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Reps C’ttee Expresses Concern Over The Ownership Of Infrastructure Bank
By Saheed Badmus
The House of Representatives Committee on Urban Development has expressed concern over the ownership of the Infrastructure Bank Plc, responsible for providing financial solutions to support key long term
infrastructure projects.
The committee expressed its concern during an oversight visit to the bank, on Thursday in Abuja.
According to the chairman of the committee, Hon. Awaji-Inombek Abiante, the bank which was formerly known as Urban Development Bank of Nigeria Plc, was established in 1992 under decree No. 51 of the 1992 under the Rtd Gen Ibrahim Babangida’s administration, and had no legislation authorixing the change of name or adjustment in the ownership structure of the bank.
He observed that the operations of the bank was a decision of the Federal Executive Council, FEC, which is not a lawmaking body.
“The bank has a unique ownership structure, majority owned
by the private sector, but also has the federal government, state governments
and local governments, as well as the Nigeria Labour Congress as shareholders,” he said.
The Rivers State federal lawmaker also observed reductions in shares belonging to government Institutions.
He said for government to have set up a financial institution, it is it’s responsibility to help achieve a better urban centre, adding that no law has backed that action.
The committee requested for details on how the bank was transformed, projects embarked on and funded by the bank, donor agencies that was into partnership with the bank, details of utilisation of fund amongst others.
Earlier, the acting managing director of the TIB, Nkiru Chime, in her address, noted the crucial role the committee played in creating national policies for urban management to address environmental degradation, and overseeing agencies responsible for urban development and creating vital urban renewal and slum upgrading initiatives, which according to her are central to fostering a sustainable and thriving Nigeria.
“The Infrastructure Bank Plc is dedicated to providing financial solutions to support key long term infrastructure projects, including transportation infrastructure, municipal common services, mass housing and district development, solid waste management and water provision, and power and renewable energy projects” she added.
p
The bank is a government sponsored but private sector-led development
finance institution.
