In order to investigate the Development Bank of Nigeria’s alleged unequal distribution of a loan worth half a trillion naira among the country’s six geopolitical zones, the Senate has formed an ad hoc committee (DBN).
The resolution was in response to a motion made during Wednesday’s plenary by Mohammed Ndume (APC-Borno) and co-sponsored by Ibrahim Bomai (APC-Yobe).
Sani Musa, chairman of the Senate Committee on Banking, Insurance, and Other Financial Institutions, will preside over the committee. Ibrahim Danbaba (PDP-Sokoto), Ayo Akinyelure (PDP-Ondo), Matthew Urhoghide (PDP-Edo), Uche Ekwunife (PDP-Anambra), Sadiq Umar (APC-Kwara), and Mr. Ndume are additional committee members.
The Senate will get the committee’s findings in two weeks. The upper house implored the bank to make sure that the loan was distributed fairly among all six of the nation’s geographic regions.
We kindly request that the bank extend its credit opportunities outside the current five industries, he added. Mr. Ndume moved the motion, stating that the top five industries taken into consideration for the loan were Oil and Gas (42.0%), Manufacturing (16.0%), Agriculture, Forestry, and Fishery (7.2%), Trade and Commerce (6.3%), and Transportation and Storage (6.3%). (3.5 per cent).
He said that the DBN distributed a loan for half a trillion naira to the country’s six geopolitical zones and states in 2021 with a significant discrepancy and unevenness.
Lagos received 47% of the whole loan, according to him, whereas the entire northern area only received 11%. According to the lawmaker, the bank was only able to disburse a loan worth N483, 000, 000, 000, of which only 11% went to the 19 states in northern Nigeria and 47% went to Lagos alone. This information was found in the bank’s Annual Integrated Statutory Report 2021, which was obtained on July 13 from the organization’s website.
The proposal was unanimously approved by the senators under the leadership of the Deputy Senate President, Ovie Omo-Agege, who presided over plenary.
