Senate seeks end to high interest regime

…Decries violence in Kogi, urges FG to intervene

…As Melaye demands state of emergency in Kogi

The Senate has called for a workable solution that will put a halt on the current rising interest rates regime in the Nigerian banking sector and return profitability viability to Nigerian enterprises.

Also, the Senate has called for urgent intervention of the Federal Government in the violent crisis in Kogi State in order to ensure the security of lives and property in the state.

Senate President, Dr. Bukola Saraki, made the call for an end in high interest regime on Tuesday during stakeholders’ roundtable to address the increasing interest rate in Nigeria.

Saraki described such solution as only option if the country is to build a virile private sector that will meet its developmental needs, noting that a 25-30% interest rate regime is a yoke too hard to bear for any real sector business.

He said:”Our businesses need a breather. I am a firm believer that unless we are ready to think outside of the box and task ourselves to make sacrifices and take hard decisions with a view to the future, we will not make much progress.

” Let’s give a chance to our poultry and cassava farmers, welders, builders, our fashion designers, filmmakers, shoemakers, furniture companies and our other numerous small and medium sized industries a chance to stay alive and make a living for their families. These people; the SME’s are the reason we are gathered here. These entrepreneurs employ 88% of our work force. They have demanded and we should find a means to give them a new interest rate. If we don’t, we will all be poorer for it. If we are able to, we will all ultimately benefit.”

The Senate President explained that the public hearing is an indication of the visions of the 8th Senate of a more sustainable interest rate regime that enables people to do business, create wealth and be empowered to follow their dreams.

He said that the National Assembly is creating a new overarching framework for the infrastructure market by expanding the opportunity for private sector in the market.

Earlier in his remarks, Chairman of the Senate Committee on Banking, Insurance and other Financial Institutions, Senator Rafiu Ibrahim, said that the current regime of interest rate has continued to be a major burden on businesses in the country and therefore requires very urgent solution.

Meanwhile, the Upper Legislative chamber on Tuesday called for urgent intervention of the Federal Government in the violent crisis in Kogi State in order to ensure the security of lives and property in the state.

The Senate also condemned Monday’s shoot-out incident which claimed about five lives, including an attempt on the life of the Senator representing Kogi West senatorial district, Dino Melaye.

Armed tugs were said to have come after the Senator who was in the state to visit a medical facility where it was gathered that he intended to offset the bills of some of the patients most of whom are civil servants.

The reaction of the Senate followed a petition during plenary on Tuesday by Senator Melaye detailing the Senate about the incident.

Citing section 14 (2) of the Nigeria Constitution, the Deputy Senate President, Ike Ekweremadu, explained that the provision is explicitly clear on the security of lives of people and the responsibility of the Government.

Ekweremadu warned that the Senate and indeed the Federal Government will no longer continue to fold their arms and watch while the lives of people are jeopardised.

He however appealed for calm in the state while urging the warring factions to do everything possible to end hostility.

Melaye, who came through a point of order (order 42 of Senate rules), narrated his ordeal in the hands of armed thugs during the trip to the medical facility in his constituency, just as he fingered Governor Yahaya Bello for masterminding the ugly incident.

Melaye also indicted some Local Government officials in the state who he said were seen together with the armed men.

Calling for Senate intervention in the matter, Melaye, who also demanded that Governor Bello should be called to order, urged the Senate to implore Federal Government to declare a state of emergency in Kogi, noting that the situation in the state under the Governor has gone out of hand.

The Senator, who is also Chairman of the Senate Committee on Federal Capital Territory (FCT), alleged a high level of insecurity and state of anarchy in Kogi, as well as its militarisation.

He further called on the Senate to investigate ​ development as well as urge the Inspector General of Police to carry out an audit of armoury in the State Police Command, specifically the armoury in Government House Lokoja.

He said recounted that his only offence against the governor is his constant demand for payment of 15 months’ salary owed workers in the state.