SERAP urges World Bank to suspend disbursement of $800m loan to Federal Government
Written by Joey Shekwonuzhibo on May 15, 2023
The Socio-Economic Rights and Accountability Project, SERAP, is urging the World Bank President, David Malpass, to use his good office to suspend any disbursement of the $800 million loan to the federal government and to request the incoming administration to provide satisfactory explanations for the loan.
SERAP is also urging Malpass and the World Bank to reopen discussion on the reportedly approved $800 million loan with the incoming administration to clarify the details on the rationale and use of the loan.
The rights group is questioning the rationale because the term of office of the government of President Muhammadu Buhari ends in May 2023, less than three weeks from now.
SERAP in a letter dated May 13, 2023, and signed by its Deputy Director, Kolawole Oluwadare, says the World Bank should comply with its own Articles of Agreement in disbursing any loans.
The federal government in April, had announced its plan to spend the $800 million loan as, part of its subsidy palliatives measures.