TECHNOCRAT MEDIA NIGERIA
The Federal Government of Nigeria had in the last few years secured different loans that amounted to $3.5bn from the Chinese government negotiated with at least 2.5% interest per annum to fund some capital projects.
Nigeria may lose some of its critical infrastructures to the Chinese government in the case of failure to service her loans just like Uganda.
According to reports, China may possibly takeover of Uganda’s only international airport and other key assets over the East African country’s inability to repay a $207m loan obtained on November 17, 2015, from the Export-Import Bank of China.
The loan has a maturity period of 20 years including a seven-year grace period. According to the deal signed with the Chinese lenders, Uganda will have to surrender its only international airport.
In the case of Nigeria, different loans meant for different projects have been taken from the government of China. These projects with figures as published by TheCable Index include:
National Public Security Communications System Project worth of 399.5million dollars, Railway Modernisation project (Idu-Kaduna section) at 500 million dollars, The Abuja Light Rail project at 500 million dollars, ICT Infrastructure Backbone Project at 100 million dollars, Four Airport terminal Expansion projects in Abuja, Kano, Lagos, and Porth Harcourt respectively put at 500 million dollars. and Zungeru Hydroelectric Power project at 984.32 million dollars.
Others include 40 Parboiled Rice processing projects at 325.67 million dollars, Rail Modernisation project (Lagos-Ibadan section) at 1.26 billion dollars, Rehabilitation, and Upgrading of Abuja-Keffi-Maiduguri Road Project at 460.82 million dollars, Supply of Rolling Stocks and Depot Equipment for Abuja Light Rail project worth 157 million dollars and Greater Abuja Water Supply project for 381.09 million dollars.
Meanwhile, Kingsley Moghalu who is a former deputy central bank governor said, the $3.5 billion for rail and airport projects could have been conceived and done as public-private partnerships.
“Nigeria as part of China, Inc… The $3.5 billion approx for railway and airport projects could have been conceived and done as public-private partnerships. The money saved on debt servicing could do much for our healthcare and education systems”, he said in a tweet.
