The Oyo State House of Assembly on Tuesday approved the request of Governor Seyi Makinde to access N20 billion contractor financing loan facility from the First Bank of Nigeria Plc.
The house also okayed the request of the Governor to access another N2.5bn CBN credit support intervention fund for the health sector in the state.
The Governor sought the approval of the legislature in two separate letters of request he forwarded to the Oyo State House of Assembly and read at the plenary by the Speaker, Hon Adebo Ogundoyin.
The Governor in the request noted that the N20bn loan facility became imperative in view of the dwindling revenue accruable to the state from the Federation Account and the drop in Internally Generated Revenue due to Covid-19 global pandemic.
According to the request, if accessed the money would be used to fund and support priority projects to boost economic activities in the state .
On the N2.5bn CBN credit support intervention fund, the Governor said the money would be used to revamp the health care facilities, manage the Covid-19 pandemic and to promote other health initiatives of his administration.
The Speaker said the house approved the requests of the Governor in view of the importance the present administration attached to infrastructural development especially the construction and rehabilitation of roads and other social amenities as well as the need to upgrade health facilities to combat Coronavirus and other health challenges.
The Deputy Speaker, Hon Muhammad Fadeyi while reacting to the requests commended the Oyo State Government for managing the affairs of the state in spite of the myriads of economic, social , security and health challenges confronting the nation and added that the loan would help the Government in achieving its set goals.
The Majority Leader, Hon Sanjo Adedoyin and the Minority Leader, Hon Asimiyu Alarape who moved and seconded the motions respectively explained that the requests could not have come at a more appropriate time than now to enable the State Government to finance some infrastructural development projects as well as address Covid-19 pandemic.