Senate probes uneven disbursement of N500bn loans by Growth Financial institution

Published by Ann Thompson on

The Senate has arrange an advert hoc committee to hold out investigation into the alleged uneven disbursement of half a trillion naira mortgage to the six geo-political zones by the Growth Financial institution of Nigeria (DBN).

The decision was sequel to a movement moved by Mohammed Ndume (APC-Borno) and co-sponsored by Ibrahim Bomai (APC Yobe) throughout Wednesday’s plenary.

The committee is to be chaired by the Chairman of the Senate Committee on Banking, Insurance coverage and different Monetary Establishments, Sani Musa.

Different members of the committee are Ibrahim Danbaba (PDP-Sokoto), Ayo Akinyelure (PDP-Ondo), Matthew Urhoghide (PDP-Edo), Uche Ekwunife (PDP-Anambra), Sadiq Umar (APC-Kwara) and Mr Ndume.

The committee has two weeks to submit its report back to the Senate.

The higher chamber additionally urged the financial institution to make sure the equitable disbursement of the mortgage in all of the six geographical zones of the nation.

“We urge the financial institution to develop its mortgage amenities past the 5 sectors already captured,” he mentioned.

Transferring the movement, Mr Ndume mentioned that the highest 5 sectors thought-about for the mortgage had been Oil and Fuel (42.0 per cent), manufacturing (16.0 per cent), agriculture, forestry and fishery (7.2 per cent), commerce and commerce (6.3 per cent), and transportation and storage (3.5 per cent).

He alleged that there was an enormous disparity and uneven disbursement of half a trillion naira mortgage to the six geo-political zones and states within the nation in 2021 by the DBN.


He talked about Lagos as the foremost beneficiary with 47 per cent of the entire mortgage whereas all the northern area received 11 per cent.

The lawmaker mentioned: “The financial institution’s Annual Built-in Statutory Report 2021 obtained on July 13 from the organisation’s web site signifies that the financial institution was in a position to disburse a mortgage price N483, 000, 000, 000 solely out of which solely 11 per cent went to the 19 states of northern Nigeria whereas 47 per cent went to Lagos alone.”

Deputy Senate President, Ovie Omo-Agege, who presided over plenary, with the help of the senators, unanimously adopted the movement.

Categories: MONEY