the processes slow down the country.

“They forget that you, the people, through your representatives, have passed a budget for us to implement. It is a law. The people then ask, “Why is the government borrowing?”

“The easiest thing to do in government is to say that our revenue is N10 and our work is N10, but that means that nobody should ask for a road.

“If you want development and you have chosen infrastructure—a road, school, bridge, pipeline, refinery—who is going to pay for it?” It is going to come at a cost.

“So that is why the first thing you will see when government, whether at the state, local, or federal level, responds to the needs of the people is an expenditure that exceeds the revenue; that is when you have what is called a deficit. Someone has to pay for that deficit.”



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