Fidelity bank banner Bayelsa State banner
Senate to meet with CBN over high interest rate

By News Express on 04/06/2017

Share on facebook Yahoo mail icon Gmail icon Share on Google+

Views: 559

•Senate President Bukola Saraki.
•Senate President Bukola Saraki.

Senate President Bukola Saraki has promised that the Senate will look into the high interest rate charged by banks in the country.

“It is likely that we will debate it this week,” Saraki said during an interactive session with journalists on Sunday in Ilorin.

According to him, the high interest rate is not good for the economy as the nation eases out of recession and targets growth.

“This week we will debate it, have a round table discussion with the Central Bank of Nigeria and other commercial banks and talk frankly to ourselves,” he said.

According to Saraki, it is not fair for the banking sector to be making astronomical profit while companies lose money and retrench workers.

“Hopefully, with the stability of the foreign exchange, we can now begin to address the issue of interest rate.

“There is no business that can make money if you are borrowing at 28 percent, it cannot work,” Saraki added.

He said the Senate would engage financial institutions to arrive at an affordable interest rate, adding, “If they refuse, the Senate may come up with legislation to peg the interest rate.”

According to him, the banks are charging high interest rate because they have tied their assets in government securities and are getting 18 to 19 percent.

“They will tell you they are doing business, but in any business, there must be social responsibility.

“I promise Nigerians that we will find a solution to the high interest rate,” Saraki assured.

The Senate president also said the upper chamber may limit the amount banks can put in government securities and channel the rest to areas like the real sector.

Saraki also expressed concern over the status of local governments in the country, saying virtually all local councils lacked the required finances to carry out their statutory obligations.

He said that to reduce the burden of responsibilities on local councils, the Senate may transfer the responsibility of funding primary education to states.

“I am of the view that we should look at how state governments take over primary education.

“This is an arm of government that cannot meet its constitutional obligations and you now put a very important one under it.

“Ninety Five percent of local governments depend on state governments’ support to pay workers salaries,” Saraki added.

He noted that the Constitution Review Committee of the Senate may grant autonomy to the local government in the country.

The Senate president, however, believed that granting autonomy to local governments may not solve their problems.

He stressed that the main issue was that of inadequate funding which must be addressed to allow local governments function effectively. (NAN)


 

Source News Express

Posted 04/06/2017 9:25:19 PM

 

Share on facebook Yahoo mail icon Gmail icon Share on Google+


 

CLASSIFIED ADS

 

You may also like...
Niger Delta group gives oil company ultimatum

Epe plans big for Kayokayo carnival

Oyinlola joins GTBank Board as Non-Executive Director

Nigeria’s market profitable for investors: Osinbajo

Arsenal end trophy drought, bounce back to beat...

Africa requires 12m new jobs annually to curb...

China’s economy stutters, investment in record low

Stay off polling areas during election, Immigration boss...

Okonkwo emerges ADP guber candidate *Promises to fight...

Senate to investigate management of power funds

NiMET predicts cloudy weather today

Dakuku Peterside mourns Miller’s shocking demise

 

Latest News Special security force nabs gunrunner, soldier, policeman, 4 Fulani militia men fuelling herdsmen/farmers crisis Madumere wins again as court refuses to vacate order restraining the swearing-in of new Imo Deputy Gov 2 Nigerian pilgrims die in Saudi Arabia — NAHCON Mad man stabs monarch to death in Ekiti Soldier, 21 herdsmen die in Benue gun battle Ngige eyes Anambra Central Senatorial seat, says he is under pressure to contest Boko Haram razes 40 houses in reprisal attack Police uncover plan to disrupt Sallah, Durbar celebrations in Kwara Buhari orders Security Chiefs to make Nigeria safe Court halts EFCC’s probe of Benue accounts Why we demolished Ayefele’s Music House — Oyo State Government Ebonyi suspends collection of personal income tax, illegal levies

 

Most Read NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (379,427 views) Nigerian female sex addict opens up, says ‘I like it with both men and women’ (367,624 views) Shameless Genevieve Nnaji exposes breasts in public (297,390 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (242,644 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (223,709 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (217,674 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (193,349 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (175,487 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (160,086 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (158,997 views) Lagos plane crash: Journalist releases victims’ names (153,287 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (143,515 views)

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (56) Business & Economy (3,468) Business Verdict (48) Columnists (912) Complaints & Requests (95) Enterprise & Opportunities (207) Entertainment (529) Features (642) Global Business Monitor (295) International (2,283) Interview (162) Live Commentary (28) Love Matters (135) News (38,185) Opinion (1,064) Pidgin (11) Politics (6,115) Religion (833) Sports (1,654) Stock Watch (33) AMA & Al Jazeera Global Update

 

CBN banner

Firstmobile banner

 

 

NEWS EXPRESS TV

Yinka Ayefele's Music House Demolished

 

APO Group Partner

 

 

CLASSIFIED ADS

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera

Advertisement