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FG presents N130bn SUKUK money to FCT, Works ministry

The Federal Government has presented a cheque of N130 billion to the Ministry of Works and Housing and that of the Federal Capital Territory for road construction.

The fund consists of proceeds of the fifth SUKUK bond raised in December, last year.

According to the Director-General of the Debt Management Office, Patience Oniha, this brings to N742 billion the total monies raised from SUKUK since the first issuance in 2017.

She said the previous SUKUK funds have been deployed for the construction and rehabilitation of 71 roads and four bridges, covering a total of 2,800 kilometres.

Also, the DMO had, through the Sovereign SUKUK initiative, positioned itself as an active stakeholder in the domestic capital market through innovation and investor engagement, she said.

In her remark, the Minister of Finance, Hajya Zainab Ahmed said the Ministry of Works would receive N110 billion, while the FCT would get N20 billion for selected road projects.

Mrs Oniha added that the funds would be released as part of the capital expenditure in the 2022 appropriation act, which has been extended to March 31, 2023, by the National Assembly.

Reporting by Biodun Dare; Editing by Abdullahi Lamino and Tony Okerafor