Minister of Information and Culture, Lai Mohammed has said there is nothing bad in the country borrowing funds, provided it is invested in the development of infrastructures.
This comes as many Nigerians continue to express worry over the nation’s increasing debt profile in China and other countries around the world.
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Mohammed made the remarks during an inspection tour of the Lagos-Ibadan railway project on Saturday, August 15.
He expressed;
There is no better way to answer Nigerians as to what we have done with the money we have borrowed than this trip. On this trip, you have seen first hand the stations being constructed, the rail lines, and the people who are working on the projects.
Rather than arguing with critics, we opted to allow you (journalists) – the ears and eyes of Nigerians – to come and see for yourselves what we are doing with the money we are borrowing.
The minister expressed;
We didn’t borrow money for services. We didn’t borrow money for overhead expenditure. We borrowed money for capital projects – rail, road, bridges, power, general infrastructure.
There is nothing bad in borrowing, provided that borrowing is invested in infrastructure, especially when it will create jobs, create an enabling environment for the economy.
Mohammed added that he was impressed with the Lagos-Ibadan rail project, stressing;
I am very excited. When I got into the train this morning, it was as clean and modern as any coach anywhere in the world. I was also quite impressed with the passion of the Honourable Minister (of Transportation). You can see that every point in time, he is pushing the contractors, saying ‘look, I can’t wait till October, I will come back in four weeks’ time,’ because we want to be able to deliver this kind of infrastructure to Nigerians.
On his part, Amaechi said $1.6 billion is being expended on the Lagos-Ibadan standard gauge rail line and the stations.
He appealed to the national assembly to approve a $5.3 billion Chinese loan request to enable the government execute the Ibadan-Kano standard gauge rail line.
Amaechi noted;
If you are telling the man who lent you money you don’t like the way he lent you, he won’t lend you any further. For this one (Lagos-Ibadan rail project), we have $1.6bn for which we are contributing about $200 and $300 million. But don’t forget, they have not finished paying, they can stop at any time.
