The Senate on Thursday approved a $350 million loan request for developmental projects in Ogun state.
The approval followed the presentation of a report by the committee on Local and Foreign Debts.
Presenting report, the committee chairman, Shehu Sani, Kaduna-APC, said the projects earmarked by the Ogun state government will boost the socio-economic development of the state.
He said the Ogun state $350 million loan was approved in 2015 and captured in 2016-2018 borrowing plan as approved by the National Assembly.
The lawmaker added that the credit facility had an attractive low financing data of 1.25 per cent interest for a period of five years and a 25-year maturity tenure.
"The committee observes that Ogun state has a low and acceptable loan sustainability level, therefor, is eligible to borrow," he said.
He added that the state government had met "various conditions" to access the loan.
He said: "The committee observes that the Ogun state government has met the various conditions by the World Bank and is qualified for the loan. The committee observes that the Ogun state government has put in place institutional framework for the transparent and accountable budgetary and financial purpose.
"The committee observes that the various projects to be funded by the facility will engender economic growth, also increase revenue generation capacity of the state and create employment opportunities. The committee observes that Ogun state has shown a high degree of prudence in implementing her annual budgets."
The lawmakers approved the recommendation through a voice vote.