could help Nigeria to overcome hard times posed by the ongoing recession. Speaking at a press conference yesterday, Abdulrazak said;
“As we all know we are in a recession. AMCON was established between 2007 and 2009 as a response to global financial crisis. The Federal Government through ministry of finance guaranteed a loan that AMCON should raise 5.67 trillion naira, this was to save some of these failing financial institutions at that time, AMCON cannot recover its 2.473 trillion.
This is a time we need this resources and this debt is piling up and people owing this money are still leaving and kicking and infact they don’t appear to have issues, some of them own private jets. If we can invest that money into the economy, it will assist the economy very well and it will interest you to know that out of this 2.4 trillion only 20 individuals have about 1.2 trillion to cough out.”Earlier, the house of representative mandated its committee on banking and currency to investigate the failure of bank debtors to pay up their loans to the tune of N2.4 trillion. They noted that if these loans are paid by the debtors/obligos, it would enable AMCON to redeem its three years zero coupon.
“The resolution by the house was sequel to a motion on matters of public importance sponsored by Johnbull Shekarau from Plateau state. While moving the motion on the floor, the house said federal government through the ministry of finance and the Central Bank of Nigeria (CBN), had provided the initial capital and a three years zero coupon to allow AMCON raise N 5.67 trillion for intervention. Six years after, AMCON is yet to recover over N2.463 billion from obligos/bank debtors to enable three years zero coupon bond it acquired,” Johnbull said.The lawmaker added that the inability to recover this amount has serious implication on the economy especially in this recession.
Several lawmakers also contributed to the debate and urged the federal government not to do business with companies owing banks until they have settled their debts, he said.