The Governor of Ogun State, Dapo Abiodun and his predecessor, Ibikunle Amosun on Wednesday, clashed over $250M World Bank loan grant.
While Amosun claimed his administration began and facilitated the loan before he left office in 2019, Abiodun said, the efforts of his administration prevented the state from losing the huge loan.
The duo confirmed the receipt of the loan through separate statements issued by their aides.
Amosun in a statement issued and signed by former Secretary to the State Government, Taiwo Adeoluwa said it took his administration six years to process and actualize.
According to the statement, the development has put paid to lies that Amosun’s administration had spent the World Bank funds before we left.
The statement read “No, we did not. Like in several other areas, the Amosun administration worked hard, laid the enduring foundation and bequeathed rich legacies to the cause of greater Ogun State.
” Now, at the last World Bank meeting, the hard labor and painstaking efforts of the Senator Amosun-led Administration came to fruition with the provision of $250m grant for Ogun State.
“Recall that in 2019, before the end of Senator Amosun’s administration, we had processed the approval of both the Senate and the House of Representatives; we also had secured the nod of the Federal Executive Council (FEC).
“We did all the paperwork. We are immensely proud that once again, we bequeathed a handsome and significant $250M in virtually interest-free grant to Ogun State.”
But, disagreeing with Amosun, Abiodun in a statement issued and signed by Special Adviser on Public Communications, Remmy Hazzan said the approval of the loan as a result of various interactions and discussions of the economic blueprint and development roadmap for the state with officials of World Bank.
Abiodun said the project facility suffered a major setback which, according to him led to the reduction of the loan from $350M due to the failure to pay $5M and the poor implementation of the preparatory phases of the project facility by Amosun’s administration.
The statement read “It would be recalled that the project facility suffered a major setback and in fact was reduced from the original amount of $350m because of the slow utilization of the initial preparatory allowance of $5 million and the poor implementation of the preparatory phases of the project facility by the previous administration.
“But Governor Abiodun was able to convince officials of the Bank that he would see to the judicious application of the fund with the developmental programs, already earmarked for execution in various parts of the state.
“Prince Abiodun has already created an office within the Governor’s Office to accommodate officials of the Bank, who would be involved in project execution, disbursement of the fund and monitoring the implementation of the approved projects.
“The governor expressed gratitude to the World Bank for the confidence reposed in his administration, even as he promised to ensure efficient utilization of the fund.”
Amosun however, urged the present administration to make judicious use of the loan to better a lot of the people of the State.
He recommended that the loan be used to improve the business environment, strengthening the linkages between agricultural producers, suppliers and service providers, and providing training and apprenticeships for women and farmers, amongst others .”
But, the present government in its reaction, said the state Economic Transformation Project through the loan would improve private investment in the state by improving the business environment.
The statement also stated that the government would strengthen the linkages between agricultural producers, suppliers and service providers, and providing training and apprenticeships for women and farmers.
The statement read “among some of the key results, the project will facilitate collaboration between farmers and agribusinesses improve STEM teaching in up to 70 percent of public secondary schools. It is to be financed through an IDA credit of $250 million.”
