The Oyo State House of Assembly has approved a N100 billion loan facility from United Bank for Africa to speed up the completion of ongoing infrastructure projects across the state. The approval followed a formal request by Governor Seyi Makinde.

The governor’s letter was addressed to the Speaker of the House, Adebo Ogundoyin, and read during plenary on Wednesday. The N100 billion is meant to provide extra funding for critical infrastructure and support developmental initiatives in all 33 Local Government Areas.

Alongside the new loan, the Assembly also approved a N300 billion facility to refinance an existing contractors’ finance arrangement previously obtained from Access Bank. The refinancing will move the facility to UBA at a lower interest rate of 22 per cent, down from the previous 26 per cent.

Lawmakers said the arrangement would help the state reduce borrowing costs, consolidate its contractors’ finance obligations with one bank and strengthen its capacity to deliver projects. The N100 billion loan itself carries a 22 per cent interest rate, a 48-month tenor and a three-month moratorium on principal and interest repayment.

During deliberations, the Deputy Speaker and other members highlighted major projects such as the Ladoke Akintola University Teaching Hospital in Oyo town, the Rashidi Ladoja Circular Road and the Ido-Eruwa Road. They noted that completing these projects would boost economic growth, create jobs and improve connectivity across the state.