President Goodluck Jonathan has asked the Senate to include the Lagos State Development Policy Operation 11(DPO) into the 2012-2014 Medium Term Borrowing Plan of the Federal Government.


Specifically, Jonathan wants the Senate to include and approve the sum of $200 million for Lagos State as part of the state’s ongoing DPO being funded by the World Bank.

The request dated October 22, 2013 was read by the Senate President, David Mark, on the floor of the Senate on Thursday.

It was entitled: “Request for inclusion of Lagos State Development Policy Operation11 (DPO) into the 2012-2014 Medium Term Borrowing Plan of the Federal Government.”

It reads in part: “I wish to refer to the above subject and to inform the Distinguished Senate President that the World Bank approved a Development Policy Operation (Budget Support) for a total credit amount of $600 million to the Lagos State Government in the 2010 to be implemented in three tranches of $200 million each.

“The first tranche of $200 million was approved by the National Assembly in the 2010 Borrowing Plan. The DPO 1 was implemented in 2011.

“Unfortunately, the second tranche of the DPO 11 was not captured in the 2012-2014 Medium Term Borrowing Plan. However, given the importance of the second tranche to the success and sustainability of the first tranche, I wish to submit it for your consideration for inclusion in the current borrowing plan but with no additional funding request.

“The World Bank supported Public Private Partnership (PPP) Project which was approved by the National Assembly in the 2010 Borrowing Plan with a total credit amount of $315 million and disbursed $15 million to date, after about two years of project implementation.

“The World Bank has therefore embarked on restructuring of the project in the face of current realities in a manner that would release $200 million for allocation to Lagos DPO 11.

“This is an action that the World Bank with the support of its Board can undertake. They propose that the $200 million DPO would enable the state complete some critical infrastructure projects including:

Ultra-Modern Burns Centre and Cardiac and Renal Centre at Gbagada General Hospital; 27km Light Rail along the Lagos Badagry Expressway Corridor to Marina; and completion of the 70 million gallon per day Adiyan Water facility among others.

“In the light of the above therefore, I wish to seek for your understanding and to request you to admit the Lagos State Development Policy Operation 11 (Budget Support) into the 2012-2014 Medium Term Borrowing Plan to enable the state consolidate the gains of the first tranche of the operation with no cost implication to the Borrowing Plan since the $200 million had earlier been approved in 2010.”
 LIKE US ON FACEBOOK