By Wolquoi T. Yeahgar
www.ywholquoi@gmail.com
Monrovia-The House of Representatives has overwhelmingly ratified and passed the Eton Finance PTE Limited’s 536 million loan agreement pending the Senate’s concurrence.
The ratification followed more than two weeks of scrutiny that witnessed public hearings after being submitted by President George Weah.
The loan agreement received a unanimous vote from the floor with one lawmaker, Representative Nyumalin Francis Sakila of Lofa County District 1, abstaining from the process.
The restriction of the sovereign guarantee to the consolidated account means should the government default on payment, Eton would not be able to seize any of Liberia’s assets home or abroad or natural resources, but would be able to take money from the country’s consolidated account.
According to the House, the Ministry of Finance & Development Planning, Ministry of Justice and Civil Society Movement and the general public invited to the public hearing confidence that Eton Financing loan agreement proposed by President Weah to borrow the US$536,400,000.00 with an interest rate of 1.46% per annum.
Defending the passage of the loan agreement in plenary Tuesday, the House’s Chairman on Ways, Means and Finance considered it legal both locally and internationally.
Representative Thomas Fallah argued that the passage when concurred with by the Senate will enhance road connectivity in Southeastern Liberia, boost revenue generation and increase agriculture productivity.
He added that Liberia has been challenged with deplorable roads and the loan could remedy the situation.
The US$536 million loan is geared toward the construction of a coastal corridor connection of counties’ capitals road project, via the construction of the Buchanan-Cestos City to Greenville to Barclaryville Road, the Barclayville to Sasstown Road and the Barclayville to Pleebo Road. Other roads to benefit from the loan include the Medina to Robertsport Road and the Tubmanburg to Bopolu Road. Also to be constructed are ‘rest stops’ and ‘roadside service areas.’
In a communication to the Senate recently, President Weah indicated that the US$536 million loan will also include the construction of a vocational training center in Greenville, Sinoe County; construction of a mini soccer stadium in Harper, Maryland County; Barclaville, Grand Kru County; Greenville, Sinoe County, Cestos City, Rivercesss County; Zwedru, Grand Gedeh County, Robertsport, Grand Cape Mount Count and Bopolu County.
The principal amount of the loan is said to be payable in 15 years by level payment at an interest rate of 1.46 percent per annum, with a seven-year interest and principal free grace period.