FEC approves $2.96bn, €200m, ₦215bn financing for transport, agriculture, power, MSMEs

The Federal Executive Council (FEC), chaired by President Bola Tinubu, on Monday approved financing arrangements worth approximately $2.96 billion, €200 million and ₦215 billion to drive investments in transportation, agriculture, power, infrastructure and micro, small and medium enterprises (MSMEs).

Briefing State House Correspondents after the council meeting, the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, said the approvals were drawn from 14 memoranda presented by the Ministry of Finance.

“For Council, we made very strategic decisions, which I have decided to categorise under five headings,” Oyedele said.

On transportation, the minister disclosed that FEC approved ₦215 billion to complete investments under the Presidential Compressed Natural Gas (CNG) Initiative, including the procurement of CNG buses, electric vehicles, CNG-powered tricycles and the establishment of vehicle conversion centres.

“The first one is to do with transportation, how to bring the cost of transportation down,” he said, adding that the approvals would enable the completion of the remaining investments under the programme.

In the agriculture sector, the council approved financing arrangements totalling $900 million to support rural technical and vocational education, Special Agro-Industrial Processing Zones (SAPZ) and agricultural value-chain development.

“Altogether, we have different financing arrangements coming to a total of 900 million U.S. dollars,” Oyedele stated.

For the power sector, the minister announced the approval of a $160 million financing facility for solar energy projects in Niger State. He said the Islamic Development Bank would provide $150 million, while the Niger State Government would contribute $10 million as counterpart funding.

“This is a 160 million U.S. dollars facility for Niger State solar development projects,” he said.