Govt to get Parliament approval on loans

THE government will be compelled to get parliamentary approval for any money it wants to borrow or lend once the new constitution comes into effect.

According to an article adopted by the convention on Wednesday, the government would also lay before the National Assembly, terms and conditions of such loans.

Article 282 (3) of the first draft constitution states that: “”The government shall – (a) lay before the National Assembly the terms and conditions of the loan which shall not come into operation unless approved by a simple majority vote of the National Assembly; and (4) The terms and conditions require to be laid before the National Assembly under clause (3) shall include the following: (a) the source of the loan; (b) the extent of the total indebtedness by way of principal and accumulated interest; (c) the provision made for servicing or repayment of the loan; and (d) the utilisation and performance of the loan.